ERNST & YOUNG LICENSES DESIGNSHOP® PROCESS

Strategic Alliance with MG Taylor Corporation Expands ASE Presence

CAMBRIDGE, Mass., December 16, 1998 - Ernst & Young LLP and MG Taylor Corporation announced today an agreement under which Ernst & Young extends its license of the MG Taylor® DesignShop® process. Ernst & Young and MG Taylor have had a more limited licensing arrangement since October 1997. Under the new agreement, Ernst & Young receives certain exclusive rights to use the DesignShop process through October 1, 2003.

MG Taylor developed the DesignShop process over the past 20 years to address mission-critical issues in a unique way. The three-day MG Taylor DesignShop session takes participants through a systemic process of exploration, assessment, co-design, and decision making, coached by experienced DesignShop facilitators. By taking advantage of the ability to look at different issues from different vantage points, the DesignShop process builds upon the company's potential, sifting through dissenting views and alleged high-risk issues in order to reach detailed decisions about strategy and technology solutions.

Experienced Ernst & Young personnel conduct DesignShop events at Ernst & Young's ASE centers, which provide an environment for developing accelerated solutions to business problems. As part of the contract announced today, Ernst & Young has purchased MG Taylor's facility located in Cambridge, Massachusetts.

"The ASE has become an integral part of our global consulting practice, and acceptance from our clients has been phenomenal. In 1999 we expect to see a huge increase in DesignShop process use at our five ASE environments," says Rob Evans, Ernst & Young's director of the ASE.

The Cambridge ASE joins four existing ASE sites in Chicago, Atlanta, New York, and Luton, England. In the last two years Ernst & Young has provided more than 100 DesignShop events for Fortune 500 Corporations.

"Ernst & Young is developing the DesignShop process in unique ways that augment and support their state-of-the-art methodologies and services in the Fortune 500 marketplace," said Matt Taylor, CEO of MG Taylor Corporation. "We are proud that more customers can benefit from our proven methodologies and Ernst & Young's recognized leadership in delivering comprehensive solutions."

MG Taylor currently owns and operates knOwhere Stores in Palo Alto, California and Hilton Head Island, South Carolina, and is increasing the number of clients with custom NavCenter™ environments. MG Taylor will continue to focus on expanding its Silicon Valley presence with its Palo Alto knOwhere® facility.

Ernst & Young LLP provides assurance and advisory business services, tax services and consulting for domestic and global clients. The firm has 29,000 people in 87 U.S. cities. Ernst & Young LLP is a member firm of Ernst & Young International, a global organization whose member firms have 82,000 people in 131 countries. Visit the Ernst & Young web site at http://www.ey.com.

Based in Hilton Head, South Carolina, MG Taylor Corporation specializes in the integration of environments, tools, and processes. By tailoring the proficiency in the network economy and applying accelerated learning techniques to complex issues, MG Taylor facilitates companies in thinking strategically at all times and keeping the spirit of change alive. MG Taylor is located at http://www.mgtaylor.com on the World Wide Web.

Contact: Russ White Russ White Communications (650) 906-7616

DesignShop, NavCenter, the MG Taylor Target and knOwhere are trademarks of MG Taylor Corporation and may be registered in certain jurisdictions. All other brands and products are trademarks of their respective companies.

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