Enterprise applications software provides organizations with the ability to streamline, automate and integrate a variety of business processes, including financial management, supply chain management, human capital management, project and resource management, customer relationship management, manufacturing and business performance management.

In 2007, Forrester Research, a leading industry research firm, identified the project-focused business software market as a separate category of enterprise applications software. Their findings indicated that project-focused organizations are inadequately served by existing generic enterprise software applications developed for the manufacturing world. According to Forrester Research, business process and applications professionals seeking a project-focused solution remain frustrated with many project management, enterprise resource planning and customer relationship management solutions that are ill-equipped to address the project needs of an industry.

Forrester also observed that business process and applications professionals will continue to seek solutions that align interactive processes and streamline delivery of engagements, projects and programs. Forrester Research generally observed that project-focused organizations require highly specialized applications software that automates and streamlines project-focused engagements, projects and programs.

The unique characteristics of project-focused organizations create special requirements for their business applications that frequently surpass the capabilities of generic applications software packages (for example, those designed primarily for manufacturing or financial services firms). Project-focused organizations require sophisticated, highly integrated software applications that automate end-to-end business processes across each stage of the project lifecycle. Project lifecycles vary significantly in length and complexity and can be difficult to forecast accurately.

The Company’s software solutions are industry-specific and “purpose-built” for businesses that plan, forecast and otherwise manage their business processes based on projects, as opposed to generic software solutions that are generally designed for repetitive, unit-production-style businesses.

The Company’s portfolio of software applications includes:

- Comprehensive financial management solutions that integrate project control, financial processing and accounting functions, providing business owners and project managers with real-time access to information needed to track the revenue, costs and profitability associated with the performance of any project or activity;

- Business applications that enable employees across project-focused organizations to more effectively manage and streamline business processes, including resource management, sales generation, human resources, corporate governance and performance management; and

- Enterprise project management solutions to manage project costs and schedules, measure earned value, evaluate, select and prioritize projects based on strategic business objectives and facilitate compliance with regulatory reporting requirements.

The Company employs a dedicated services team that provides a full range of consulting and technical services, from the early planning and design stages of an implementation to end user training.

Consulting services revenues increased $9.4 million, or 33%, to $38.3 million for the six months ended June 30, 2007 compared to the six months ended June 30, 2006.

Cost of consulting services increased by $8.7 million, or 35%, to $33.4 million for the six months ended June 30, 2007 compared to the six months ended June 30, 2006.

Cost of maintenance services increased $0.3 million, or 4%, to $7.7 million for the six month period ended June 30, 2007 compared to the six months ended June 30, 2006.

Sales and marketing expenses increased by $4.4 million, or 27%, to $20.6 million for the six month period ended June 30, 2007 compared to the six month period ended June 30, 2006.

Interest expense decreased by $1.6 million, or 15%, to $9.2 million for the six months ended June 30, 2007 compared to $10.8 million for the six months ended June 30, 2006.