Computer Software Innovations, Inc. Completes Acquisition of Software Solutions Provider, McAleer Computer Associates
Expands Primary Geographic Sales Markets from Three to Eight States
Adds Seasoned Client Base and Additional Recurring Revenues
EASLEY, SC – January 4, 2007 – Computer Software Innovations, Inc. (“CSI”) (OTCBB: CSWI.OB), a provider of software and technology solutions to public sector organizations, today announced that it has completed the acquisition of McAleer Computer Associates, Inc. (“McAleer’) based in Mobile, Alabama. The transaction was structured as a purchase of assets, the terms of which where were previously disclosed on Forms 8-K filed with the Securities and Exchange Commission on September 20 and November 27, 2006.
The acquisition of McAleer expands and strengthens CSI’s current operations with the addition of an office in Mobile, Alabama, from which CSI will be able to deliver expanded technology and service offerings to a broader geographic area and the local government (city and county) markets. In contrast to CSI, McAleer has not historically focused on the local government market or provided as broad a range of technology solutions, providing CSI the opportunity to increase sales to this specific market and the region. McAleer, with over 25 years of experience in the industry, also brings a strong background in education management, including fund accounting software, hardware, forms and printing, and consultation. With the growing responsibilities of school officials, McAleer has created internal services to ease the burdens to the schools’ central offices. These services include assistance with meeting particular reporting requirements of the Governmental Accounting Standards Board (GASB 34) and other outsourced consultation services.
Nancy Hedrick, CSI’s CEO, stated, “We are excited to welcome the McAleer team to CSI and look forward to their contribution in further growing and enhancing our current operations and product offerings. With McAleer’s client base and strong solutions-focus, this acquisition represents an important step in our overall strategy of expanding our solution offerings and growing our business to a national level. McAleer specifically accelerates the growth of our solution delivery capabilities in the Southeastern US markets.” Hedrick added, “With McAleer’s annual revenues of approximately $3 million, CSI should benefit from additional sales opportunities with the embedded customer base and the larger footprint the acquisition provides. We believe our combined expertise and widened geographic coverage should enable us to deliver software and technology solutions of significant value to our current and expanding customer base.”
Jeff Mackin, the former Managing Director of McAleer, will serve as a CSI vice president, and will continue to oversee the operations of the Mobile office. Jeff and the team will continue to focus on delivering quality service to their clients, while upgrading them to NextGen, McAleer’s Microsoft Windows® based financial management system, as well as introducing clients to any additional products and services offered by CSI. CSI anticipates the strengthening of its market presence in the newly expanded territory, as well as enhanced opportunities for growth into additional geographic markets by combining the efforts of the McAleer and CSI sales teams.
About Computer Software Innovations, Inc.
Computer Software Innovations, Inc. is a full service company providing software and technology solutions primarily to public sector organizations. The software solutions include financial management, billing and revenue management, school activity accounting, lesson planning and automated workflow. The technology solutions include IP telephony, IP video surveillance, visual communications, interactive classrooms, network security and traffic monitoring, infrastructure design, wireless solutions, network management, engineering services and hardware solutions. CSI’s client base includes school districts, higher education, municipalities, county governments, and other non-profit organizations. Currently, more than 400 public sector organizations utilize CSI’s software systems and network integration services. Additional information on CSI can be obtained through its website at www.csioutfitters.com.
Forward-Looking and Cautionary Statements
Certain information contained in this news release includes forward-looking statements that involve substantial risk and uncertainties. Any statement in this news release that is not a statement of an historical fact constitutes a “forward-looking statement.” Among other things, these statements relate to our financial condition, results of operations and business. When used in this news release, these forward-looking statements are generally identified by the words or phrases “may,” “expect,” “anticipate,” “plan,” “believe,” “seek,” “estimate,” “project” or words of similar import. These forward-looking statements are not guarantees of future performance. These statements are based on management’s expectations that involve a number of business risks, uncertainties and other factors that may cause the actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements. Many factors are beyond our ability to control or predict. You are accordingly cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date that we make them. For more information on factors that could affect expectations, see the Company’s Annual Report on Form 10-KSB for the year ended December 31, 2005, and other reports from time to time filed with or furnished to the Securities and Exchange Commission. This press release speaks only as of its date, and the Company disclaims any duty to update the information herein.
For More Information, Contact:
Computer Software Innovations, Inc.
David Dechant, 864-855-3900
Alliance Advisors, LLC
Mark McPartland, 910-221-1827