AXS-One Announces Strong Q2

RUTHERFORD, N.J. -- AXS-One Inc. [OTCBB: AXSO], a leading provider of high-performance records compliance management (RCM) solutions, today announced a number of contract wins, all signed during April 2008. These wins, which include a major competitive replacement contract, signal a positive start to the Companys second quarter 2008 revenue growth.

The Company announced that as of April 30, 2008, it has closed more than $700,000 of new license revenue, and is on track to continue its momentum of license and revenue growth through the second quarter. Today’s announcement follows on the heels of AXS-One’s first quarter 2008 financial results and the announcement of the Company’s best-ever quarter for RCM revenues.

The new or expanding customers include a South Asian bank, a major U.S. law firm and an international healthcare services company, where AXS-One replaced a failed implementation from a competitor. The healthcare services customer chose AXS-One after an extensive production test of the AXS-One Compliance Platform™, which included scalability, usability and performance testing on a Windows server using VMWare against production data. The customer will initially be going live with 25,000 users, deploying AXS-One’s integrated solution for Lotus Notes archiving, mailbox management, retention management and litigation readiness.

“We are beginning to see the strong market demand that we have been expecting for a few years,” said Bill Lyons, CEO of AXS-One. “Today, we are also seeing the Early Adopters review their initial archiving decisions and make new buying decisions based on changing regulatory requirements and new technologies.The business we closed in April, particularly where we have replaced a failed implementation by a competitor, represents a strong validation of our award-winning AXS-One Compliance Platform flagship product. As demand for scalable archiving solutions continues to increase, it’s clear that AXS-One is extending its market leadership by delivering a rich set of features and functionality with the lowest infrastructure costs as well as fast implementation.”

AXS-One Inc.