California Software Company Ltd

California Software Company Ltd

15th Annual General Meeting outcome and highlights of Chairman’s address

Chennai, August 30, 2007: – At the company’s 15th Annual General Meeting held recently,the folliowing decisions were approved by shareholders:

a) The adoption of audited accounts of the company for the year ended March 31, 2007.

b) Declaration of 7.5% dividend on equity shares for the financial year 2006 – 2007.

c) Re- appointment of Dr. P.G George and appointment of Mr. Dan G Peterson as Directors of the Company, liable to retire by rotation. For the time being the vacancy caused by retirement of Mr. Fuminobhu Oda, as Director was resolved not to be filled up.

d) Appointment of M/s Price Waterhouse, India as Statutory Auditors of the company.

Mr. Robert V. Chandran, Chairman of California Software Company Limited presided over the meeting in his speech to the shareholders, he highlighted the significant developments of the previous year and future vision. He stated that the inorganic growth options followed had begun to yield results. In 2006-07, the consolidated revenue rose to Rs. 16894.49 lakhs, an increase of 46% over the previous year, and net profits grew to Rs 796.77 lakhs, an increase of 69%. During the first quarter of the current fiscal year 2007-08, Calsoft’s growth momentum continued with consolidated revenue of Rs. 5394.58 lakhs and net profit of Rs. 218.10 lakhs.

Mr.Chandran emphasised that the future scenario will be somewhat different. While size would be a pre-requisite, differentiation brought in through specialisation would be a key success factor. In such a setting, growth would demand generation of superior value and total commitment. He stressed that there was a tremendous opportunity for Calsoft to grow in this scenario by focusing on its strengths and on scalability, domain expertise, strategic alliances and inorganic growth options.

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About Calsoft California Software Company Ltd (Calsoft) is a public limited company in India with a global presence. Its development practices are certified at CMMi Level 5. Founded in 1992, Calsoft group including subsidiaries currently employs over 925 employees. The group has development centers in Chennai and Bangalore in India and Pleasanton, (California), Boston (MA) in the USA. Calsoft group has marketing offices in the US, UK, Singapore, Japan, China, Taiwan, Dubai, Hong Kong, Copenhagen and in India. Calsoft is listed in India at NSE (cali.ns) and BSE (cali.bo). For more information on Calsoft visit www.calsoft.co.in

Forward Looking Statements

Some of the statements in this update that are not historical facts are forward-looking statements. These forward-looking statements include our financial and growth projections as well as statements concerning our plans, strategies, intentions and beliefs concerning our business and the markets in which we operate. These statements are based on information currently available to us, and we assume no obligation to update these statements as circumstances change. There are risks and uncertainties that could cause actual events to differ materially from these forward-looking statements. These risks include, but are not limited to, the level of market demand for our services, the highly-competitive market for the types of services that we offer, market conditions that could cause our customers to reduce their spending for our services, our ability to create, acquire and build new businesses and to grow our existing businesses, our ability to attract and retain qualified personnel, currency fluctuations and market conditions in India and elsewhere around the world, and other risks not specifically mentioned herein but those that are common to industry.

For any further details please contact:

Susmita Dinesan

susmitad {at} calsoft.co(.)in

California Software

+91 (44) 22542404