Ketera Achieves Strong Revenue Growth in Third Quarter of 2006
Momentum Continues to Build with New Customers, 100% Renewal Rate, Breakthrough Product Innovations and Numerous Industry Accolades

SANTA CLARA, CA -- Ketera Inc., the leading provider of On Demand Spend Management solutions, today announced strong revenue growth in the third quarter of 2006. During the quarter, Ketera's momentum as a trusted source for on demand spend management solutions was fueled by customer renewal rate, customer wins, the launch of the Ketera Supplier Content Management and new Ketera Procurement solutions, and industry accolades.
 
During the quarter, Ketera continued to evidence its customer loyalty with a one hundred percent customer renewal rate and increased up-sell and cross-sell revenues from existing customers in the Fortune 500, as well as the SMB market. Ketera continued its customer acquisition with four new customer wins across the board in the Government, Healthcare, Education, and Logistics industries. Ketera has consistently won new customers proving that its authentic on demand model is delivering realized savings and bottom line results to every company they serve.

Ketera also announced two new product developments in the third quarter, each designed to bring fast and sustainable benefits to organizations struggling to realize expected savings from eProcurement. In August 2006, Ketera launched Supplier Content Management, an on demand content management solution that integrates with the Ketera Supplier Portal to offer a complete and easier to use solution for the supplier catalog management process. And in September 2006, Ketera unveiled a breakthrough product innovation with the release of the new Ketera Procurement solution, which "consumerizes" the corporate procurement process to unlock hidden savings.

In recognition of Ketera's growth, recent successes and ability to deliver business value to customers, Ketera received numerous industry accolades in the third quarter. Within the past three months, Ketera was honored among the Deloitte Technology Fast 500 and Inc. 500 lists. Additionally, Ketera customer, Kennametal, was recently honored as a finalist in the coveted ROI awards, sponsored by Baseline Magazine and The Hackett Group, for achieving 161% ROI within two years of deploying the Ketera procurement solution.

"The driving force behind our accelerated growth is the continuous dedication the Ketera team has for providing customers with innovative spend management solutions that create unparalleled business value," said Burton M. Goldfield, chief executive officer, Ketera. "Ketera has grown exponentially quarter after quarter, and year after year, by earning our customer's trust and delivering on the value we promise in our comprehensive spend solutions. We look forward to continuing on the growth path we're currently on and serving as a strategic partner to the most important companies in the world."

About Ketera

Ketera is the leading provider of on demand, spend management solutions, providing companies with the applications and services needed to control and reduce corporate spending at a low cost of ownership.

Ketera Spend Management includes applications for spend analysis, sourcing, procurement, contract management, supplier performance and payment and reconciliation. The Ketera difference is our on demand delivery model, which combines hosted spend management applications with the "heavy lifting" services required for success, including supplier enablement, hardware infrastructure, project resources, system administration and solution upgrades.

For more information about Ketera and the Ketera Spend Management suite of services, please visit www.ketera.com.

Contact:

Voce Communications, Inc.
Amy Wall, 650-228-5182
awall@vocecomm.com