Inflow-Pittsburgh Announces EBITDA Positive Status

Strong Performance and Growing Customer Base Secures Milestone

 

9/17/2003

Pittsburgh, PA — (Business Wire) — Today,

Inflow Inc., a leading provider of managed IT outsourcing solutions to

companies with critical applications, announced that its Pittsburgh,

Pa., Internet Data Center (IDC) has achieved EBITDA positive status.

Inflow-Pittsburgh is the tenth Inflow market to reach EBITDA positive, to date.

“In today’s competitive environment, the attainment of EBITDA

positive by the Pittsburgh IDC represents yet another major

achievement,” said Mark Hughes, chief financial officer for Inflow. “The

continuing growth in EBITDA positive IDCs validates Inflow’s business

model. Our focus on people, processes and systems to support our

customers allows us to be better and make money.”

“We are excited to have reached this important milestone that we have

worked toward for the past three years,” said Patrick Bixel, general

manager for Inflow-Pittsburgh. “Our excellence is a direct result of the

high caliber team in Pittsburgh. We have earned an outstanding

reputation for quality in the marketplace and we look forward to

providing the highest satisfaction to our growing customer base.”

Inflow-Pittsburgh attributes this achievement to its outstanding performance in the last 12 months:

  • ISO 9001:2000 certification: Inflow-Pittsburgh was Inflow’s

    first IDC to become ISO 9001:2000 certified. Inflow as a company has

    subsequently been awarded ISO certification.

  • Outstanding sales performance: The IDC has produced the top

    Inflow sales representative in 2002 and has recently doubled its sales

    staff to accommodate new growth.

  • Nearly doubled revenue numbers: Inflow-Pittsburgh currently

    generates approximately $2.4m in annual recurring revenue, up 82% from a

    year ago.

  • Significantly increased customers and enterprise customers: The

    IDC has 47 total customers as of August 2003, up 47% from 32 customers a

    year ago. Newer enterprise customers include Development Dimensions

    International (DDI) and Crown Castle.

Maurice Gordon, manager of network services at Development Dimensions

International (DDI), a global human resources consulting firm,

reaffirmed Inflow’s customer-oriented focus.

“Inflow’s customer service is fantastic. The staff is always helpful

and clear; I do not hesitate to discuss with Inflow any IT needs that I

have.” “Inflow’s customer service remains phenomenal,” said Manu

Brahmam, manager of MIS for DDI. “We’re even happier with Inflow today

than when we first chose them.”

About Inflow Pittsburgh

Inflow’s Pittsburgh IDC was opened in June of 2000. The facility has

experienced zero downtime since opening. The IDC has on-site technical

staff members that currently support customers 24 x 7, including Crown

Castle, Development Dimensions International (DDI), Pittsburgh

Technology Council, Sargent Electric, Steel City Telecom, Leeds Business

Accessories, and The Grant Street Group.

The IDC is centrally located at 2202 Liberty Ave, Pittsburgh, PA 15222.

About Inflow

Inflow provides facilities-based IT solutions to companies with

critical business and network applications. Founded in 1997, Inflow

opened its first Internet Data Center (IDC) in June 1998 and currently

serves more than 775 customers from its IDCs in 12 markets throughout

the U.S. Leveraging its expertise in application, network and datacenter

management, the company is able to deliver the most reliable, secure,

scalable and cost-effective outsourcing solutions available. Core

services are offered within Inflow’s three primary lines of business:

Application Hosting and Management, Business Continuance and Disaster

Recovery, and Enterprise Datacenter Management. In its sixth year of

business, Inflow generated approximately $50.7 million in total revenues

last year. Investors include Meritage Private Equity Funds, Centennial

Ventures, Telecom Partners, Spire Capital Partners, The Halyard Capital Fund, GE Capital and PNC Equity.

Inflow has recently received ISO 9001:2000 certification. Lloyd’s

Register Quality Assurance (LRQA), a worldwide leader in quality systems

evaluation, concluded that Inflow should be registered to ISO 9001:2000

as it has successfully completed audits for Inflow’s Quality Management

System. ISO 9001:2000 is an international standard of quality. Less

than one percent of companies in the U.S. are registered or certified to

ISO 9001:2000.

For additional information and IDC locations, please visit www.inflow.com or call 877-321-2464. For more information on Inflow’s corporate strategy, please call Jim McHose at 303-942-2858.