Capiotech joins the ASG Group of companies

1st June, 2010

SYDNEY, AUSTRALIA, June 1, 2010 Capiotech announced today that it has become part of the ASX listed services outfit ASG Group (ASX: ASZ) in a move which will boost revenues and create new opportunities for the company.

In an ASX statement, ASG said the deal, would add business intelligence and enterprise performance management service capabilities. It also completed a program of growth initiatives which has also seen the acquisition of Dowling Consulting and Courtland Business Solutions.

According to ASG chief executive officer, Geoff Lewis, the Capiotech acquisition fit a pattern of gaining capabilities in high-value services around business intelligence, SAP and consulting.

ASG has also secured $112 million in new business wins since January 2010 with customers such as the Department of Prime Minister & Cabinet, Western Power and the WA Department of Education.

ASG acquired Courtland in April as a means for the Oracle-based ASG to move into the SAP market.

Along with new SAP capabilities, Courtland also provides a customer book which includes mining, oil and gas, engineering, construction and infrastructure clients.

The March deal with the Department of Prime Minister and Cabinet is worth up to $41 million over nine years and sees the Department's desktops, servers and networks serviced by ASG Group.

Also in March, ASG picked up a three-year $13 million contract with the Department of Broadband Communications and the Digital Economy (DBCDE).

ASG CEO, Geoff Lewis, said the acquisition would also strengthen the Oracle relationship, and provide a new set of customers on the east coast to service.

"The acquisition will also give us a greater scope with our existing customers," Lewis said. "Capiotech's CEO and its senior management are all very experienced people, and we're very excited about having them on-board."

"We have a track record of working successfully with ASG in the past and believe there is a significant opportunity for the future growth of our businesses together," said Capiotech chief executive officer, Steve Pennisi.

For more information, please, visit http://www.capiotech.com/ or contact:

Steven Pennisi

CEO

Telephone: +61 1300 725 961

email: steven.pennisi@capiotech.com