2002 Another Record Year for Open Solutions
- Company Posts Record Revenue, 4th Quarter Profitability and Year-end
Positive
Cash Flow from Operations -


GLASTONBURY, Conn., Feb. 24, 2003 - Open Solutions Inc. (OSI), a provider of integrated enabling technologies for community financial institutions, announced that 2002 was another record year for the company. Open Solutions,
with services that include relational core account data processing, business intelligence, Internet-based online banking and cash management, financial accounting tools, imaging and loan origination applications, had its total annual revenue increase to $44.4 million for the calendar year ending December 31, 2002. This record performance represents a rate of growth of 63
percent over the previous year. In addition, Open Solutions achieved positive net income in the fourth quarter of 2002 and recorded positive cash
earnings from operations (EBITDA) for the year. The company also ended the year with more than 1,650 clients using one or more of the company's
products or services.

Open Solutions' Chairman and CEO, Louis Hernandez, Jr. said, "Although 2002 continued to be marked by a slowing economy, our company continues to demonstrate impressive growth in terms of financial performance, new clients, long term client renewals, new product and service launches, strong contract backlog and overall industry interest in our products and services.
Market reaction to our client-focused solutions continues to be tremendous and to outpace industry growth. We see that momentum continuing into 2003."

Open Solutions continues to focus strongly on bringing the best technology and service solutions to the financial services industry, particularly
applications designed to meet the strategic and competitive needs of banks and credit unions. The driving force of Open Solutions' offerings is to
enable financial institutions to serve their markets better and more efficiently. Open Solutions' full suite of products allows financial institutions to add new products and services easily, serve all delivery channels consistently and make use of real-time market information.

The company achieved several important milestones in 2002:

  • Open Solutions continued to expand its technology product offering through new product launches (i.e., integrated collections, integrated safe deposit box, account aggregation and a disaster recovery service offering) and the acquisition of the FTI Financial Technologies' General Ledger, Asset Management and Profit Vision business from HNC Software, Inc. (now part of Fair, Isaac and Company)
  • The company continued to add features to its commercial banking product line and significantly enhance its credit union offerings across all business lines
  • Released version 3.7 of OSI's relational core data processing software suite - the industry's only Oracle(r)-based, relational enterprise solution. In addition, the company also released version 4.5 of its real-time retail, commercial Internet banking product and cash management suite and announced a new Sound Software Commercial lending module
  • Hosted its annual Client Association User Group Conference in San Antonio, Texas with 75 percent client participation. At this conference, OSI introduced its product enhancement schedule, showcased new product offerings, offered educational sessions and provided networking opportunities
  • Continued to attract talented and experienced leaders to its senior and executive management teams with the addition of industry veterans Carl Blandino, former CFO at Online Resources Corporation (NASDAQ: ORCC), as Vice President and Chief Financial Officer and Jay Singer, Former Bank Executive and KPMG Principal, as Vice President of Professional Services
  • The company celebrated its 10th year in business marking ten years of continuous growth, exceptional client service and providing leading edge technology solutions
  • The company signed more than 160 new agreements across all its business units, expanded its professional services offering and saw its Technology Outsourcing Center continue to prosper with the addition of clients using core and Internet-based products in an outsourcing mode.
  • The company successfully completed the conversion of several of the largest financial institutions in Open Solutions' history using its advanced conversion engine technology
  • Completed a highly successful benchmarking and performance test of its relational Oracle-based enterprise-banking system for a $40 billion model financial institution with assumed growth to $60 billion. Using the company's "benchmarking tool set" Open Solutions was able to demonstrate and confirm that its processing platform could effectively handle and support the growing needs of its client financial institutions well into the future
  • Open Solutions continued to attract the attention of leading partners across its entire suite of products and during 2002 added numerous partnerships including Netkey, ASD and IBM. This complements existing strong relationships with HP/Compaq, Oracle Corporation and Microsoft, among others, and
  • The company was honored in 2002 by receiving the 2001 Outstanding Sales Growth Award from Connecticut Innovations Inc. (Connecticut's leading investor in high technology companies) and was named to Deloitte & Touche's CT Technology Fast 50 program for the 5th year in a row.

"As we review the year and look to the future," Hernandez said, "we are encouraged by our continuing momentum and ability to aggressively serve our clients and the industry with a strong commitment to providing superior service and outstanding technology solutions. Our open standards, flexibility and advance architecture allow us to quickly address the needs of our market. In the coming year, we as an organization will continue to focus on providing ways for financial institutions to better compete in a
challenging and ever changing environment. Our vision remains clear -- to enable banks and credit unions to add new products easily, create new
revenue streams and consistently serve customers or members efficiently through all distribution points by providing the very best in innovative technology solutions and services.

About Open Solutions
Open Solutions Inc. offers a fully featured strategic product platform that integrates core data processing applications, built on a single centralized Oracle relational database, with Internet banking, cash management,
CRM/business intelligence, imaging, financial accounting and loan origination solutions. OSI's full suite of products and services allows banks, savings institutions and credit unions to better compete in today's aggressive financial services marketplace, expand and tap their trusted
financial relationships, client affinity, community presence and personalized service.

For more information about Open Solutions, or its financial product line, contact Mickey Goldwasser at 860.652.3153, via fax at 860.652.3156, or email
mgoldwasser@opensolutions.com. Visit OSI's Internet site at www.opensolutions.com.