This action furthers AremisSoft's plan to serve the entire hospitality market with leading edge enterprise applications. With this acquisition, AremisSoft intends to further broaden its enterprise product offering to include a comprehensive sales and catering system that enables the hotel group's meeting sales and related management staff to efficiently generate revenue. The sales and catering activity is often a key revenue generator in hotels with extensive meeting rooms and conventions, accounting for up to 45% of total revenue in the major chains. Daylight Software has developed a leading edge next generation sales and catering system that is being enthusiastically accepted in the market. 
      
Daylight Software has approximately 100 customers primarily located in the U.S. The Daylight application software has been proven in such prestigious properties as the Boca Raton Resort and Club, the Opryland Hospitality Group, Ian Schrager Hotels and Resorts Worldwide, Orient Express Hotels and Resorts, the Colonial Williamsburg Foundation, Sonesta International Hotels Corporation and many others. Daylight Software has approximately 65 employees and is located in Dover, New Hampshire. The Company was founded by William Duncan, one of the pioneers in the hospitality sales and catering industry. AremisSoft intends to run Daylight Software as a single unit within its worldwide hospitality operation. 
      
Paul Bloom, Executive Vice President of Corporate Development of AremisSoft, stated, "The acquisition of Daylight Software represents a further step in advancing AremisSoft's strategy to create the premier supplier of enterprise class hospitality systems worldwide. Daylight Software will enable us to add substantially to our product portfolio with proven applications that have already been well received in major resorts and high end hotels. Our worldwide hospitality sales teams will benefit from the opportunity to cross sell the AREMIS and Daylight products to our growing customer base. Daylight will benefit from AremisSoft's worldwide network of support offices.  Daylight has established very strong customer acceptance and a substantial sales pipeline which we believe will only be aided by its association with AremisSoft." 
      
Under terms of the letter of intent, AremisSoft intends to acquire the assets and certain liabilities of Daylight for an undisclosed combination of cash and future consideration. Daylight Software shareholders can earn cash consideration based upon an earn-out formula, over the next 18 months, designed so that increasing consideration is associated with a higher increment to AremisSoft's earnings per share. The closing of the transaction is subject to approval by AremisSoft Board of Directors, the shareholders of Daylight Software and other conditions. While Daylight Software has been in operation since 1994, the sales and catering system has only been on the market since 1999. 
      
Paul Bloom further commented, "Daylight has a unique product offering that can materially enhance AremisSoft's presence in the resort and high-end hotel market segments as well as our longer term business potential. The Daylight product provides true multi-site capability, deep functionality, is web enabled, and will soon offer wireless connectivity for mobile sales reps.  Daylight management helped found the sales and catering industry. This tremendous level of knowledge and experience has been distilled into a new product that has already proven itself in extensive competitive situations under very exacting scrutiny." 
      
Daylight Software 
Founded in 1994, Daylight offers a full range of highly sophisticated software for sales and catering management, including comprehensive account/contact management, guest room and function room management, event management and full reporting capabilities. Daylight's software innovation for properties of different sizes and needs creates a clear competitive advantage in performance, flexibility, speed and functionality, but most importantly in its responsive and personalized customer support. The product offers the industry's deepest functionality and flexibility.

AremisSoft Corporation 
AremisSoft develops, markets, implements and supports enterprise-wide applications software targeted at mid-sized organizations in the manufacturing, healthcare, hospitality and construction industries. The Company's software products help streamline and enhance an organization's ability to manage and execute mission-critical functions such as accounting, purchasing, manufacturing, customer service and sales and marketing. AremisSoft reported total revenue of $123.6 million for the twelve months ended December 31, 2000 and pro forma net income of $29.2 million for the same period. AremisSoft has approximately 1,300 employees, with sales in over 20 countries and a customer base in excess of 8,000. The Company also operates a software development and support facilities in India, with approximately 300 employees, which provides significant organizational efficiencies and cost advantages in software development and support. 

Cautionary Statement for Purposes of the "Safe Harbor" Provisions of the Private Securities Litigation Reform Act of 1995: All statements, other than historical facts, included in the foregoing press release regarding the Company's financial position, business strategy, and plans of management for future operations are "forward looking statements."