REY Reynolds Reynolds A

Reynolds meets dealers' needs for flexible, DMS-neutral data archiving solution DAYTON, Ohio, Feb. 2 /PRNewswire-FirstCall/ -- The Reynolds and Reynolds Company (NYSE:REY), a leading provider of software and services to the automotive retailing industry, announced it has acquired Kodata Solutions, Inc. Based in Little Rock, Arkansas, Kodata Solutions provides data archiving solutions used by approximately 1,500 automotive retailers throughout the U.S. Terms of the acquisition are not being disclosed. Kodata Solutions supplements Reynolds' existing strengths by adding a basic data archiving solution that can be used with any dealer management system. The Kodata solution helps dealers easily archive and retrieve month- end financial information and reports. It can also help reduce storage costs and increase information security. "With this strategic acquisition, we add a leading data archiving solution and enhance our existing capabilities. Kodata's solutions have strong brand recognition and acceptance in the market," said Scot Eisenfelder, senior vice president of Solutions Management, Marketing and Strategic Planning at Reynolds and Reynolds. "Today, dealers need easy-to-use solutions to help them archive critical financial information. Solutions such as Kodata's give dealers peace of mind -- financial reports are properly archived, secured and accessible in the event of a natural disaster or audit," he said. According to Desmond Doris, CEO and founder of Kodata Solutions, "Kodata meets dealers' requirements for a basic data archiving solution -- it's flexible, easy to use and reliable. And now, together with the power of Reynolds' leadership and support, it will only get better. I'm excited about the future and about driving the synergies between the Reynolds and Kodata Solutions teams." Reynolds will market and support the Kodata solutions as part of its portfolio of document management offerings that includes Electronic Document Management. Reynolds Electronic Document Management (EDM) is a comprehensive product that integrates with the Reynolds system to help dealerships automatically collect, store, secure, retrieve, track, and maintain reports and documents. Stored or archived documents can then be printed, faxed, or viewed from any workstation at any time. According to dealership needs, the Kodata solution can be used in combination with Electronic Document Management or separately. Reynolds plans future enhancements to the solution to drive additional user benefits. Operations will continue to be based in Little Rock. Founded in 1997, Kodata Solutions is a privately-held company that offers data management, scanning, reporting and archival services to automobile dealerships throughout the U.S. Cautionary Notice Regarding Forward-Looking Statements Certain statements contained herein constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are based on current expectations, estimates, forecasts and projections of future company or industry performance based on management's judgment, beliefs, current trends and market conditions. Forward- looking statements made by the Company may be identified by the use of words such as "may have to," "expects," "intends," "plans," "anticipates," "believes," "seeks," "estimates," and similar expressions. Forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions which are difficult to predict, including the newly scheduled date for the Company's annual meeting; changes in accounting policy or restatements of annual or quarterly financial statements as a result of the revenue recognition policy review, or as a result of the Company's responses to accounting comments from the SEC Staff; the timing and substance of the resolution of the Company's revenue recognition policy review and of outstanding SEC comments which may result in changes, that, individually or in the aggregate, may be material to the Company's financial condition, results of operations or liquidity; the type and number of changes to the Company's revenue recognition policy and the time and documentation necessary to implement such changes in order to prepare and have audited financial statements; whether a restatement will be required for any matter other than revenue recognition or auction rate securities or the two-class method of earnings per share; the nature, timing and amount of any restatement or other adjustments; the Company's ability to make timely filings of its required periodic reports under the Securities Exchange Act of 1934; the effect of any restatement or a further delay of the Company's annual meeting of shareholders for 2006, the listing of the Company's common stock on the New York Stock Exchange, the funding availability under the Company's credit facilities or upon outstanding debt obligations; the Company's ability to secure necessary waivers from lenders for the delay in filing its Form 10-K; the Company's ability to maintain adequate cash balances for operating and for debt defeasance; any adverse response of any of the Company's vendors, customers, media and others relating to the delay or restatement of the Company's financial statements and accounting processes, policies and procedures, and additional uncertainties related to accounting issues. Actual outcomes and results may differ materially from what is expressed, forecasted or implied in any forward-looking statement. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. See also the discussion of factors that may affect future results contained in the Company's Current Report on Form 8-K filed with the SEC on November 3, 2004. About Reynolds Reynolds and Reynolds (http://www.reyrey.com/) helps automobile dealers sell cars and take care of customers. Serving dealers since 1927, it is the leading provider of dealer management systems in the U.S. and Canada. The company's award-winning product, service and training solutions include a full range of retail Web and Customer Relationship Management solutions, e-learning and consulting services, documents, data management and integration, networking and support and leasing services. Reynolds serves automotive retailers and OEMs globally through its incadea solution and a worldwide partner network, as well as through its consulting practice. First Call Analyst: FCMN Contact: DATASOURCE: The Reynolds and Reynolds Company CONTACT: Michelle Zendah of Reynolds and Reynolds, +1-937-485-8499, or Web site: http://www.reyrey.com/

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