UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 4
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
[ ] Check this box if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue.
1. Name and Address of Reporting Person(s)
Webb, Timothy
6300 Bridgepoint Parkway
Building 3, Suite 200
Austin, Texas 78730
2. Issuer Name and Ticker or Trading Symbol
PSW Technologies, Inc. (PSWT)
3. I.R.S. Identification Number of Reporting Person, if an entity (Voluntary)
4. Statement for Month/Year
05/99
5. If Amendment, Date of Original (Month/Year)
6. Relationship of Reporting Person(s) to Issuer (Check all applicable)
[X] Director [ ] 10% Owner
[X] Officer (give title below) [ ] Other (specify below)
[X] Chief Executive Officer
7. Individual or Joint/Group Filing (Check Applicable Line)
[X] Form filed by One Reporting Person
[ ] Form filed by More than One Reporting Person
<TABLE>
<CAPTION>
Table I Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
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1)Title of Security 2)Trans- 3.Trans- 4.Securities Acquired(A) 5)Amount of 6) 7)Nature of
action action or Disposed of (D) Securities Indirect
Date Code A Beneficially D Beneficial
(Month/ or Owned at or Ownership
Day/Year) Code V Amount D Price End of Month I
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<S> <C> <C> <C> <C><C> <C> <C><C>
Common Stock 05/06/99 P 11,250 A D Direct
Common Stock 05/12/99 P 10,000 A 46,250 D Direct
<CAPTION>
Table II (PART 1) Derivative Securities Acquired, Disposed of, or Beneficially Owned (Columns 1 through 6)
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1)Title of Derivative 2)Conversion 3)Trans- 4)Trans- 5)Number of Derivative 6)Date Exercisable and
Security or Exercise action action Securities Acquired (A) Expiration Date
Price of Date Code or Disposed of (D)
Derivative
Security Code V A D Exercisable Expiration
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<S> <C> <C> <C> <C> <C> <C> <C>
<CAPTION>
Table II (PART 2) Derivative Securities Acquired, Disposed of, or Beneficially Owned (Columns 1,3 and 7 through 11)
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1)Title of Derivative 3)Trans- 7)Title and Amount 8)Price 9)Number of 10) 11)Nature of
Security action of Underlying of Deri- Derivative Indirect
Date Securities vative Securities D Beneficial
Amount or Security Beneficially or Ownership
Number of Owned at I
- Title Shares End of Month
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<S> <C> <C> <C> <C> <C> <C> <C>
Incentive Stock Option (right Common Stock 199,997 (1)
to buy)
Non-Qualified Stock Option Common Stock 300,003 (2)
(right to buy)
<FN>
Explanation of Responses:
(1) The option shall be exercisable for 28,571 as of August 28, 1998 and shall
become exercisable for: (1) an additional 28,571 shares upon Optionee's
continuation in Service through January 1, 1999, (ii) an additional 28,571
shares upon continuation in Service through Jnauary 1, 2000, (iii) an additional
28,571 shares upon continuation in Service through Januayr 1, 2001, (iv) an
additional 28,571 shares upon continuation in Service through January 1, 2002,
(v) an additional 28,571 shares upon continuation in Service through January 1,
2003 and (vi) the remaining 28,571 shares upon continuation in Service through
January 1, 2004.
The options vest over six years as follows: (i) 40,000 shares upon Optionee's
continuation in Service through February 28, 1999, (ii) an additional 39,999
shares upon continuation in Service through August 28, 2000, (iii) an additional
34,285 shares upon continuation in Service through August 28, 2001, (iv) an
additional 15, 714 shares upon continuation in Service through August 28, 2002,
(v) an additional 30,000 shares upon continuation in Service through August 28,
2003 and (vi) the reamining 39,999 shares upon continuation in Service through
August 28, 2004.
(2) The options are immediately exercisable. The options vest over six years as
follows: (i) 60,000 shares upon Optionee's continuation in Service through
February 28, 1999, (ii) an additional 60,001 shares upon continuation in Service
through August 28, 2000, (iii) an additional 65,715 shares upon continuation in
Service through August 28, 2001, (iv) an additional 9,286 shares upon
continuation in Service through August 28, 2002, (v) an additional 45,000 shares
upon continuation in Service through August 28, 2003, and (vi) the remaining
60,001 shares upon Optionee's continuation in Service through August 28, 2004.
</FN>
</TABLE>
SIGNATURE OF REPORTING PERSON
/S/ Webb, Timothy
DATE 06/10/99
