News Release

SAN DIEGO, Feb 6, 2002 (BUSINESS WIRE) -- Overland Data Inc.(R) (Nasdaq:OVRL), a market leader in enterprise and mid-range tape automation solutions, today announced it has become the exclusive provider of automated tape storage to the City of Whittlesea and its 400 GB campus-wide storage area network (SAN).

The City of Whittlesea, an Australian town just 14 km from the heart of Melbourne, decided on Overland's 15-bay library -- the PowerLoader(TM) with Super DLT -- after deciding an upgrade from its existing DLT4000 and DLT7000 tape drives was necessary to improve performance and reliability. Exhaustive research and comparison-shopping convinced Whittlesea that Overland's PowerLoader offered advantages its competitors could not: a dual-drive workgroup library for the low price of a single-drive autoloader. This unique system delivers superior performance and the security of a second Super DLT drive.

"We felt a Super DLT unit was always going to be important, because of its well-known reliability," said Brett Randall, City of Whittlesea's IT manager. "But we also needed the library to handle our ever-increasing capacity and performance needs, without sacrificing the reliability we had come to expect from Overland. This made the PowerLoader unit an easy choice."

Overland's solution provided an impressive 1.65 terabytes (TB) native capacity and 3.3 TB compressed -- more than adequate for the 350 user site at Whittlesea, and well-positioned to grow with the city's backup strategy and needs over the next three years.

Some of Whittlesea's neighboring towns have taken notice.

"Once I compared the Overland PowerLoader with its alternatives, it quickly became apparent there was no other option that provided the same level of performance and reliability," said Peter Wigzell, IT administrator at Cardinia Shire Council. "The PowerLoader provided both functionality and a great value for the money solution."

Australia's Source Technology handled the sale, setup and configuration and technical support for the Overland installation.

    About Source Technology

Established in 1981, Source Technology is an Australian-owned national company with offices in Melbourne and Brisbane. Source employs 45 staff and has a national turnover of over $20 million. The company's strong engineering and technical base has earned a reputation for excellence in quality and computer engineering standards.

The Source Group now incorporates six separate divisions providing equipment and services to meet a wide spectrum of industry demand. The divisions are Computer Manufacturing/Integration, Web/e-commerce Development, Wholesale Distribution, Software Development, Training and Technical Services.

    About Overland

Overland Data is a global supplier of innovative data storage and storage automation solutions for computer networks. The company's reputation for delivering high availability products, as well as its award-winning SmartScale(R) Storage architecture which set the standard for intelligent automated storage and scalability, has established Overland as a market leader in the enterprise and mid-range tape automation markets. Overland sells its products worldwide through leading OEMs, commercial distributors, storage integrators and value-added resellers.

For information on purchasing or reselling Overland products in Australia, contact Philippe Cazaubon at +65 839-3510 or pcazaubon@overlanddata.com.

CONTACT:          Overland Data Inc.
                  Cynthia Bond / Vernon LoForti, 858/571-5555       
                  cbond@overlanddata.com / vloforti@overlanddata.com                  
                  or
                  Mentus Inc.
                  Chris Dale, 858/455-5500         
                  cdale@mentusonline.com

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