Exhibit 99.1


Innodata Isogen Provides Further Guidance for Fourth Quarter and 2004

NEW YORK -- (BUSINESS WIRE) -- January 4, 2005 -- INNODATA ISOGEN, INC.
(NASDAQ:INOD) today announced that it estimates that revenues for the year ended
December 31, 2004 will be approximately $54.0 million, and that earnings will be
in the range of $0.32 to $0.34 per diluted share. For the fourth quarter, the
company estimates that revenues will range between $13.3 million and $13.6
million, and that earnings will range between $0.05 and $0.06 per diluted share.

Estimated results for the fourth quarter are expected to reflect the following:

      o     Completion at the end of the third quarter of several professional
            services projects, including a project that provided approximately
            $1.0 million in revenues during the third quarter.

      o     An approximate $1.0 million decline from the third quarter in
            revenues from several clients to which we are providing content
            services. Revenues from these clients vary from quarter to quarter.

      o     The effect of tax regulations recently issued by the Treasury
            Department under which the company's Philippine subsidiaries are
            treated as U.S. taxpayers. The company changed its tax structure
            prior to January 1, 2005 so that its Philippine subsidiaries will
            not be subject to U.S. income taxation under these regulations in
            2005 and thereafter. The company estimates these tax regulations
            will negatively impact fourth quarter earnings by $0.01 to $0.02 per
            diluted share.

These estimates are in line with the company's November 11th news release in
which the company stated that it expected financial results for the fourth
quarter of 2004 to show continued significant year-over-year improvement, but at
a lower revenue level than achieved in the third quarter of 2004.

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This release contains certain forward-looking statements, including without
limitation, statements concerning the company's operations, economic
performance, and financial condition. These forward-looking statements are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. The words "estimate," "believe," "expect," and "anticipate"
and other similar expressions generally identify forward-looking statements,
which speak only as of their dates.

These forward-looking statements are based largely on the company's current
expectations, and are subject to a number of risks and uncertainties, including
without limitation, continuing revenue concentration in a limited number of
clients, continuing reliance on project-based work, worsening of market
conditions, changes in external market factors, the ability and willingness of
the company's clients and prospective clients to execute business plans which
give rise to requirements for digital content and professional services in
knowledge processing, difficulty in integrating and deriving synergies from
acquisitions, potential undiscovered liabilities of companies that Innodata
Isogen acquires, changes in the company's business or growth strategy, the
emergence of new or growing competitors, various other competitive and
technological



factors, and other risk and uncertainties indicated from time to time in the
company's filings with the Securities and Exchange Commission.

Actual results could differ materially from the results referred to in the
forward-looking statements. In light of these risks and uncertainties, there can
be no assurance that the results referred to in the forward-looking statements
contained in this release will occur. We undertake no obligation to update or
review any guidance or other forward-looking information, whether as a result of
new information, future developments or otherwise.