MIAMI, Oct. 19, 2005 – New Generation Computing Inc. (NGC), a wholly owned subsidiary of American Software Inc. (NASDAQ: AMSAE), today announced that A|X Armani Exchange has selected NGC’s web-based PLM and Production Tracking system, e-SPS, to streamline and integrate product development and global sourcing. A|X Armani Exchange plans to install the software at its New York headquarters in October. With e-SPS, the company’s product development and sourcing teams will have real-time visibility into merchandising, design and production activities from product concept to delivery. “We went through an extensive selection process and determined that e-SPS would streamline our entire supply-chain process,” said a spokesperson for A|X Armani Exchange. “We believe that New Generation Computing’s experience and understanding of the sewn-products business will provide a major boost in our overall efficiency.” “We are very excited to add A|X Armani Exchange to our list of clients” said Mark Burstein, director of retail sales with New Generation Computing. “We anticipate that the company will remain a satisfied customer for many years to come.” NGC's e-SPS with e-PDM consists of 11 software modules: e-PDM, e-RFQ's & Bids, e-Pre Production, e-Production Tracking, e-Collaboration, e-Pack, e-Shipment Tracking, e-Exceptions, e-Quality, e-Reporting, and Event Tracking and Management System. Current e-SPS users include VF Corporation, Maidenform Inc., Wilsons Leather, Dick's Sporting Goods Inc., Kellwood Company, Russell Corp., Gold Toe Brands Inc. and S. Schwab Company

About A|X Armani Exchange
A|X Armani Exchange is a fashion-forward retailer with approximately 90 stores in the United States, Asia, Venezuela, Australia and Canada. For more information, visit www.armaniexchange.com.

About New Generation Computing
New Generation Computing Inc. (NGC), a wholly owned subsidiary of American Software Inc., has 25 years of experience developing software for the apparel and sewn products industries. Manufacturers, brand managers, retailers and importers use NGC’s business applications to manage the design, sourcing and production of finished products. NGC’s business applications include the NGC SQL Series, the only integrated product development, global sourcing and ERP system that is available today to sewn-products enterprises. The NGC SQL Series consists of e-SPS, a global sourcing and production system; e-PDM, a product lifecycle management tool; and RedHorse, a comprehensive ERP system. NGC’s other products are EZ-Ship, a labeling, scan/pack and shipping system; e-RMM, a raw-material management system; TPM, a shop-floor control and manufacturing execution system; AMAS, a specialized apparel business control, accounting, import management and MRP system; and Full Package.

Headquartered in Miami, NGC has sales offices worldwide. Its customers include VF Corporation, Dick’s Sporting Goods Inc., Wilsons Leather, Jos. A. Bank Clothiers Inc., Kellwood Company, Hugo Boss, Gold Toe Brands Inc., Russell Corp., Little Me, Haggar Clothing Company, Maidenform Inc. and William Carter Co. For more information, call NGC at (305) 556-9122, send an e-mail to sales@ngcsoftware.com or visit www.ngcsoftware.com.

Forward-Looking Statements
It should be noted that this press release contains forward-looking statements that are subject to substantial risks and uncertainties. There are a number of factors that could cause actual results to differ materially from those anticipated by statements made herein. These factors include, but are not limited to, changes in general economic conditions, technology and the market for the Company's products and services including economic conditions within the e-commerce markets; the timely availability and market acceptance of these products and services; the effect of competitive products and pricing; the uncertainty of the viability and effectiveness of strategic alliances; and the irregular pattern of the Company's revenues. For further information about risks the Company could experience as well as other information, please refer to the American Software, Inc. Form 10-K for the year ended April 30, 2005 and other reports and documents subsequently filed with the Securities and Exchange Commission. For more information, contact: Vincent C. Klinges, Chief Financial Officer, American Software, Inc., (404) 264-5477 or fax: (404) 237-8868.