Houston, Texas – November 2, 2006 — PROS, a world leader in pricing and revenue optimization science and software, announced strong results for the third quarter and first nine months of 2006.  PROS extended its record of profitability and positive cash flow to 31 straight quarters with increased revenues and a strong balance sheet.

“We are thrilled with our performance because it represents the continuing confidence of our customers and our leadership in Pricing Excellence,” stated Bert Winemiller, PROS Chief Executive Officer and Chairman of the Board.  “PROS remains a world leader in pricing analytics and profit optimization solutions because of our 20 year history in pricing.  Being the largest and most profitable software company in this market has allowed us to accelerate investment in advanced science and high performance scalable solutions.”

Major milestones to date include the following:

• New deals closed include software solutions for Pricing Analytics, Price List Optimization, Deal Manager and Pricing Manager.  Pricing software implementations include both global and domestic customers. 
• Announced the release of the PROS Pricing Solution Suite v3.5 which enhances PROS Pricing Solution Suite and represents the next step in the evolution of PROS best-in-class Pricing and Revenue Optimization product set.
• Major investment in new science, new software development and new consulting services.  Major releases each quarter for each product.
• Successfully released the Leased Property Pricing System which provides optimal prices for new leases, renewal leases and unit amenities.
• Launched the Product Optimization Solution as part of the PROS Pricing Solution Suite; this software provides optimal product mix to maximize revenue and profit.
• A 100% customer retention rate; PROS Client Care provides high quality services to support a large install base of solutions worldwide.  PROS also offers superior customer-based training, pricing audits and user councils.
• PROS is headquartered in Houston, TX, and has satellite offices located in Frankfurt; Hong Kong; Singapore; Dubai; London; Seoul; Vancouver; San Francisco, CA; and  Austin, TX. 
• Over 470 people attended the PROS 12th Annual Pricing Excellence and Revenue Management conference, making it PROS largest and most successful conference ever.  The event comprised of two separate tracks:  a Pricing Excellence Summit and a Revenue Management Conference.  The next conference will be held on April 22-25, 2007, in Houston, TX.
• Registration is open for the 2007 Pricing Excellence Summit on April 22-24, 2007 at the Intercontinental Hotel in Houston, TX.  This conference is designed for executives of Fortune 1000 companies who have a direct or supporting role in developing and implementing their company’s pricing strategy. 
• Celebrated PROS’ 20th anniversary by recognizing the substantial number of professional staff with over 10 years of PROS experience. 
• PROS took another step in tightening integration of its software solutions with those from SAP AG (NYSE: SAP).  PROS Pricing Management version 4.0 has successfully completed “Powered by SAP NetWeaver®” integration, which expedites the cooperative development for PROS pricing software solutions interfacing with the SAP NetWeaver open integration and application platform.
• Launched the PROS Pricing Webinar Series, which provides information on the value of pricing and grants insight on the ways to achieve pricing excellence within a corporation.
• PROS Chief Scientist Andrew Boyd Elected Chair of the INFORMS Revenue Management and Pricing Section.
• Record headcount with over 280 employees. 

“PROS is positioned well to capitalize on the emerging new category of Pricing Revenue Optimization,” said Jeff Robinson, Vice President of PROS Pricing Solutions.  “PROS continues to have a strong proven track record, proven processes and proven software solutions.”

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Corporate Communications
PROS
info@prospricing.com
713-335-5151