Condor Technology Solutions Finalizes Credit Facility Restructuring; Agreement Bolsters Company's Resurgence.

Business Editors/Hi-Tech Writers

ANNAPOLIS, Md.--(BUSINESS WIRE)--Sept. 19, 2001

Condor Technology Solutions, Inc. (OTC Pink Sheets:CNDR) today announced the conclusion of the restructuring of its credit facility with its Lender Group, led by First Union National Bank.

The final agreement establishes a four year credit facility that plans for the conversion of approximately one-third of the company's bank debt and restructures the balance. The converted debt, in the form of a $12.1 million note, will be cancelled upon shareholder approval of the company's recapitalization and issuance of equity to a trust established by the Lender Group.

This debt restructuring was previously announced and agreed to in principle in April 2001.

"After nearly two years characterized by compression, staff reduction and financial pressure, Condor today turned an important corner on the road to financial strength," said Jim Huitt, CEO of Condor Technology Solutions. "This vote of confidence by our Lender Group together with our recent sale of the company's SAP Implementation Practice and other new business contracts gives me the confidence that Condor is positioned for growth despite the overall technology sector decline. This is an enormous success for our people, our clients and our company."

Recently, Condor announced the sale of the implementation and consulting portion of its Enterprise Performance Solutions (EPS) division to Answerthink, Inc.

Under the terms of the agreement, Answerthink paid approximately $2 million in cash for the SAP Applications Group of Condor, with the potential for an additional contingent cash payment of $750,000 based upon achievement of revenue goals for the balance of 2001. Proceeds from the sale will be used for the remaining 2001 principal obligations under the credit facility and for future scheduled payments.

Among Condor's other recent successes are the renewal of a $4.1 million contract with the Department of Veterans Affairs as well as business wins with AmeriCorps, Broadwing Technology Solutions, Doylestown Hospital and Wood Dining Services.

Condor's agreement with its Lender Group restructures the company's debt into four separate notes:

-- A $15 million note bearing interest at the Prime rate plus 0.5% which allows
for amortization payments made by the company to be available as a revolving
credit facility up to $500,000.

-- A $12 million note which is interest-free until February 28, 2003.

-- A continuation of a $5 million letter of credit for trade suppliers ongoing
to March 31, 2005.

-- A fourth note represents the remaining principal balance plus accrued
interest through April 1, 2001 under the previous credit facility. Upon
shareholder approval, this approximately $12.1 million note will be cancelled
upon the issuance of equity to the Lender Group trust.

With today's announcement and the recent sale of the SAP Implementation Practice, Condor is in a better position to achieve positive third quarter results.

Condor Technology Solutions is a technology and communications company specializing in the organization, analysis and creative distribution of business information. The company's business practices include Web development, business intelligence, contact center services, infrastructure support and marketing communications. Condor Technology Solutions was founded in 1998.

It is headquartered in Annapolis, Maryland, with offices and operations throughout the Northeast. The company's Web site is www.cndr.com.

Safe Harbor

Statements in this press release that are not strictly historical are "forward looking" statements that are subject to risk and uncertainty.

Factors that could cause actual results to differ materially include, but are not limited to, the outcome of litigation, achievement of certain objectives for software license sales, managing risks associated with client projects, competition, acquisitions, acquisition integration, retention of clients of acquired companies, attracting and retaining highly skilled employees, revenue and earnings assumptions based on assumptions about continued growth and margins, as well as other risks detailed in company reports filed with the Securities and Exchange Commission, including its prospectus, 10-K and 10-Q filings.