CAM Commerce Solutions, Inc.

17075 Newhope Street
Fountain Valley, CA 92708

August 2, 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 June 30, 2001 were flat at $5 million compared to the same quarter in 2000. Loss excluding depreciation and amortization expense and a third quarter asset impairment charge for the three month period ending June 30, 2001 was $(34,000), compared to a $10,000 profit in the same period of 2000. The loss for the three month period, before the third quarter pretax asset impairment charge of $1.9 million for the write down of certain intangible assets, was $(435,000) compared to $(201,000) in the prior year.

Revenue for the nine months ended June 30, 2001 was $15.2 million compared to $16.9 million for the first nine months of 2000. Loss excluding depreciation and amortization expense and a third quarter asset impairment charge for the nine month periods ended June 30, 2001 was $(837,000), compared to a $452,000 profit for the first nine months of 2000. The loss for the nine month period, before the third quarter pretax asset impairment charge of $1.9 million for the write down of certain intangible assets, was $(2,018,000) compared to $(156,000) in the prior year. The company’s cash position as of June 30, 2001 was $8.8 million or $2.93 per share, which was slightly higher than the previous quarter ending March 31, 2001. The Company is debt free.

During the third quarter, the Company booked a $1.9 million asset impairment charge for the write down of goodwill relating to the MicroBiz acquisition and other intangible assets. The result of this non-cash charge brought the loss for the third quarter ended June 30 to $2.3 million and the loss for the nine month period to $3.9 million. The effect of the write down of these intangible assets will be to reduce the amount of amortization charged against earnings in the fiscal year 2002 by $540,000.

"We were less than $35,000 from cash break-even based on a loss excluding depreciation expense, amortization expense, and an asset impairment charge in the third quarter, with lower than expected sales," stated Geoff Knapp, CEO of CAM Commerce Solutions. "Had we hit our sales projections we would have made it with plenty of room to spare. Our marketing and sales efforts continue to produce high levels of opportunity and quite frankly I am surprised that we are not seeing better sales results, but difficult market conditions continue to impede our progress. However, we are not going to use poor market conditions as an excuse for not attaining better results and I still feel very confident about our direction and future prospects. We have a path to profitability, which does not require that market conditions improve. The non-cash write down we took this quarter will actually put us in a much better profit position going forward since we will no longer be starting out in the hole each quarter due to high levels of amortization of soft assets. When you combine this with the operational changes already implemented, which have lowered our fixed overhead, we are in a position to be profitable now. It simply comes down to executing on a reasonable percentage of our sales opportunities."

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)		NINE MONTHS ENDED (Unaudited)
	JUNE 30 2001	JUNE 30 2000	JUNE 30 2001	JUNE 30 2000
REVENUES
Net hardware, software and installation revenues	$3,701	$3,868	$11,083	$13,495
Net service revenues	1,277	1,093	4,146	3,395
Total net revenues	4,978	4,961	15,229	16,890
COSTS AND EXPENSES
Cost of hardware, software and installation revenues	1,807	2,245	5,717	7,448
Cost of service revenues	707	619	2,207	1,851
Total cost of revenues	2,514	2,864	7,924	9,299
Selling, general and administrative expenses	2,546	2,029	8,332	6,740
Research and development expenses	456	449	1,372	1,265
Asset impairment charge	1,899	-	1,899	-
Interest income	(103)	(124)	(381)	(225)
Total costs and expenses	7,312	5,218	19,146	17,079
Loss before benefit for income taxes	(2,334)	(257)	(3,917)	(189)
Benefit for income taxes	-	(56)	-	(33)
Net income (loss)	$(2,334)	$(201)	$(3,917)	$(156)
Basic net income (loss) per share	$(0.77)	$(0.07)	$(1.30)	$(0.06)
Diluted net income (loss) per share	$(0.77)	$(0.07)	$(1.30)	$(0.06)
Shares used in computing basic net income (loss) per share	3,020	2,733	3,019	2,508
Shares used in computing diluted net income (loss) per share	3,020	2,733	3,019	2,508

	JUNE 30 2001 (Unaudited)	JUNE 30 2000 (Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$8,843	$10,444
Accounts receivable, net	1,992	1,782
Inventories	505	696
Other current assets	665	893
Total current assets	12,005	13,815
Property and equipment, net	844	922
Intangible assets, net	1,404	3,262
Other assets	417	297
Total assets	$14,670	$18,296
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$711	$644
Accrued compensation and related expenses	530	477
Customer deposits and deferred service revenue	1,170	854
Other accrued liabilities	194	373
Total current liabilities	2,605	2,348
Deferred income taxes	91	91
Stockholders' equity:
Common stock, $.001 par value; 12,000
shares authorized, 3,020 shares issued and
outstanding at June 30, 2001 and 3,012 at
September 30, 2000	3	3
Paid-in capital	13,619	13,585
Retained earnings (accumulated deficit)	(1,648)	2,269
Total stockholders' equity	11,974	15,857
Total liabilities and stockholders' equity	$14,670	$18,296

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