DST Systems Expands Financial Institution Database Service

Universal Dealer Service provides the most comprehensive dealer, branch and representative information available

KANSAS CITY, MO., May 17, 2003 – DST Systems, Inc. has enhanced its Universal Dealer Service SM, an offering for mutual fund companies featuring a comprehensive database of industry dealer, branch and, now, representative information. DST Systems is the only service provider that offers this level of information to its clients.

Universal Dealer Service provides the most comprehensive, timely and accurate source of information available on 3,600 dealers, 180,000 branches and 680,000 representatives. This information is continuously updated by electronic feeds from participating dealer firms, direct transactions and NSCC trade activity. DST also maintains a staff to research and verify new information as it comes in. The service is offered to clients of DST’s mutual fund transfer agency platform, TA2000 ®, and allows subscribers to streamline operations including trade scrubbing and broker, dealer and representative database management.

Without a central repository of this information, fund families expend significant resources tracking down and updating information on the dealers, branches and representatives with whom they do business. When a representative moves from one dealer or branch office to another, for example, it may take weeks for that representative’s new data to be registered with each of the fund firms he or she deals with. This results in unresolved trades on the fund firms’ sales reporting systems. Furthermore, fund firms duplicate efforts in gathering this same information.

American Century Investments, and Waddell and Reed are the latest fund families to subscribe to Universal Dealer Service. They are among the first to take advantage of the Universal Dealer Representative Service, and join more than 200 clients currently utilizing the Universal Dealer Branch Service.

"The transition to Universal Dealer's Representative Service has proven to be advantageous for the American Century sales tracking database," said Shawn McCubbin, e-business program manager, American Century Investments.

"DST's Universal Dealer Service provides us with the information required to enhance our distribution efforts,” said Joan Binstock, chief operations officer, Lord Abbett Funds, which takes advantage of Universal Dealer Branch and Representative Service. “This service helps ensure much more complete firm, office and representative data."

“The representative data that Universal Dealer Service now offers is critical to our clients’ operations, and it improves the accuracy of representative-level data on transactions which in turn improves the quality of sales and asset reporting for distribution analysis,” said Tom Schmidt, vice president, DST Systems. “The flexibility of DST’s modern technology architecture allows us to offer this unique, forward-looking service to our clients.”

DST Systems, Inc. [NYSE: DST] provides sophisticated information processing and computer software services and products that help clients improve productivity, increase efficiencies, and provide higher levels of customer service. DST is organized domestically and internationally into three operating segments: Financial Services, Customer Management, and Output Solutions. DST operates one of the most advanced data centers in the world, which provides information-processing services to support the products within each operating segment. These products are further enhanced through the integration of DST’s advanced technology and e-commerce solutions.

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The information and comments above may include forward-looking statements respecting DST and its businesses. Such information and comments are based on DST's views as of today, and actual results could differ. There could be a number of factors affecting future results, including those set forth in Form 8-K/A dated March 17, 2003 filed by DST with the Securities and Exchange Commission. All such factors should be considered in evaluating any forward-looking comment. The Company will not update any forward-looking statements in this press release to reflect future events.

To learn more about DST Press Releases, contact us at  ctgoldman@dstsystems.com