Mountain View, CA - ESP (Environmental Software Providers) announced today that it finished 2003 with profitability and strong growth in the areas of new customer acquisition and new industry sector penetration. Despite a weak economic climate and a trend toward decreased IT spending in 2003, ESP's healthy performance indicated that its software products continue to fill a need for solutions which help companies optimize their environmental management programs.

The privately-held company, which provides web-based environmental compliance and emissions portfolio solutions, saw its customer base increase sizably as more companies moved to streamline their environmental data management and reporting. In addition, ESP made strong penetration into several new industry sectors, including the semiconductor, port and airport, mining, packaging, and heavy manufacturing industries. Finally: ESP saw the first customers of its newest product, Greenhouse Gas Suite, go live, making it the first company in the world to deliver an enterprise greenhouse gas solution that is currently in use, helping companies track and manage global greenhouse gas performance.

ESP attributes its strong 2003 performance to a growing recognition among mid- to large-size companies that electronic environmental data management systems can significantly increase a company's environmental performance and compliance record, lowering environmental risk and reducing the cost of compliance management. Furthermore, as more and more companies begin accounting to shareholders for environmental performance, the need for EMIS solutions continues to grow. With a 12-year history of providing best-in-class environmental management software, ESP products remain the software of choice for companies that want proven, reliable environmental data management solutions.

"While we recognize that the general market has continued to experience a downturn in technology expenditures, ESP is pleased to have maintained the growth and profitability that has been the hallmark of our company's 12-year history," said Alex Long, President and co-founder of ESP. "Our software products help companies optimize their environmental programs by streamlining data management and taking the guesswork out of compliance. This translates to significantly reduced risk as well as a lower overall cost of compliance."

In a climate dominated by fiscal conservatism, Long noted that ESP's longevity and its lengthy list of Fortune 1000 customers has helped the company continue maintain its position as the leader in enterprise environmental software solutions. "Environmental performance is an important part of a company's operations," said Long. "Companies are looking for proven solutions. Our existing customer base is one of the greatest indicators of the strength of our products; their value has been proven during more than a decade in the marketplace." Long also pointed out that ESP's business model, in which growth is fueled solely by customer revenues, has contributed to a healthy stability and customer-centric focus for the company.

About ESP

ESP provides enterprise software solutions for integrated environmental compliance management and for management of emissions allowance portfolios. Since 1992, ESP software has been helping track compliance and improve financial performance. ESP's opsEnvironmental software is currently used to manage environmental data in thousands of facilities worldwide. Its ecoAsset Manager suite is widely used to manage both the compliance and financial aspects of emissions trading programs. Its Greenhouse Gas Suite helps companies manage greenhouse gas emissions from the facility level to the enterprise level. For more information about ESP, please visit www.esp-net.com.

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