Pegasus Solutions

DALLAS – Pegasus Systems, Inc. PEGS today announced that Rosemont, Ill.-based Galileo International GLC, one of the world's leading providers of electronic global distribution services for the travel industry, is endorsing the Pegasus Commission Processing service through its Global Partner SolutionsSM program. Pegasus Commission Processing is the hotel industry's largest provider of travel agent hotel commission payment processing services and is a unit of Pegasus Systems, a leading providerof hotel industry electronic commerce and transaction processing solutions.

As part of Galileo's Global Partners SolutionsSM program, Galileo promotes Pegasus Commission Processing to Galileo's approximately 40,000 travel agency customers around the world. Galileo created the Global Partners Solutions program to help its travel agency customers stay competitive with easy access to premium third-party technology-related products and services. Galileo identifies the most advanced solutions available, evaluates the functionality and approves them for inclusion in this program. Travel agents use the Apollo(R) and Galileo(R) computerized reservation systems to electronically book hotels, airlines, rental cars and cruise lines.

Pegasus Commission Processing (www.hccnet.com) (formerly The Hotel Clearing Corp(R)) offers a hotel commission processing service that Dallas-based Pegasus Systems, Inc. established in 1992. Each month, Pegasus Commission Processing collects from its member hotels the actual guest stay information related to bookings made by travel agents. After consolidating the information and commission payments from all of its hotel customers, Pegasus sends a single monthly payment to its travel agency members. More than 83,000 travel agencies in 207 countries around the world have signed to use the service. Pegasus sends payments in agents' choice of currency along with detailed commission reconciliation information by hotel brand for quick reconciliation. Seven of the top 10 U.S. travel agencies rely on Pegasus for the collection, processing and consolidation of commission payments due them from hotels. In total, more than 70 hotel companies participate, representing more than 24,000 contracted properties in over 159 countries. Monthly, Pegasus processes more than $27 million in hotel commissions.

Pegasus Systems, Inc. (www.pegsinc.com) provides electronic commerce and transaction processing solutions to hotels, travel agencies, meetings and convention planners, corporate travel departments and Internet businesses

worldwide, as well as operates its own consumer travel reservations site, TravelWeb.com (www.travelweb.com). Pegasus' customers include seven of the 10 largest U.S.-based travel agencies, as well as approximately 30,000 hotel properties around the globe and nine of the 10 largest hotel companies in the world based on total number of guest rooms. Pegasus Systems has its headquarters in Dallas and offices in London. The company's stock is traded on the Nasdaq National Market under the symbol PEGS.

Galileo International is one of the world's leading providers of electronic global distribution services for the travel industry. The Company provides travel agencies at approximately 40,000 locations, as well as other subscribers, with the ability to access schedule and fare information, book reservations and issue tickets for more than 500 airlines. Galileo International also provides subscribers with information and booking capabilities covering all major hotel chains, car rental companies, cruise lines and numerous tour operators throughout the world. Further information about the company is available on Galileo's web site: www.galileo.com.

Michael Brophy
(214) 234 4400
Pegasus