MIAMI, June 14, 2006– New Generation Computing Inc. (NGC), a wholly owned subsidiary of American Software Inc. (NASDAQ: AMSWA), today announced that Biscotti Inc., maker of girl’s special occasion dresses carried at fine department stores, has fully implemented and went live with RedHorse, a comprehensive Enterprise Resource Planning system designed specifically for the sewn products industry (Apparel, Footwear, Retailers, Brand Management and Home Furnishings). NGC’s products include e-SPS, global souring and supply chain management system; e-PDM, product lifecycle management, RedHorse, ERP system and TPM, a shop floor control and payroll system. Prior to running RedHorse, Biscotti was using NGC’s AMAS program (Apparel Management Accounting System) for managing sales, distribution, finance, production planning, administration, accounting and EDI. Since implementing RedHorse, Biscotti experiences faster and enhanced reporting capabilities including the ability to run real-time custom reports on key business indicators. Biscotti Inc. also plans on integrating RedHorse’s Picking and Invoicing modules with their UPS shipping software to create a streamlined order processing system. “We’re excited that NGC’s RedHorse is live and supporting our explosive growth and continued superior service to our clients,” said Robert Mack, president, Biscotti. “Real-time information from RedHorse increases value to our clients and provides dependable transparency into our supply chain. This flow of quality information reduces turn around time and inventory costs while increasing order fulfillment to the end users.” RedHorse interfaces with NGC’s e-SPS, e-PDM and TPM as well as with third-party software such as UPS and FedEx shipping systems, DMI forecasting, Microsoft FRx and DCCS Warehouse Management System, thereby creating a comprehensive ERP solution for today’s global apparel business. RedHorse uses the current version of MS SQL Server and has Certification from Microsoft. RedHorse is a highly robust ERP solution with enhanced features and functionality throughout its various modules consisting of: Customer Order Processing, EDI Information System, Invoicing and Accounts Receivable, Finished Goods Inventory Control, Components Inventory, Purchasing and Receiving, Accounts Payable, General Ledger, Import Management, Remote Plant Management, Locator System and Screen Printing and Embroidery

About Biscotti
Biscotti has perfectly captured the enchantment of childhood with romantic and charming dress collections since 1986. The Biscotti label in a dress guarantees that any special occasion will be even more magical. Biscotti has received numerous prestigious “Earnie” awards for design excellence. Bernadette Reiss, Head Designer and owner, is dedicated to creating signature Biscotti dresses that combine timeless elegance with a modern flair, destined to please both the youngest customer and the fashion conscious young teen. Biscotti’s collection of girl’s special occasion dresses is carried at fine department stores including Nordstrom, Bloomingdale's, Dillards, Lord and Taylor, Macy’s, Marshall Fields, Neiman Marcus and Saks. http://www.biscottiinc.com/biscotti.html

About New Generation Computing
New Generation Computing (NGC) is a leader in enterprise resource planning (ERP) software, product lifecycle management and global sourcing solutions for the apparel and sewn products industries. Every day NGC solutions help hundreds of leading companies gain real-time visibility, improve speed to market and enhance quality control throughout their supply chain. Customers include VF Corporation, Russell Corp., Carter's, Dick’s Sporting Goods Inc., Gold Toe Brands Inc, Haggar Clothing Company, Hugo Boss, Jos. A. Bank Clothiers Inc., Maggy London, Armani Exchange, Maidenform Inc., Wilsons Leather, Rocky Brands and Valley Apparel.

Headquartered in Miami, NGC has offices in New York and Los Angeles, as well as China, India, Mexico and El Salvador. NGC is a wholly owned subsidiary of American Software Inc. For more information, visit www.ngcsoftware.com.

Forward-Looking Statements
This press release contains forward-looking statements that are subject to substantial risks and uncertainties. There are a number of factors that could cause actual results to differ materially from those anticipated by statements made herein. These factors include, but are not limited to, changes in general economic conditions, technology and the market for the Company's products and services, including economic conditions within the e-commerce markets; the timely availability and market acceptance of these products and services; the Company’s ability to satisfy in a timely manner all SEC required filings and the requirements of Section 404 of the Sarbanes-Oxley Act of 2002 and the rules and regulations adopted under that Section; the challenges and risks associated with integration of acquired product lines and companies; the effect of competitive products and pricing; the uncertainty of the viability and effectiveness of strategic alliances; and the irregular pattern of the Company's revenues. For further information about risks the Company could experience as well as other information, please refer to the Company's Form 10-K for the year ended April 30, 2006 and other reports and documents subsequently filed with the Securities and Exchange Commission. For more information, contact: Vincent C. Klinges, Chief Financial Officer, American Software, Inc., (404) 264-5477 or fax: (404) 237-8868.