September 23, 2008 9:00 ET

Edgeware Analytics and Government Loan Solutions Announce Partnership for Government Guaranteed Loan Market

SAN DIEGO, CA and CLEVELAND, OH--(Marketwire - September 23, 2008) - Edgeware Analytics, Inc., an innovative provider of profitability tools for business lenders including GovGex.com (http://www.govgex.com), the Government Guaranteed Loan Exchange, and Government Loan Solutions (GLS), the market leader in government guaranteed loan services, announced a partnership today. Under the terms of the agreement, GovGex.com participants will now have direct click-through access to GLS services such as loan settlement, calculation of gain on sale and ongoing servicing asset valuation.

Drawing on GLS's expertise in loan settlements and servicing valuation and the strength of Edgeware Analytics' GovGex.com, the secure online exchange for government guaranteed loans, the partnership brings the market to a new level of transparency. An example of the partnership's early success is First International Bank, which recently used GLS's settlement and gain on sale services through GovGex.com. Using the online exchange, First International found that the high bid's premium was almost double that of the low bid, which translated into tens of thousands of dollars in additional gain for its shareholders. The combined GovGex.com/GLS tools also enabled seamless settlement and valuation for First International.

"We were very impressed with how effortless the loan sale was through GovGex," said John Shaver, Vice President SBA at First International Bank. "But what we really appreciated was the end to end service that GovGex provided -- from sale through settlement. After selecting the winner, I just clicked a button and the experts at GLS prepared my settlement docs and generated the gain on sale calculation -- a huge timesaver."

"With FASB 157, the secondary market for government guaranteed loans has become even more complex, raising the stakes for lenders and raising concerns among broker-dealers," said GLS Principal Robert Judge. "By partnering with Edgeware Analytics on the GovGex.com exchange, we are helping streamline the process while reducing risks and supporting better reporting and compliance for our clients."

GovGex is currently averaging $1 million in loan sales per day and is used by more than 20 buyers including all pool assemblers. The exchange helps banks access more bids and higher premiums for their loans, as well as providing full audit tracking and measurement. GovGex.com creator Edgeware Analytics also developed ScoreEdge™, an innovative scoring model for small business loans that assesses the probability of default and prepayment time.

"Above all, GovGex.com participants value the tools and technologies that let them make smarter decisions, faster," said Edgeware Analytics CEO Dan Shoham. "We are pleased to make GLS' world-class services available to the GovGex banks and broker-dealers who require seamless execution in the secondary market for small business loans while maintaining fiduciary responsibility."



About Edgeware Analytics, Inc.

Edgeware Analytics, Inc., an innovative provider of customized and generic profitability tools to lenders, combines expertise in statistical modeling and credit evaluation to create profit-enhancing predictive models and systems. Used by national lenders, certified development companies, credit unions and community banks, Edgeware's ScoreEdge™, ScoreEdge504™, RiskRate™ and Oscore™ products work in conjunction with a lender's established underwriting procedures to measurably improve the accuracy of small business credit approvals. Edgeware's Small Business Loan Exchange™ is an on-line forum connecting franchisees, business brokers and other business borrowers with hundreds of lenders seeking available deals. Edgeware's Government Guaranteed Loan Exchange™, GovGex.com, is an on-line forum connecting lenders selling government guaranteed loans with buyers. Additional information can be found at: www.SmallBusinessLoanExchange.com, www.GovGex.com and www.EdgewareAnalytics.com.

About Government Loan Solutions (GLS)

Government Loan Solutions provides services to the lender community including electronic settlement of 7(a) loans. They are the national leader in providing independent Third Party valuation of lenders servicing asset portfolio for SBA loans to help them comply with FASB 156 and 157. In addition GLS provides Valuations of Mortgage Servicing Rights. GLS has also been providing analytics, MTM, and consulting service to dealers and investors.
Additional information can be found at www.glsolutions.us

Media contact:
Meghan Searles Gardner
Edgeware Analytics
meghansearles@ew-a.com
857-222-2864