TECSYS Inc.

TECSYS Inc.

February 28, 2005 17:29 ET

TECSYS Inc. Closes Acquisition of Application Solutions Inc.


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: TECSYS INC.

TSX SYMBOL: TCS

FEBRUARY 28, 2005 - 17:29 ET

TECSYS Inc. Closes Acquisition of Application
Solutions Inc.

MONTREAL, QUEBEC--(CCNMatthews - Feb. 28, 2005) -

The Company Continues Its "Enabling Supply Chain Excellence" Strategy
With a Best of Breed Warehouse Management System Provider

TECSYS Inc. (TSX:TCS), an industry leading Supply Chain Management (SCM)
software company announced today that it completed the acquisition of
all of the outstanding shares of Application Solutions Inc. pursuant to
a definitive share purchase agreement. In connection with the
acquisition, the Company granted to certain of the selling shareholders
a total of 25,000 warrants to purchase common shares of the Company at
an exercise price of $1.64 per share. These warrants will vest as to
33.3% on each anniversary of the date of grant over a three-year period
and will expire 4 years from the date of grant.

After accounting for the transaction, TECSYS Inc. expects its cash
position to be approximately US$7M on April 30, 2005.

About ASI

ASI is a full service integrator of barcode-based solutions, warehouse
management systems, managed network and wireless services for
manufacturing, warehousing and distribution operations. For further
info, please visit www.asiwms.com.

About TECSYS:

TECSYS is a leading Supply Chain Management software company that
provides powerful enterprise distribution and transportation logistics
software solutions through three divisions: EliteSeries, PointForce and
TECSYS Transportation Systems. For further info, please visit
www.tecsys.com.

The statements in this news release relating to matters that are not
historical fact are forward looking statements that are based on
management's beliefs and assumptions. Such statements are not guarantees
of future performance and are subject to a number of uncertainties,
including but not limited to future economic conditions, the markets
that TECSYS Inc. serves, the actions of competitors, major new
technological trends, and other factors beyond the control of TECSYS
Inc., which could cause actual results to differ materially from such
statements. All names, trademarks, products, and services mentioned are
registered or unregistered trademarks of their respective owners.

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