Kadro Solutions Announces General Availability of KadroWorks 2.0 and Kadro Merchant 2.0

RALEIGH, NC — May 16, 2002 — Kadro Solutions, Inc. today announced the general availability of major upgrade releases of KadroWorks, their flagship web services application framework, and Kadro Merchant, the company's e-Commerce managed service. Both have been deployed by customers who are seeing tangible benefits.

KadroWorks 2.0 - The Application Framework Where it All Starts:
KadroWorks is a highly scalable and reusable component-based architecture and framework for rapid J2EE application development. The framework is designed to support complex application service interactions and is built upon proven object-oriented design patterns and best practices. Among its primary benefits, KadroWorks is designed to reduce the time to build enterprise applications by enabling developers to focus on building the business logic of their applications rather than the application architecture and the fundamental aspects of web application development.

"J2EE application development can be a real challenge because developers frequently must discover, and often re-discover from ground up their web application architecture," said Kadro Solutions CEO Rick Johnson. "In addition, developers often build their applications from scratch and spend a lot of time developing, testing and maintaining code that should be reusable across web application services. KadroWorks was built to give development teams a powerful framework that is reusable, open and extensible so they can focus on solving the business problem at hand."

Kadro Works provides many different core web application components integrated with the framework as well as several plug-and-play application services, such as content management, account management, application monitoring, scheduling services, and notification. KadroWorks extends Sun Microsystem's (NASDAQ, SUNW) Java^TM servlet API and operates on any J2EE-compliant platform. KadroWorks leverages the platform's native services without tying the application services directly to them. KadroWorks is designed for simple integration and customization into a customer's web-based application or website.

"We recently completed our second application development effort using KadroWorks, and I was impressed with the speed of the development effort," said Mike Hutchins Director of Information Technology for Charlotte-based The Steritech Group, Inc. "KadroWorks is a terrific platform to build robust e-business applications. We're now offering new and exciting services to our customers based on the applications built on top of KadroWorks."

Many e-Business solutions are designed and built without regard to a component-based architecture and supporting framework. The values lost in these implementations are typically performance, ability to scale, robustness, extendibility and maintainability. KadroWorks fills this void by providing the reusable building blocks for high quality web application services.

Kadro Merchant 2.0 - An e-Commerce Solution Leveraging KadroWorks:
Designed and built on the company's e-Business application framework KadroWorks, Kadro Merchant is a customizable, turnkey e-Commerce solution that enables any business to accomplish critical e-commerce functions such as: selling products online, managing an online catalog, managing targeted product promotions, marketing to customers via automated and profile driven personalized e-mail promotions, managing cross sell and up-sell suggestive selling efforts, and managing web site content. Kadro Merchant also provides customers an online resource for checking their order status and order history.

"Kadro Merchant has consistently exceeded our expectations," said Michael Pellington, Marketing Director, Reeds Jewelers, Inc. "Our ability to customize the user-interface to meet our company branding initiatives and to integrate online channel advertising with offline media is proving very effective."

"Kadro Merchant was setup and configured quickly and efficiently," said Brian Samuelson, President of Kaiser Bakeware, Inc. "We're very happy with the ease with which we can manage online products and content."

Kadro Merchant can be configured for selling to consumers over the public Internet or as a tool for selling in a distributor / wholesale model over a business-to-business extranet. Kadro Solutions offers Merchant as licensed product or as a turnkey managed solution that includes hosting. Users pay a monthly service fee if they are using Merchant as a managed service.

About Kadro Solutions:
Kadro Solutions delivers innovative, enterprise-class software and managed services to help companies establish core e-Business offerings including Internet, intranet and mobile computing solutions. KadroWorks is a highly scalable and reusable, component-based J2EE architecture and framework that encompasses sophisticated techniques for supporting multiple, interacting web application services. Kadro Merchant is a suite of e-Commerce application services for retailers, wholesalers or distributors. Kadro Merchant enables any business to sell their products online, as well as manage their online catalog and inventory, product promotions, and up-sell and cross-sell capabilities.

Visit www.kadrosolutions.com for more details.

Kadro Solutions is an employee owned company headquartered in Raleigh, North Carolina.

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