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Manchester (February 5, 2002) - SurfControl (London:SRF, Nasdaq
Europe:SRFC), the number one Internet filtering company in the global
security market, today announced record earnings for the second quarter and
the six-months ending December 31, 2001. The company also reported
continued positive cash flow from operations and EBITDA profitability for
the quarter, and noted that it has achieved both these milestones ahead of
market expectations.







Filtering revenues for the quarter increased 58% to $13.3 million, versus
$8.4 million for the second quarter of last year. Filtering revenues for the
six-months ending December 31, 2001 increased 72% to $24.4 million, versus
$14.2 million for the same period last year.







EBITDA for the quarter was $0.8 million, versus a EBITDA loss of $3.2
million for Q2 of last year.







"I am very pleased to report these two key milestones: significant
operational cash generation and EBITDA profitability, both of which have
been achieved ahead of target," said Steve Purdham, CEO of SurfControl. "Our
results demonstrate that we are well on the way to achieving our long-term
strategic goal of consistent, profitable growth. Based on this performance,
we are confident of a successful outcome for the year."







The company points to expanding markets, channel development and technology
leadership as three key factors of its Q2 success.







SurfControl leads the growing corporate Internet filtering market:






The market continues to expand as companies seek rapid return on investment
(ROI) through improved staff productivity as well as improved network
performance and sound security.







Jupiter Communications estimates that more than 12 billion email messages
are sent every day in the United States. Electronic risks like email-borne
viruses and confidential information leakage through email have also
received increased public attention in recent months, driving demand.







SurfControl's market leadership is based on its strategy of linking product
development to customer needs. To gain rapid ROI, companies are seeking
technologies that combine Web and email filtering, along with artificial
intelligence tools to automate content recognition and categorization.
SurfControl is uniquely positioned to meet this market demand with a total
filtering solution that protects organizations from the full spectrum of
electronic information risk, from potentially damaging Web and email
content, to email-borne viruses, spam and hoaxes.







As a result, the company's customer base continues to grow. Part of this
business expansion includes organizations selecting SurfControl products to
replace other filtering solutions.







New U.S. customers in Q2 include the Internal Revenue Service, Veterans
Administration, State of North Dakota, Federal Reserve Bank of Philadelphia,
Sun Life Financial, Crate & Barrel, TRW, Montgomery County Public Schools,
Ricoh, Brinks Inc., Toyota Motor Sales USA, Jersey City Public Schools and
the Cherry Hill Township Board of Education.






Q2 new customers from outside the U.S. include Yorkshire Building Society,
Britannia Building Society, Conde Nast Publications Ltd., Harley-Davidson
Europe Ltd., ITN, Thames Valley Police H.Q., Fairchild Dornier, Lenzing AG,
Niederösterreichische Landesregierung, Volksbanken AG, Porsche Cars, Public
Trustees of Queensland, Adelaide Bank, Sydney Airports Corporation, South
Australian Tourism Commission, Workcover Authority Queensland and the City
of Freemantle.







Indirect sales channels increase to 35% of revenue over 26% in Q2 2001:
SurfControl's strategic partners and resellers are playing an increasingly
important role in revenue generation. This steady increase saw indirect
sales channels grow to 35% of revenue in Q2 2002 compared to 26% in Q2 2001.




Established relationships with companies such as IBM, Check Point and
Microsoft are driving sales and are providing a solid foundation for future,
indirect sales operations that will expand to make significant long-term
revenue gains.

During the quarter, SurfControl signed agreements with many new resellers
and OEM partners throughout the world, including ASCII in Tokyo who has been
appointed distributors of SuperScout VS in Japan and also Content
Technologies, to whom SurfControl has licensed its URL category list, for
integration into the most recent version of its Web filtering software.

SurfControl leads the market with investments in artificial intelligence
technology
The growth of the Internet in recent years has been massive, and it shows no
signs of slowing. To address this, SurfControl has invested in developing
filtering technology based on artificial intelligence, including neural
networks, that categorizes content automatically and complements the
traditional list-based approach used in the SurfControl Content Database.

SurfControl's SuperScout Web Filter and Email Filter offer superior database
technology and add to it the neural networks and image recognition
capabilities. SuperScout Web Filter features the Virtual Control Agent
(VCA), an enabling neural network-based tool to categorize content for
domains not included within SurfControl lists. SuperScout Email Filter
features the Virtual Image Agent(tm) Option which allows administrators to
recognize explicit adult image files in email.

"Today, filtering is much more than simple URL database filtering. The
market is demanding comprehensive filtering solutions for Web and email that
include sophisticated content analysis methods, and we've invested in neural
networks and email filtering technology to meet these evolving customer
needs," said Purdham. "It is this technological innovation, coupled with a
full understanding of the issues surrounding Internet filtering, that will
help maintain our market position going forward."

For further information:




Tom Moriarty
SurfControl plc
+44 1260 296 200
tom.moriarty@surfcontrol.com



James Russell
éclat Marketing
+44 118 989 5600
james@eclat.co.uk




About SurfControl - The Internet Filtering Company




SurfControl plc (London:SRF/NASDAQ Europe:SRFC), is the Number One Internet
Filtering company in the global security market. The SurfControl family of
products employs expert filtering, Pass-Through, and Pass-By technologies to
create a productive Internet environment in the workplace and a child safe
environment on the Internet at home and at school.





This comprehensive line of Internet monitoring and policy management
solutions includes SuperScout Web Filter- the market leader in Internet
productivity in the corporation; SuperScout Email Filter - managing content
security; CyberPatrol - the market leader in responsible Internet usage in
the home and at school; and the SurfControl Content Filtering SDK - the
proven filtering solution for ISPs, Search Engines, Internet Appliances and
ASPs.





SurfControl works with a variety of industry partners such as AT&T, Check
Point Software (NASDAQ:CHKP), Cisco Systems (NASDAQ:CSCO), Hewlett Packard
(NYSE:HWP), IBM (NYSE:IBM), Intel (NASDAQ: INTC), and Microsoft Corp.'s Web
TV (NASDAQ: MSFT).





SurfControl employs more than 380 people worldwide and has 8 offices: in the
USA, in California and Massachusetts; in the UK, in Manchester and London;
Rotterdam, Holland; Vienna, Austria; Frankfurt, Germany and Sydney,
Australia.


For further information and news on SurfControl, please visit
http://www.surfcontrol.com



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