Bitstream Announces Additional $2.5 Million Stock Repurchase Program

Cambridge, MA, March 19, 2008  – Bitstream Inc., (NASDAQ: BITS, www.bitstream.com), a leading software development company with core competencies in browsing, font and publishing technologies, announced that its Board of Directors has authorized a program to repurchase up to $2.5 million of the Company’s common stock. This stock repurchase is in addition to an earlier $2.5 million buyback program that was announced in December 2007 and completed in early 2008.

“Once again, our decision to carry out a second stock repurchase program following on to the one we just completed reaffirms our belief in the fundamental value and long-term outlook for the Company. As we reported with our recent record-level revenues and earnings for the 2007 fiscal year, the Company’s financial strength allows us to support the stock with a buyback, as well as maintain our ongoing research, development and other programs,” states Anna Chagnon, President and Chief Executive Officer at Bitstream Inc.  

The Company intends, from time to time, as business conditions warrant, to purchase stock in the open market or through private transactions. Purchases may be increased, decreased or discontinued at any time without prior notice. The Company’s repurchase program will be subject to certain repurchase conditions, including daily volume limitations, as provided under the applicable SEC safe harbor rules. The repurchase program does not obligate the Company to repurchase any specific number of shares and may be suspended or terminated at any time at management’s discretion.
 
About Bitstream
Bitstream Inc. (NASDAQ: BITS - News) is a software development company focused on bringing unique software products to a wide variety of markets. The Company’s core software products include award-winning fonts and font rendering software, mobile browsing and messaging software and variable data publishing and Web-to-print software for personalized marketing. For more information about Bitstream please visit www.bitstream.com.

Bitstream and MyFonts.com are registered trademarks or service marks, and Pageflex, the Bitstream logo and ThunderHawk are trademarks, of the Company. Other technologies and brand names are used for information only and remain trademarks or registered trademarks of their respective companies.

Forward Looking Statements Disclosure
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on management’s current expectations. Actual performance and results of operations may differ materially from those projected or suggested in the forward-looking statements due to certain risks and uncertainties, including, without limitation, market acceptance of the Company’s products, competition and the timely introduction of new products. Additional information concerning certain risks and uncertainties that would cause actual results to differ materially from those projected or suggested in the forward-looking statements is contained in the Company’s filings with the Securities and Exchange Commission, including Bitstream’s Annual Report on Form 10-K for the year ended December 31, 2007.

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