QAD Declares Quarterly Dividend of $0.025 Per Share

SANTA BARBARA, Calif.--(Business Wire)--
QAD Inc. (NASDAQ:QADI), a leading provider of enterprise software
solutions for global manufacturers, today announced that its Board of
Directors declared a quarterly cash dividend of $0.025 per share of
common stock payable on September 22, 2008 to shareholders of record
at the close of business on August 25, 2008. Continuing quarterly cash
dividends are subject to the approval of the Board of Directors whose
decision will consider factors such as continued profitability and
liquidity requirements of QAD.

About QAD

QAD is a leading provider of enterprise applications for global
manufacturing companies. QAD applications provide critical
functionality for managing manufacturing resources and operations
within and beyond the enterprise, enabling global manufacturers to
collaborate with their customers, suppliers and partners to make and
deliver the right product, at the right cost and at the right time.
Manufacturers of automotive, consumer products, electronics, food and
beverage, industrial and life science products use QAD applications at
approximately 6,100 licensed sites in more than 90 countries and in as
many as 27 languages. For more information about QAD, telephone +1 805
684 6614, or visit the QAD Web site at www.qad.com.

"QAD" is a registered trademark of QAD Inc. All other products or
company names herein may be trademarks of their respective owners.

Note to Investors: This press release contains certain
forward-looking statements made under the "safe harbor" provisions of
the Private Securities Litigation Reform Act of 1995. A number of
risks and uncertainties could cause actual results to differ
materially from those in the forward-looking statements. These risks
include, but are not limited to, evolving demand for the company's
software products and products that operate with the company's
products; the company's ability to sustain license and service demand;
the company's ability to leverage changes in technology; the company's
ability to sustain customer renewal rates at current levels; the
publication of opinions by industry and financial analysts about the
company, its products and technology; the reliability of estimates of
transaction and integration costs and benefits; the entry of new
competitors or new offerings by existing competitors and the
associated announcement of new products and technological advances by
them; delays in localizing the company's products for new or existing
markets; the ability to recruit and retain key personnel; delays in
sales as a result of lengthy sales cycles; changes in operating
expenses, pricing, timing of new product releases, the method of
product distribution or product mix; timely and effective integration
of newly acquired businesses; general economic conditions; exchange
rate fluctuations; and, the global political environment. In addition,
revenue and earnings in the enterprise resource planning (ERP)
software industry are subject to fluctuations. Software license
revenue, in particular, is subject to variability with a significant
proportion of revenue earned in the last month of each quarter. Given
the high margins associated with license revenue, modest fluctuations
can have a substantial impact on net income. Investors should not use
any one quarter's results as a benchmark for future performance. For a
more detailed description of the risk factors associated with the
company and the industries in which it operates, please refer to the
company's Annual Report on Form 10-K for fiscal 2008 ended January 31,
2008.

QAD Inc.
Aileen Osborn, Vice President Finance
805-566-6077
investor@qad.com
or
PondelWilkinson Inc.
Rob Whetstone/Laurie Berman, 310-279-5980
investor@pondel.com

Copyright Business Wire 2008