HiSoftware Records 2009 Financial Milestones

Record growth fueled by key customer wins including Global 2000 companies and world-wide Public Sector agencies

Nashua, NH — January 20, 2010 — HiSoftware Inc. (www.hisoftware.com), a leading provider of social media and Web content compliance, today announced the results for fiscal year 2009 ending December 31, 2009. The company reported an increase in revenues of 49.6 percent from the prior year 2008. As a breakdown of revenue, strong annual subscription licensing and hosted contracts grew in excess of 92 percent. The company’s growth was also buoyed by the extremely high enterprise customer retention rate of 100 percent while annual recurring revenues exceeded 62 percent for the year. Professional services through the company’s newly formed Accessibility Consulting Practice (ACP) doubled from the prior year. Along with strong, top-line revenue growth HiSoftware improved its operating income, set new levels in customer acquisition and average deal size and reduced overall debt.

Robert Khederian, HiSoftware’s Chairman of the Board of Directors said, “We are very pleased with HiSoftware’s performance in 2009 in terms of both reported financial results and strategic advancement. In light of the global economic challenges, management was able to execute on the strategy of delivering proven technology solutions to market for some of the largest companies and government agencies in the world.”

Other notable highlights for 2009 include:

• Broadened customer presence across key verticals including financial services, consumer goods, pharmaceuticals, retail, central government, state and local governments, and education.
• Signed 25 new strategic, referral and distribution partners across the globe including: South Korea, Australia, New Zealand, India, United Kingdom, Denmark, Netherlands, Germany, Spain, Portugal, Italy, Bermuda, Canada and the United States.
• Released leading solutions to the market including HiSoftware Compliance Sheriff® v3 for Microsoft SharePoint® 2007 / 2010, Accessibility Kit for SharePoint (AKS™) v2, accessible Rich Text Editor (aRTE™) v 1 and AccVerify / Repair v11.
• Expanded the management team with key hires - Jeff Butts as VP of Sales and Marketing, and Thomas Logan as VP of Product Development.

HiSoftware President and CEO, Kurt A. Mueffelmann, stated, “I would like to personally thank our valued customers, staff, partners and shareholders. Given the extremely tight economic times across the globe, HiSoftware continued to deliver high-value solutions to the market for Web and social media compliance. Our rapidly expanding roster of world-wide customers has validated our underlying offerings and market strategy. We are well positioned to execute on our targeted market opportunities and look forward to successful results in the year ahead.”

About HiSoftware

Founded in 1998, HiSoftware Inc. (www.hisoftware.com) is a leading provider of social media and Web content compliance software that monitors risk management across disperse eContent environments – keeping information safe, appropriate and within regulatory guidelines. The company’s automated solutions provide a Governance and Regulatory Compliance (GRC) platform for managing dynamic content to address risk factors including Privacy, Accessibility, Appropriateness, Confidentiality, Brand Consistency and Operational Security across websites, intranets, document libraries, email, and social and collaborative media. HiSoftware’s customers consist of many of the world’s largest public and private intranet and public facing sites including US and international government agencies and Global 2000 companies.

Media Contact
Irena Mroz
Director of Marketing
HiSoftware Inc.
+1.603.578.1870
irena@hisoftware.com

John Rogers
CFO / COO
HiSoftware Inc.
+1.603.578.1870
jr@hisoftware.com