Local Headquarters Forecasts Growth in SME Space

Pittsburgh, August 22, 2005 UBICS, Inc., –a Pittsburgh-based leading provider of Information Technology (IT) Services, announced today the launch of its new Strategic Services Division. This new division offers turnkey solutions in technology and back-office process management for the North American and European markets. UBICS is affiliated with the $2 Billion UB Group and has a strong presence in the USA, UK and India. It currently enjoys a global reputation for its IT consulting services and delivery of IT projects to customers in financial services, healthcare and manufacturing industries. Leveraging UBICS’ strengths in technology and global delivery models, the new strategic services division positions UBICS as a single source provider of integrated IT and Business Process Outsourcing (BPO) services to its customers. Although only made public today, UBICS already has several clients on board.

In April, UBICS won its first integrated services contract with a major service provider in the healthcare industry. UBICS is delivering a combination of onsite IT consulting, co-managed IT projects and BPO services as part of the deal. UBICS estimates the engagement to generate about $2 MM in revenue in the first year.

Another major engagement for UBICS has been with a prominent publishing and media company to provide business process analysis, IT consulting and onsite/offshore project services. UBICS’ ability to offer right talent in all aspects of an IT initiative and its global delivery capability has been the key to this relationship.

Commenting on the launch of the Strategic Services Division,Girish Godbole, President Global Services, said, “UBICS has been an established player in the IT services market in USA and UK for the past 10 years. Our expansion into the integrated IT services and BPO markets is driven by the shift in customers’ needs to capitalize on technological advances and globalization. We have a tremendous opportunity to grow in the Small and Medium-sized Enterprises (SME) space where only 3% of the companies have outsourced in the past and less than 20% have a well-defined IT/BPO sourcing strategy.

We have a very strong understanding of the outsourcing marketplace, as well as the skills and resources needed to achieve growth and productivity for our clients, while helping them to reduce costs.”

UBICS recently hired Mr.Amiya Mandal, an industry veteran in the integrated IT services arena, to lead the new division as the Vice President of Strategic Services. With over 15 years of experience in sales, delivery and management in companies like Tata Consultancy Services, iGATE and CIBER, Mr. Mandal has led multi-million dollar, multi-year strategic services engagements that employ a mix of onsite, offsite and offshore models for Fortune 1000 clients.

Mr. Mandal commented, “I see UBICS becoming a niche player of strategic IT and BPO services in the next few years. UBICS’ entrepreneurial leadership, coupled with The UB Group’s strong domain knowledge in various industries, gives us the impetus for rapid growth in this area. I’m very excited to join UBICS to make the most of these opportunities.”

Founded in 1993, UBICS, Inc. is a leading global provider of a broad spectrum of IT Services and IT products. The Company is affiliated with The UB Group, a diversified business conglomerate with over $2 billion global revenue. Headquartered in Pittsburgh, PA, the Company is publicly listed in USA under the sticker symbol UBIX.PK. Global customers include The Hartford, Paychex, Highmark, Blue Cross, McKesson, MCI, British Telecom, Motorola, US Steel, PPG Industries, Ajinomoto and Archer Daniels Midland, among others. UBICS operates through a footprint of worldwide offices in Pittsburgh, San Francisco, London, Pune, Bangalore and New Delhi.