CAM Commerce Solutions, Inc.

17075 Newhope Street
Fountain Valley, CA 92708

For Release After the Market Close - May 1, 2001

Contact: Mathew Hayden, President
Hayden Communications, Inc.
858-704-5065

(FOUNTAIN VALLEY, CA) CAM Commerce Solutions (NASDAQ: CADA) announced that revenues for the three months ended March 31, 2001 were $5.1 million compared to $5.3 million for the same quarter in 2000. Revenues for the six months ended March 31, 2001 were $10.3 million compared to $11.9 million for the first six months of 2000. The losses for the three month and six month periods ended March 31, 2001 were $(969,000) or $(.32) per share and $(1,583,000) or $(.52) per share, respectively, as compared to $(175,000) or $(.07) per share and $45,000 or $.02 per share for the same periods in the prior year. Earnings (loss) before depreciation and amortization (EBDA) for the three and six month periods ended March 31, 2001 were $(564,000) and $(803,000), respectively. The company’s cash balance at March 31, 2001 was $8.7 million or $2.88 per share. This compares to $9.1 million in the previous quarter ended December 31, 2000.

"While we did not meet our stated expectations this quarter of trimming our losses and increasing our revenues, nobody should see these results as an indicator that all of the things we have been discussing are not on track," stated Geoff Knapp, CEO of CAM Commerce Solutions. "Sales is a numbers game and the number of sales leads and resulting sales activity the company has generated since January is at an historical high as a result of the entire new structure for creating and following up on sales leads we put in place. The primary factor driving this is the creation of our new inside sales group, which went on-line in late January. This is also a big part of the reason for the higher expenses in the second quarter. As an example of the success we have begun to achieve, we generated over 3,000 sales leads in the second quarter and set over 1,500 qualified sales appointments for the sales people in the first quarter. For comparison purposes we generated approximately 7,000 sales leads during all of last year, not including our MicroBiz subsidiary. Part of this is also due to major changes in our marketing efforts, which have improved our lead acquisition rate and reduced the costs per lead. However, marketing costs did increase overall in the second quarter as a result of launching some new programs. Expenses in this area should be lower in the third quarter. With a six to twelve month average sales cycle, I believe we need a few more months to begin to see the results of the greatly enhanced lead flow and improved sales processes. Our internal sales projections, which are the result of the combined forecasts of all of our direct sales people, have just begun to show increases. We believe this is directly attributable to the much higher level of opportunities that are consistently coming in every day."

"The second quarter was our first real quarter offering our new credit card processing service and software called X-Charge. Since we launched the program we have signed up a significant number of retailers on this new service. Once these new customers are up on the service this will equate to recurring yearly credit card fees of nearly $300,000. We believe the profit from this new service can grow to be a meaningful number over the next few years. The acceptance rate by our customers has been very strong for the new X-Charge product so far."

"In an effort to bring down our fixed overhead and allow us to improve profitability as our sales increase we have very recently made major changes at our MicroBiz subsidiary to bring revenues and expenses in line, as we did not see the opportunity to increase revenues there profitably. We have also made other adjustments throughout our company to streamline operations without effecting our growth potential. Furthermore, we have plenty of cash and we do not plan to put ourselves in any kind of position where we are looking at cash balances that are too low for a company our size. We have been in business for 18 years and have been profitable during most of that time. We know our business and we know what we need to do to succeed. Our plan is sound and we have every reason to believe what we are doing is going to work based on the leading indicators we see today. If those indicators should change we will react accordingly," stated Mr. Knapp.

A detailed investor update will be posted on the company’s web site at www.camcommerce.com within the next 24 hours. The update is designed to answer questions in detail as to the companies strategic and operating plans.

About CAM Commerce Solutions

CAM Commerce Solutions provides total commerce solutions for traditional and web retailers that are based on the company’s open architecture software products for inventory management, point of sale, sales transaction processing, accounting, and payment processing. These solutions often include hardware, installation, training, service, and payment processing services provided by the company. You can visit CAM Commerce Solutions at www.camcommerce.com.

Important Information

Certain statements made in this release, including those relating to the expectations of profitability and economic climates, are forwardlooking and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Words such as “will,” “should,” “believe,” “expect,” “anticipate,” “outlook,” “forecast,” “optimistic,” “feel,” “potential,” “continue,” “intends,” “goal,” “plans,” “estimates,” “may,” “seeks,” “would,” “future,” “bright,” “projected,” and other similar expressions that predict or indicate future events or trends, or that are not statements of historical matters, identify forward-looking statements. Expectations concerning financial results for future quarters are not actual results and are based upon preliminary estimates, as well as certain assumptions management believes to be reasonable at this time. Investors should not rely upon forward-looking statements because they are subject to a variety of risks, uncertainties, and other factors that could cause actual results to differ materially from management's expectations, and the company does not undertake any duty to update forward-looking statements which speak only as of the date of this release. The performance of any one month or quarter may not be indicative of future performance, particularly given prevailing market and economic uncertainties. In addition to the factors set forth elsewhere in this release, the economic, competitive, technological, and other factors identified in CAM Commerce Solutions’ filings with the Securities and Exchange Commission could affect the forward looking statements contained in this release.

	THREE MONTHS ENDED (Unaudited)		SIX MONTHS ENDED (Unaudited)
	MARCH 31 2001	MARCH 31 2000	MARCH 31 2001	MARCH 31 2000
REVENUES
Net hardware, software and installation revenues	$3,600	$4,150	$7,382	$9,627
Net service revenues	1,477	1,140	2,869	2,302
Total net revenues	5,077	5,290	10,251	11,929
COSTS AND EXPENSES
Cost of hardware, software and installation revenues	1,951	2,268	3,910	5,203
Cost of service revenues	784	610	1,500	1,232
Total cost of revenues	2,735	2,878	5,410	6,435
Selling, general and administrative expenses	3,005	2,322	5,786	4,732
Research and development expenses	428	415	916	795
Interest income	(122)	(53)	(278)	(101)
Total costs and expenses	6,046	5,562	11,834	11,861
Income (loss) before provision (benefit) for income taxes	(969)	(272)	(1,583)	68
Benefit for income taxes	-	(97)	-	(23)
Net income (loss)	$(969)	$(175)	$(1,583)	$45
Basic net income (loss) per share	$(0.32)	$(0.07)	$(0.52)	$(0.02)
Diluted net income (loss) per share	$(0.32)	$(0.07)	$(0.52)	$(0.02)
Shares used in computing basic net income (loss) per share	3,019	2,482	3,018	2,396
Shares used in computing diluted net income (loss) per share	3,019	2,482	3,018	2,977

	MARCH 31 2001 (Unaudited)	JUNE 30 2000 (Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$8,709	$10,444
Accounts receivable, net	2,081	1,782
Inventories	576	696
Other current assets	813	893
Total current assets	12,179	13,815
Property and equipment, net	878	922
Intangible assets, net	3,475	3,262
Other assets	423	297
Total assets	$16,955	$18,296
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$723	$644
Accrued compensation and related expenses	489	477
Customer deposits and deferred service revenue	1,179	854
Other accrued liabilities	168	373
Total current liabilities	2,559	2,348
Deferred income taxes	91	91
Stockholders' equity:
Common stock, $.001 par value; 12,000 shares authorized
shares issued and outstanding 3,020
at March 31, 2001	3	3
Paid-in capital	13,616	13,585
Retained earnings (accumulated deficit)	686	2,269
Total stockholders' equity	14,305	15,857
Total liabilities and stockholders' equity	$16,955	$18,296

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