Strong Growth Demonstrates the Value Customers See in Arena BOM and Engineering Change Management Software

FOSTER CITY, CA -- (MARKET WIRE) -- Aug 11, 2009 -- Arena Solutions, a provider of on-demand software that helps small and mid-size manufacturers manage their complex and constantly changing product record, today announced continued strong growth with new customer annuity bookings increasing by more than 28 percent for the second quarter, ending June 30, 2009, over the same period the year prior. Total annuity bookings were up more than 13% for that same period, demonstrating the ongoing value that Arena provides to companies that need to get quality products to market on time and on budget.

Companies in the high-tech electronics industry showed particular interest in having a system to address their bill of materials (BOM) and engineering change management challenges, with nearly half of all new customers signed in the second quarter coming from that industry. Without Arena, many of these companies were struggling with problems like uncontrolled spreadsheet BOMs, painful change order processes and an inability to track product costs and dates. Like the medical device, clean technology and other companies signing with Arena in the second quarter, these new customers will benefit from having a system that keeps everyone on the same page and shortens product design and manufacturing times.

To make sure all customers get up and running quickly and begin deriving value from Arena right away, in the second quarter the company continued its efforts to shrink deployment times. Leveraging the web-based software-as-a-service (SaaS) architecture of Arena and its Quickstart implementation package, more than half of the customers that went live on Arena in the second quarter did so in 30 days or less.

"Our customers have problems they need to solve, and they need to solve them now," said Ken Bozzini, chief financial officer of Arena Solutions. "They don't want to spend a lot of money to solve their problems, and they don't want to wait a long time to start seeing results. With Arena, they don't have to. The growth we saw in the second quarter, even in light of the continued sluggish economy, shows that the value is there and customers see it. Arena solves their problems, and it solves them without a lot of upfront time, expense or hassle."

Among the customers who selected Arena in Q2 2009 are:

--  Front Porch Digital, the global leader in content storage management
    (CSM) solutions and provider of an end-to-end solution for cost-effectively
    digitizing, accessing and preserving videotape and other media.
--  Prism Microwave, which designs and manufactures RF conditioning
    solutions for wireless infrastructure.
--  IVL Audio Inc., which provides innovative audio processing products to
    the professional music, consumer electronics and commercial karaoke
--  PVT Solar, the manufacturer of the echo™ solar system which
    delivers electricity, home heating, home cooling and hot water.
--  Method Products, Inc., leading innovator in premium home care products
    that are non-toxic and made from natural and naturally derived,
    biodegradable ingredients.

In the second quarter, Arena also expanded its strategic partnerships, adding a reseller channel and signing its first two value added resellers (VARs): ManofIT in Israel and Matrix Applied Computing in Oceania. Both VARs got off to a successful start, adding Arena subscriptions in their first quarter as partners. Arena expanded its Trusted Advisor Program (TAP) to include a new Premier level, and the company added new TAP partners, including two that have close relationships with NetSuite, a company with which Arena recently signed a strategic partnership. Those two are Rootstock, a software company that provides MRP functionality on the NetSuite platform, and Sererra, a company that implements and integrates SaaS solutions -- including NetSuite -- for mid-size companies.

Other significant highlights of Q2 2009:

--  Arena was recognized by Aberdeen Group in its AXIS Report on PLM
    Providers as one of the technology providers offering the best combined
    Value Delivered and Market Readiness. As noted in a press release issued by
    Aberdeen on April 28, 2009, the AXIS report "finds that contemporary PLM
    solutions are yielding benefits for discrete manufacturers including
    innovative products, shorter time to product launch or delivery and
    reductions in product and development costs."
--  Arena surpassed its 99.5 percent service level agreement for the 13th
    consecutive quarter, with 100 percent uptime in Q2 2009 and a continued
    focus on delivering the most secure and reliable collaborative BOM and
    change management solution available.

About Arena Solutions

Arena Solutions enables small and mid-size manufacturers to deliver quality products to market on time and on budget. Arena provides a collaborative environment for centralizing, controlling and analyzing complex and constantly changing product information, including bills of materials (BOMs), part specifications and change orders.

The repository for the product record, Arena sits at the epicenter of the broader product lifecycle management (PLM) landscape, connecting with systems like CAD, EDA, PDM and ERP and linking organizations with their supply chains. With its on-demand, software-as-a-service (SaaS) approach, Arena is a low-risk, rapid-return proposition that makes enterprise-class functionality available to companies that would otherwise have to contend with manual, time-consuming and error-prone product data management processes.

Founded in February 2000, Arena Solutions is headquartered in Foster City, California.

For more information, please visit the company's website at

Arena and Arena Solutions are trademarks of Arena Solutions, Inc., Reg. U.S. Pat. & Tm. Off. All rights reserved. Other product and company names are the property of their respective holders.

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