QAD Inc. (Nasdaq:QADI), a leading provider of enterprise applications for global manufacturers, today announced a global strategic partnership with Tata Consultancy Services (TCS) (MUMBAI:TCS) (NSI:TCS), a leading global IT services firm. Together, the two companies will jointly serve global manufacturers, combining their respective strengths to deliver world-class enterprise solutions and a robust IT infrastructure that help customers achieve excellence in their manufacturing operations.

QAD and TCS already have a history of collaboration on design and implementation of systems and support for customers, including Johnson Controls Inc. "Based on our long-standing relationship with QAD and TCS, we anticipate even greater value from the firms' formal partnership," said Subhash (Sam) S. Valanju, vice president and chief information officer, Johnson Controls Inc. "Working with these companies as a team has enabled Johnson Controls to achieve consistent systems implementation for our manufacturing operations across global sites."

As part of this strategic partnership, QAD and TCS will partner to deliver QAD manufacturing solutions; further, the partners will collaborate closely with joint customers on system design and implementation. In addition to its flagship enterprise software, QAD MFG/PRO, consultants within QAD's Global Services organization provide deep expertise in the six manufacturing sectors the company serves -- as well as local business and regulatory requirements -- to help customers streamline manufacturing operations from the back office to the supply chain. TCS complements QAD Global Services' capabilities with broad expertise in business consulting and IT infrastructure, as well as global delivery capabilities.

"Our experience delivering IT solutions through our global delivery model will provide QAD customers with innovative and high-quality services that fulfill their global manufacturing needs," said Dr. Ravi Gopinath, vice president, manufacturing practice and business unit head, engineering and industrial services, TCS. "QAD manufacturing solutions provide the flexibility and scalability that manufacturers require to support local plants' operational requirements and allowing for centralization of functions when it makes sense for the customer. The software's capacity for connecting the enterprise and the supply chain, and its fast time to implementation, make it a strategic element in our portfolio of service offerings."

"TCS provides system design, implementation and global delivery capabilities that -- coupled with QAD's focus on manufacturing -- enable local and multinational manufacturers to achieve not only their manufacturing objectives, but also their broader IT and business goals," said Pamela Lopker, QAD president and founder. "From 25 years' dedication to the real-world challenges of global manufacturing, QAD understands that both ERP systems and the companywide IT environment are factors that support the success of a globally distributed manufacturing enterprise. We combine the best thinking in manufacturing theory and leading-edge technology in solutions designed to accelerate our customers' success."

In conjunction with the partnership agreement, QAD has appointed a senior executive to nurture the relationship while TCS has invested in building a Center of Excellence in Pune, India for QAD-based solutions that will cater to TCS' global clientele.

About Tata Consultancy Services (TCS)

Tata Consultancy Services (TCS) is the world-leading information technology consulting, services, business process outsourcing and engineering services organization that envisioned and pioneered the adoption of the flexible global business practices that today enable companies to operate more efficiently and produce more value.

TCS achieved this by creating and perfecting a unique method of global deployment and delivery of high quality, high value services and products in IT consulting and business process outsourcing. Known as the "Global Delivery Model," this strategic services delivery concept has reshaped the IT services industry.

More than 90 percent of TCS customers reward the company's reliability, passion, creativity and unique ability to handle the broadest range of their IT needs by continually extending and deepening their partnerships with TCS. With more than 43,000 of the world's best trained IT consultants located in 32 countries, TCS is uniquely positioned to deliver its flexible world class services seamlessly to any location.

TCS reported consolidated revenues of $2.24 billion (U.S.) in the fiscal year 2004-2005. The company is listed on the National Stock Exchange and Bombay Stock Exchange in India. For more information: www.tcs.com.

About QAD

QAD is a leading provider of enterprise applications for global manufacturing companies. QAD applications provide critical functionality for managing manufacturing resources and operations within and beyond the enterprise, enabling global manufacturers to collaborate with their customers, suppliers and partners to make and deliver the right product, at the right cost and at the right time. Manufacturers of automotive, consumer products, electronics, food and beverage, industrial and medical products use QAD applications at approximately 5,300 licensed sites in more than 90 countries and in as many as 27 languages. For more information about QAD, telephone +1-805-684-6614, or visit the QAD Web site at: www.qad.com. "QAD" is a registered trademark of QAD Inc. All other products or Company names herein may be trademarks of their respective owners.

Note to Investors: This press release contains certain forward-looking statements made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. A number of risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements. These risks include, but are not limited to, evolving demand for the company's software products and products that operate with the company's products; the company's ability to sustain license and service demand; the company's ability to leverage improvements in the IT and economic environment; the company's ability to sustain customer renewal rates at current levels; the publication of opinions by industry analysts about the company, its products and technology; the reliability of estimates of transaction and integration costs and benefits; the entry of new competitors and their technological advances; delays in localizing the company's products for new markets; delays in sales as a result of lengthy sales cycles; changes in operating expenses, pricing, timing of new product releases, the method of product distribution or product mix; general economic conditions; exchange rate fluctuations; and the global political environment. In addition, revenue and earnings in the enterprise resource planning (ERP), e-business and distributed order management software industries are subject to fluctuations. Software license revenue, in particular, is subject to variability with a significant proportion of revenue earned in the last month of each quarter. Given the high margins associated with license revenue, modest fluctuations can have a substantial impact on net income. Investors should not use any one quarter's results as a benchmark for future growth. For a more detailed description of the risk factors associated with the company and the industries in which it operates, please refer to the company's Annual Report on Form 10-K for fiscal 2005 ended January 31, 2005.

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CONTACT: QAD Inc.
Wendy L. Allen, 805-566-6161
wla@qad.com
or
Fleishman-Hillard
Jamie Leicht, 619-237-7711
leichtj@fleishman.com
or
Tata Consultancy Services
Breanne Bell, 303-573-0943
b.bell@usa-tcs.com
SOURCE: QAD Inc.