Excelergy Completes Record Year in 2001; Company Finishes Year With Best Sales Quarter Ever.

Business/Technology Editors

LEXINGTON, Mass.--(BUSINESS WIRE)--Jan. 23, 2002

Excelergy Corporation, the world's leading provider of high performance software products automating business processes in the energy/utility industry and other restructuring markets, reported today it completed a record quarter for sales in Q4 2001. This capped a record year for Excelergy for 2001, a year in which overall revenues increased 65 percent, overall bookings increased 89 percent, software license revenue grew 91 percent, and maintenance and support services revenue grew 130 percent despite generally down market conditions in the technology sector.

"2001 was truly a breakthrough year for Excelergy. Within a span of 12 months, we've nearly doubled our global client base and become one of the fastest growing software product companies - public or private - in our target markets," said Bill Mahoney, Excelergy's president and chief executive officer. "From signing new major clients in Europe and Asia, to expanding our market share in every segment of the energy/utility industry, to securing our first client in the media/communications market, we executed every single element of our corporate and financial strategy for 2001."

Excelergy's performance in the last three months of 2001 produced its best operating quarter ever, continuing the company's strong upward curve in its financial strength, stability and profitability. Based on Excelergy's significant growth in Europe and Asia, 30 percent of its total 2001 sales were international. In addition, the company's strengthened global channel partner program now is responsible for more than 60 percent of new sales, nearly doubling the rate achieved in 2000.

Below are selected additional highlights of Excelergy's achievements during 2001:

-- Signed new global energy/utility clients including ACN Energy, American Electric Power, London Hydro (Canada), Maverick Energy (United Kingdom), New West Energy, Powercor Australia, Sempra Energy Solutions, Toronto Hydro, Vectren Source, World Energy Exchange, and Utilities Kingston (Canada).

-- Closed significant add-on agreements/delivered rapid product upgrades to ANY-G (Holland), Allegheny Energy Supply, American Electric Power, BGE Home, FirstEnergy Services, Hydro One Networks (Canada), and Maverick Energy, among others.

-- Secured first media/communications client in S2 Entertainment, an agreement engineered by new energy and broadband systems integration partners Xperts Inc.

-- Strengthened financial results through superior product delivery and collections activities, a key indicator of client satisfaction, and ended the year with record cash-on-hand. Early in 2001, Excelergy closed a $15 million mezzanine round of private equity investment that remains reserved for future investment opportunities.

-- Developed new product capabilities including significant enhancements to its core product lines - Excelergy eXACT(R), Excelergy Advanced Business Package(TM), and Excelergy Energy Trading(TM). In addition to significantly accelerating the number of jurisdictions in which its clients now operate, Excelergy also released several new products and components enabling clients to further automate vital business processes such as prospecting/customer acquisition, complex billing, forecasting and settlement.

-- Earned prestigious national awards such as Red Herring Magazine's Top 50 Private Companies and New Energy Economy Magazine's Top 50 People in Energy IT.

-- Strengthened its enterprise software and domain expertise through strategic personnel additions in its product development, energy trading, sales, marketing, client services, and new business development divisions.

"We've achieved this success and momentum because we've continued to deliver proven software products that solve problems and deliver measurable business and financial benefits to our expanding number of global clients," added Mahoney. "This is a tribute to the world-class group of colleagues that we've assembled here at Excelergy. Together, we will continue to execute our strategic and tactical plans in 2002 and set new standards for the performance, growth and success of our clients and our company."

About Excelergy(R) Corporation

Excelergy is the world's first provider of open co-action software products - putting "action" at the heart of "collaboration" - to meet restructuring market needs worldwide. Excelergy delivers open co-action through its three core product lines: Excelergy eXACT(R) for inter-company collaboration, the Excelergy Advanced Business PackageTM for intra-company collaboration, and Excelergy Energy Trading(TM) for straight-through processing of wholesale energy business processes. These products are based on an open, object-based, Web-architected, native XML technology platform. Excelergy's North American headquarters are located in Lexington, MA, with its European headquarters in Bristol, England and its Asia-Pacific operations based in Melbourne, Australia. More information is available at www.excelergy.com.