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Navidec Inc. and VSI Holdings Inc. Cancel Merger Discussions

21 August 1998

Navidec Inc. and VSI Holdings Inc. Cancel Merger Discussions

    DENVER, Aug. 20 -- Navidec, Inc. (Nasdaq: NVDC, NVDCW) today
announced discussions relating to a potential merger with VSI Holdings, Inc.
(AMEX: VIS) have been suspended.
    "As an Internet technology company, we carefully considered our strategy
and objectives and decided not to complete the transaction. We have no current
plans to renew the negotiations," said Navidec CEO and president, Ralph
Armijo.
    Navidec, Inc., based in Englewood, Colo., is a national provider of
products and solutions that use web-based technologies to achieve its
customers' business objectives.  From commercial web site development to the
design and implementation of intranet and extranet applications and tools,
Navidec helps customers develop successful online solutions.  Navidec's
vertical market focus is on the automotive industry with its Wheels online
automotive sales solution.  Navidec partners with media organizations to
produce Wheels in markets nationwide.  The company's web site address is
http://www.navidec.com.
    All statements in this press release, other than historical facts, are
forward-looking statements.  These statements are based on certain
assumptions and analyses made by the company in light of its experience and
its perception of historical trends, current conditions, expected future
developments and other factors it believes are appropriate in the
circumstances.  Such statements are subject to a number of risks and
uncertainties, including general and economic business conditions,
competition, market acceptance of the company's products and services and
other risk factors indicated from time to time in the company's filings with
the Securities and Exchange Commission.  These filings are available online at
http://www.freeedgar.com.