• Q2 2006 Revenues Increase By 67% to $12 Million from $7.2 Million in 2005
• Six Months Revenues Increase 49% to $17 Million from $11.4 million for 2005

EASLEY, S.C. -- (BUSINESSWIRE) -- August 15, 2006 -- Computer Software Innovations, Inc., (OTCBB: CSWI.OB), CSI Technology Outfitters™, (“CSI”) today announced its financial results for the three and six months ended June 30, 2006.

CSI posted revenue of approximately $12.0 million for the quarter ended June 30, 2006, a 67% increase over the $7.2 million for the comparable period ended June 30, 2005.

Net Income for the quarter ended June 30, 2006 was approximately $508,000 or $0.05 per diluted share, compared to net income of approximately $589,000 and $0.05 earnings per diluted share for the same period last year.

For the three months ended June 30, 2006, software applications revenues increased 27% due to the related improvements in account penetration, product mix and better cost containment in this segment. The resulting higher margins in the software segment offset a significant portion of the impact of increased competitive offerings in the technology solutions segment. The increase in software applications segment revenues stemmed primarily from an overall increase in the number of new clients purchasing new software, accompanying installation and training services and software service contract upgrades from CSI.

While the technology solutions segment revenues increased 74%, a significant portion of this increase, approximately 60%, resulted from CSI acting as a reseller rather than agent for personal computer sales, which increased reported revenues with little impact on gross profit. Total personal computer sales both as reseller and agent declined slightly resulting in decreased gross profit from reduced commissions. The impact of lower commissions and increased competitive offerings caused the reduction in Operating income to $852,000 for the three months ended June 30, 2006 from $1,256,000 for the comparable period of the prior year.

For the six month period ended June 30, 2006, revenues were $17 million, up 49% from approximately $11.4 million for the comparable period a year ago. Operating Income was approximately $325,000 for the six month period ended June 30, 2006, up from the $205,000 for the comparable six month period ended June 30, 2005. Net Income was $78,000 as compared to the Net loss of $1.89 million for the six month’s ended June 30, 2005.

For the six months ended June 30, 2006, increased software sales volumes and product mix contributed to the growth in revenues, coupled with an increase in technology sales. The increase in Operating income for the six month period resulted primarily from increased revenues, stronger product mix in the software segment and a focus on cost containment in the Company's two segments.

“We are pleased to report a significant sales increase in our software applications segment, which represents our highest margin business segment. We believe the realignment of our sales force to sell all products rather than focusing on one segment’s offerings has had a positive impact. Increases in software revenues help mitigate the risks from margin pressure and changes in product mix in our technology solutions segment, while ultimately driving greater gross profits.  We will continue to focus on efforts of improving sales of higher margin products and services with a strengthening sales force approach, and by expanding our geographic footprint through organic growth and acquisitions that could bolster our market presence,” said Nancy Hedrick, CEO.

Conference Call Announcement

The conference call will take place at 4:15 p.m. Eastern, on Monday, August 21, 2006. Anyone interested in participating should call 877-704-5378 if calling within the United States, or 913-312-1292 if calling internationally and enter pass code 4156922, approximately 5 to 10 minutes prior to the 4:15 p.m. call. There will be a playback available until August 29, 2006. To listen to the playback, please call 888-203-1112 if calling within the United States or 719-457-0820 if calling internationally. Please use pass code 4156922 for the replay.

The call is also being webcast and may be accessed via CSI's website at www.csioutfitters.com . The webcast replay will be available through November 21, 2006.
 
About Computer Software Innovations, Inc.

Computer Software Innovations, Inc. (OTCBB:CSWI - News), CSI Technology Outfitters™, is a full service company providing software and technology solutions primarily to public sector organizations. The software solutions include financial management, billing and revenue management, school activity accounting, lesson planning and automated workflow. The technology solutions include IP telephony, IP video surveillance, visual communications, interactive classrooms, network security and traffic monitoring, infrastructure design, wireless solutions, network management, engineering services and hardware solutions. CSI's client base includes school districts, higher education, municipalities, county governments, and other non-profit organizations. Currently, more than 400 public sector organizations utilize CSI's software systems and network integration services. Additional information on CSI can be obtained through its website at www.csioutfitters.com.

Forward-Looking and Cautionary Statements
 
Certain information contained in this news release includes forward-looking statements that involve substantial risk and uncertainties. Any statement in this news release that is not a statement of an historical fact constitutes a “forward-looking statement.” Among other things, these statements relate to our financial condition, results of operations and business. When used in this news release, these forward-looking statements are generally identified by the words or phrases “may,” “expect,” “anticipate,” “plan,” “believe,” “seek,” “estimate,” “project” or words of similar import. These forward-looking statements are not guarantees of future performance. These statements are based on management’s expectations that involve a number of business risks, uncertainties and other factors that may cause the actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements. Many factors are beyond our ability to control or predict. You are accordingly cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date that we make them. For more information on factors that could affect expectations, see the Company’s Annual Report on Form 10-KSB for the year ended December 31, 2005, and other reports from time to time filed with or furnished to the Securities and Exchange Commission. This press release speaks only as of its date, and the Company disclaims any duty to update the information herein.