DST Targets Insurance and Annuity Retirement Providers

System enhancements underscore commitment to retirement market

Kansas City, Mo., January 31, 2006—To advance the success of insurance providers competing in the retirement plan arena, DST Systems, Inc. has enhanced its TRAC® recordkeeping platform to accommodate both traditional annuity products and the suite of common mutual fund investments.

TRAC now supports the attributes of an annuity offering, including multi-tier annuity unit pricing, guaranteed interest contracts and complex annuity distribution rules. The enhancement enables insurance product providers to leverage the robust recordkeeping capabilities of TRAC, which offers integrated processing and recordkeeping for all types and sizes of defined contribution plans.

“Insurance firms that have historically relied on internal solutions for retirement recordkeeping and processing have begun to look to outside technology providers,” said Bob Wuelfing, president, RG Wuelfing & Associates. “TRAC’s recent enhancements position DST well to provide a technology solution for most insurance providers.”

“DST is committed to helping our retirement clients manage IT costs and meet the challenges facing providers today,” said Jim Walsh, vice president, DST Systems. “TRAC is positioned to help retirement providers of all kinds focus on their key competencies—product development and distribution, as well as service quality—while leveraging DST’s core technology strengths.”

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 two operating segments: Financial Services 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 actions or results could differ. There could be a number of factors affecting future actions or results, including those set forth in DST's latest periodic financial report (Form 10-K or 10-Q) filed 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.

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