Press Release

July 25, 2001

OpenAir Continues Explosive Growth in 2nd Quarter

Adds over 35 new customers and increases revenues over 500%

Boston, MA (July 25, 2001) — OpenAir, provider of the complete web-native professional services automation solution, today reported second quarter results for the period ending June 30, 2001.

In the second quarter of 2001, more than 35 new mid-market customers selected OpenAir's professional services automation solution, bringing the company's customer base to over 500 firms. Growth continued in OpenAir's traditionally strong industry segments, including technology consulting, management consulting, advertising and PR, and internal professional services groups. In the quarter, OpenAir increased revenues by over 500% versus Q2'00, driven primarily by monthly software subscription fees.

CEO Morris Panner explained OpenAir's success, "As the economy has forced professional services organizations to focus more on operational effectiveness, those that evaluate OpenAir find it to be the fastest, most cost-effective way to increase returns on their most important assets, namely people and company knowledge."

Panner's assessment was reflected by several of OpenAir's new customers. John Kneeley, CEO of Martin Progressive, an IT strategy consulting firm that deployed OpenAir to 300 consultants across four offices, concluded, "It was an easy decision for us. OpenAir offered a very rapid implementation schedule and a pricing structure that minimized upfront costs, so the investment paid back almost immediately. We are already seeing increases in operational efficiency and have clearer, more immediate insights into key profitability drivers."

Other OpenAir highlights for Q2'01:

  • Completed three monthly product updates, enhancing the functionality of each module within our solution based on customer feedback.

  • Named a top 20 Global ASP by ASPNews.com based on the size of the OpenAir customer base and revenue streams, innovation, and recognition as a leader by others in the industry.

  • Earned the IBM ASP Prime™ certification, attesting to the scalability, reliability, availability, security and performance of the OpenAir solution.

About OpenAir
OpenAir is the Web-native professional services automation solution that helps organizations improve operational efficiencies and gain insights into key management metrics. OpenAir customers increase profits by capturing additional billable hours, increasing employee utilization, streamlining project management, accelerating revenue, enhancing collaboration, and by sharing knowledge and best practices throughout the organization. OpenAir has helped over 55,000 professionals in over 500 companies across six continents increase profits through its subscription-based solution. For additional information, visit www.openair.com.

Contact
Jeff Hunt
OpenAir
Phone: 617-351-0236
jeffhunt@openair.com