Food and Drug Safety Partnership Planned with Leavitt Partners
Marks an Important Strategic Milestone

• Quarterly subscription revenue of $1.7 million, a 5.4% increase year over year
• 2Q12 total revenue of $2.6 million versus $2.7 million during the same period a year ago
• 2Q12 free cash flow of $414,000
• 2Q12 adjusted EBITDA of $429,000
• 2Q12 GAAP EPS ($0.03), versus breakeven during 2Q11
• 2Q12 non-GAAP EPS breakeven, versus $0.03 during 2Q11
• Year over year total debt reduction of $817,000, a 20% decrease

PARK CITY, Utah – February 14, 2012 – Park City Group (NYSE Amex: PCYG), a Software-as-a-Service (SaaS) provider of unique supply chain solutions for retailers and their suppliers, today announced results for its fiscal second quarter ended December 31, 2011.

“Our three primary initiatives during fiscal 2012 are to increase the adoption of our end-to-end supply chain management solutions, expand into at least one new retail vertical outside of the grocery industry, and validate our track and trace technology for use as a food and drug safety registry. We made significant progress on all three of these initiatives during the first half of the year,” said Randall K. Fields, Park City Group’s Chairman and CEO. “We’re seeing an acceleration of customers deploying more of our solutions deeper into their supply chains. In addition, we’re increasingly confident of a significant win in an additional vertical market given our growing sales pipeline.”

“Finally, our recently announced venture with Leavitt Partners has significant implications for both the adoption of our food and drug safety global registry, as well as for the future overall growth of our Company. Leavitt Partners provides industry-recognized thought leadership that will accelerate the adoption of our track and trace technology as the industry standard. Successful adoption not only provides the opportunity to expand our addressable market, but also offers the potential to significantly increase our revenue and profitability. It’s currently anticipated that the partnership will be a newly created entity primarily capitalized by independent investors. As a result of these three initiatives, growth of our retail/supplier connections and revenue should begin to accelerate during the fourth quarter.”

Revenue

Total revenue for the second quarter ended December 31, 2011 was $2.6 million, a 6.5% decrease from the prior year. The Company said its shift to a subscription based revenue model makes quarterly comparisons of maintenance, professional services, and license revenue difficult, as these can vary significantly from quarter to quarter. The decrease in non-subscription revenues was largely anticipated, and reflects management’s emphasis on growing subscription revenue in future periods. Subscription revenue is expected to continue to increase as a percentage of revenue and other revenue categories will continue to decrease, or remain volatile. This was evident during the second quarter, as maintenance, professional services, and license revenue decreased 15%, 36%, and 27%, respectively.

Subscription revenue during the second quarter increased 5.4% to $1.7 million, reflecting growth of retail and supplier customers contracted during the last several quarters, which was partially offset by customer churn. “Our churn rate was slightly higher than normal during the second quarter, which offset subscription revenue growth by approximately five percentage points,” said David Colbert, the Company’s Chief Financial Officer.

Commenting on revenue trends, Mr. Fields said, “So far this fiscal year, more than a dozen of our current retail and supplier customers have agreed to deploy additional point solutions that help not only diagnose problems within their supply chains, but also provide solutions to those problems. This is solid evidence that our shift from being a tactical to a strategic service provider is accelerating.”

Net (Loss) Income

Net loss available to common shareholders for the quarter ended December 31, 2011 was ($385,000), or ($0.03) per share, as compared to a net loss of ($22,000), or ($0.00) per share, during the prior year period. Non-GAAP EPS for the second quarter were $0.00 versus $0.03 during the same period last year.

Cash

During the quarter ended December 31, 2011, free cash flow was $414,000, compared to $482,000 during the same period last year. On a year over year basis, the Company reduced its debt balance by $817,000, or 20%, to end the second quarter with a balance of $3.2 million. Total cash was $942,000 at December 31, 2011.

The Company will host a conference call at 4:30 P.M. Eastern to discuss today’s results. Investors and interested parties may participate in the call by dialing (877) 675-3568 and referring to Conference ID: 48543871. The conference call is also being webcast and is available via the investor relations section. A toll free replay of the conference call will be available until February 21, 2012 by dialing (855) 859-2056 and entering Conference ID: 48543871.

About Park City Group

Park City Group (NYSE Amex: PCYG) is a Software-as-a-Service (“SaaS”) provider that brings unique visibility to the consumer goods supply chain. With over $100 million invested in development and 16 years of commercialization surrounding its proprietary scan based data platform, the Company’s services increase customers’ sales and profitability, while ensuring regulatory compliance for both retailers and their suppliers.

Through a process known as Consumer Driven Sales Optimization^TM, Park City Group helps retail and consumer packaged goods customers turn transactional information into actionable strategies to lower inventory, increase sales and improve efficiencies in the supply chain.

The Company’s Food Safety Global Registry^TM provides food retailers and suppliers with a robust solution that will help them protect their brands and remain in compliance with rapidly evolving regulations in the recently-passed Food Safety Modernization Act. The Food Safety Global Registry, an internet-based technology, will enable all participants in the farm-to-table supply chain to easily manage tracking and traceability requirements as products move between trading partners.

Non-GAAP Financial Measures

This press release includes the following financial measures defined as “non-GAAP financial measures” by the Securities and Exchange Commission: non-GAAP EBITDA, non-GAAP earnings per share, net debt and free cash flow. These measures may be different from non-GAAP financial measures used by other companies. The presentation of this financial information, which is not prepared under any comprehensive set of accounting rules or principles, is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with generally accepted accounting principles. Reconciliations of these non-GAAP financial measures to the nearest comparable GAAP measures will be provided upon the completion of the Company’s annual audit.

Non-GAAP EBITDA excludes items such as impairment charges, allowance for doubtful accounts, charges to consolidate and integrate recently acquired businesses, costs of closing corporate facilities, non-cash stock based compensation and other one-time cash and non-cash charges. Non-GAAP EPS excludes items such as non-cash stock based compensation, charges to consolidate and integrate recently acquired businesses, costs for closing corporate facilities, amortization of acquired intangible assets and other one-time cash and non-cash charges. Net debt is the total debt balance less the cash balance. Free cash flow includes net cash provided (used) by operating activities less replacement purchases of property and equipment. The Company believes the non-GAAP measures provide useful information to both management and investors by excluding certain expenses, gains and losses or net purchases of property and equipment, as the case may be, which may not be indicative of its core operation results and business outlook. In addition, because Park City Group has historically reported certain non-GAAP results to investors, the Company believes that the inclusion of non-GAAP measures provides consistency in the Company’s financial reporting.

Forward-Looking Statement

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “if”, “should” and “will” and similar expressions as they relate to Park City Group, Inc. (”Park City Group”) are intended to identify such forward-looking statements. Park City Group may from time to time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see “Risk Factors” in Park City’s annual report on Form 10-K, its quarterly report on Form 10-Q, and its other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.

Investor Relations Contact:
Dave Mossberg
Three Part Advisors, LLC
817-310-0051

Non-GAAP Net Income (Loss) to Common Shareholders and EPS
(In $000’s, except per share)
Unaudited results of operations

Non-GAAP Free Cash Flow
(In $000’s)
Unaudited results of operations

Non-GAAP Net Debt
(In $000’s)
Unaudited results of operations

Comprehensive solution addresses supply chain visibility challenges for all food and pharmaceutical industry trading partners

Salt Lake City & Park City, Utah – Leavitt Partners, an internationally-known health care and food safety consulting firm, and Park City Group (NYSE Amex: PCYG), a leader in consumer goods supply chain technology, have joined to create a solution targeted toward improving supply chain visibility for food and drug safety. The solution creates visibility from the farm to the fork in the food industry, and from the manufacturer to the pharmacy in the pharmaceuticals industry. The new partnership will help food retailers, foodservice operators, wholesalers and manufacturers protect their brands and be compliant with current and future regulatory requirements that could emerge from the Food Safety Modernization Act (FSMA). It will also provide tracking and tracing of pharmaceuticals through the supply chain from manufacturer to retailer, as numerous state and federal laws require.

The database of trading partner connections can easily, quickly and economically help identify the source of suspect product, as well as track it throughout the supply chain. Since the system works with existing electronic documents, it requires no special labeling, hardware or software; and can be deployed for no more than the cost of an average monthly cell phone bill. The database will reduce tracking times from weeks to minutes, so affected products can quickly be identified and removed from all trade channels, which can ultimately save lives. The partnership expects to commence operation with a select number of retailers, foodservice operators, wholesalers and manufacturers in the next few months.

“The federal and state level food and drug tracking and tracing laws are placing a significant responsibility on retailers, manufacturers and other suppliers to know exactly where their product comes from and where it’s going to. Our partnership with Park City Group will deliver a very comprehensive and inexpensive solution for clients that both meets regulatory obligations and generates supply chain productivity opportunities,” said Rich McKeown, President of Leavitt Partners. “The Park City Group solution not only exists today, but is proven, scalable and very cost effective.”

The partnership will leverage Park City Group’s proven product synchronization technology that has been processing millions of transactions daily between retailers, foodservice operators and suppliers for more than a decade. The system is known for its ability to maintain perpetual inventories, track product movement, and as a trusted provider of information used to settle financial transactions among trading partners. The new offering provides a low-cost, best practice solution for tracking and tracing products in the grocery and pharmaceutical supply chains. Other benefits from the system are enhanced customer loyalty, compatibility with any standard or in-house systems including GS1, sophisticated security, multi-platform connectivity and adherence to ever-changing traceability mandates.

“As a single point of connection for thousands of participants in the food and drug supply chain, the new partnership addresses the systemic challenge of a one-to-many information exchange through our easy-to-use web-based technology. By working with Leavitt Partners, our clients gain access to the most experienced team of food and drug safety experts on the planet, and the combination of the two organizations ensures that all regulatory requirements are efficiently and cost effectively met. It’s currently anticipated that the partnership will be a newly created entity primarily capitalized by independent investors,” said Randall K. Fields, Chairman and CEO of Park City Group.

About Leavitt Partners
Leavitt Partners advises clients in the health care and food safety sectors. The firm applies its experience, knowledge and a network of global relationships to serve our clients. As a food safety and health care intelligence business we provide the best available window to the future of American health care. More information is available at www.leavittpartners.com.

About Park City Group
Park City Group (NYSE Amex: PCYG) is a Software-as-a-Service provider that brings unique visibility to the consumer goods supply chain. With over $100 million invested in development and 16 years of commercialization surrounding its proprietary scan based data platform, the Company’s services increase customers’ sales and profitability, while ensuring regulatory compliance for both retailers and their suppliers. Through a process known as Consumer Driven Sales Optimization^TM, Park City Group helps retail and consumer packaged goods customers turn transactional information into actionable strategies to lower inventory, increase sales and improve efficiencies in the supply chain.

Media Contacts
Natalie Gochnour
Leavitt Partners
801.961.1581
natalie@leavittpartners.com

Ronald Margulis
RAM Communications
+1 908.272.3930
ron@rampr.com

Investor Contact (Park City Group)
Dave Mossberg
Three Part Advisors, LLC
817.310.0051

Forward-Looking Statements
Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “if”, “should” and “will” and similar expressions as they relate to Park City Group, Inc. (“Park City Group”) are intended to identify such forward-looking statements. Park City Group may from time to time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see “Risk Factors” in Park City’s Annual Report on Form 10-K for the fiscal year ended June 30, 2011, its quarterly report on Form 10-Q for the quarter ended September 30, 2011, and its other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.

PARK CITY, Utah. – Feb 13, 2012 – Park City Group (NYSE Amex: PCYG), a Software-as-a-Service provider of unique supply chain solutions for retailers and their suppliers, today announced the Company plans to release results for its fiscal second quarter 2012 after the Market closes on Tuesday, February 14, 2012. Randall K. Fields, Chairman and CEO, will host a conference call at 4:30 P.M. Eastern that day to discuss the Company’s results. Investors and interested parties may participate in the call by dialing (877) 675-3568 and referring to Conference ID: 48543871. The conference call is also being webcast and is available via the investor relations section.

Park City Group (NYSE Amex: PCYG) is a Software-as-a-Service (“SaaS”) provider that brings unique visibility to the consumer goods supply chain, delivering actionable information that ensures product is on the shelf when the consumer expects it as well as providing food safety tracking information. The Company’s service increases customers’ sales and profitability while enabling lower inventory levels and ensuring regulatory compliance for both retailers and their suppliers.

Through a process known as Consumer Driven Sales Optimization^TM, Park City Group helps its customers turn information into cash and increased sales, using the largest scan based platform in the world. Scan based trading provides retail trading partners with a distinct competitive advantage through scan sales that provide store level visibility and set the supply chain in motion. And since it is scan based, it can be used in a Direct Store Delivery (DSD) or warehouse setting.

The Food Safety Global Registry^TM provides food retailers and suppliers with a robust solution that will help them protect their brands and remain in compliance with rapidly evolving regulations in the recently passed Food Safety Modernization Act. An internet-based technology, the Food Safety Global Registry, will enable all participants in the farm-to-table supply chain to easily manage tracking and traceability requirements as products move between trading partners.

PARK CITY, Utah – January 23, 2012 — Park City Group (NYSE Amex: PCYG), a Software-as-a-Service (SaaS) provider of unique supply chain solutions for retailers and their suppliers, today announced that Randall K. Fields, Chairman and CEO, will present at the Food and Drug Law Institute’s (FDLI) Food Week 2012 Conference in Washington D.C. on January 26, 2012.

“I am pleased to have the opportunity to participate in this discussion on the food safety procedures signed into law last year,” said Randall K. Fields, Park City Group’s Chairman and CEO. “With the signing into law of the Food Safety Modernization Act (FSMA), it is clear that the food safety landscape is rapidly changing with more mandated regulations and stricter enforcement than ever before.”

“Famous brands have suffered for years after recalls due to the perception that the product isn’t safe for consumption. By quickly and accurately tracking food contamination to its sources using the global view provided by a national database, companies’ hard-earned brands and reputations can be preserved, limiting costly and embarrassing recalls and potentially saving companies millions in settlements, judgments and legal fees.”

Mr. Fields continued, “Park City Group has developed a cost effective solution to monitor and track what many consider to be the most important supply chain on Earth. Our Park City Group Food Safety Global Registry™ provides food retailers and suppliers with a robust solution that will help them to protect their brands and remain in compliance with rapidly evolving regulations in the recently passed Food Safety Modernization Act. Our internet-based technology, the Park City Group Food Safety Global Registry™, will enable all participants in the fork-to-farm supply chain to easily manage tracking and traceability requirements as products move between trading partners.”

Mr. Fields presentation will occur at 1:45 PM EST on January 26, 2012 at the FDLI Food Week 2012 Conference in Washington D.C. For more information on the Food and Drug Law Institute’s Food Week 2012 Conference, please visit www.fdli.org. For more information on Park City Group and the Company’s food safety initiatives, please visit www.parkcitygroup.com.

About Park City Group

Park City Group (NYSE Amex: PCYG) is a Software-as-a-Service (“SaaS”) provider that brings unique visibility to the consumer goods supply chain. With over $100 million invested in development and 16 years of commercialization surrounding its proprietary scan based data platform, the Company’s services increase customers’ sales and profitability, while ensuring regulatory compliance for both retailers and their suppliers.

Through a process known as Consumer Driven Sales Optimization^TM, Park City Group helps retail and consumer packaged goods customers turn transactional information into actionable strategies to lower inventory, increase sales and improve efficiencies in the supply chain.

The Company’s Food Safety Global Registry^TM provides food retailers and suppliers with a robust solution that will help them protect their brands and remain in compliance with rapidly evolving regulations in the recently-passed Food Safety Modernization Act. The Food Safety Global Registry, an internet-based technology, will enable all participants in the farm-to-table supply chain to easily manage tracking and traceability requirements as products move between trading partners.

About FDLI

The Food and Drug Law Institute, founded in 1949, is a non-profit organization that provides a marketplace for discussing food and drug law issues through conferences, publications and member interaction. The scope of FDLI includes food, drugs, animal drugs, biologics, cosmetics, diagnostics, dietary supplements, medical devices and tobacco. As a not-for-profit 501(c)(3) organization, FDLI does not engage in advocacy activities.

FDLI’s Mission is to provide education, training, and publications on topical food and drug law; act as a liaison to promote networking as a means to develop professional relationships and idea generation; and ensure an open, balanced marketplace of ideas to inform innovative public policy, law, and regulation.

PARK CITY, UT and DANVERS, MA – December 12, 2011 - Park City Group, Inc. (NYSE Amex: PCYG), a Software-as-a -Service provider of unique supply chain solutions for retailers and their suppliers, and The Nexxus Marketing Group, LLC, a full service Scan Based Trading (SBT) solutions provider, today announced a partnership that will utilize and leverage their complementary strengths, technology and expertise. The partnership will create more robust product and service offerings for retailers and suppliers nationwide. Combining Park City’s award winning reporting and analytics with Nexxus Group’s industry leading SBT newspaper program; the companies will offer technology and support services unmatched in the industry.

As the recognized leaders in Scan Based Trading and Supply Chain Management, the companies will utilize Park City Group’s proprietary business intelligence tools and Nexxus Group’s world class customer service and billing services to better serve new clients while expanding and improving established relationships. Piggybacking on each other’s core strengths, this partnership represents an opportunity for both companies to provide the most comprehensive supply chain solutions for retailers and suppliers in the market today.

“We are thrilled to partner with a company that shares our commitment to integrity,” said Randall K. Fields, Chairman and CEO of Park City Group. “The reputation of Nexxus Group, their dedication to unparalleled service and their experience working with the world’s largest retailers makes them a perfect partner with which to expand services to our clients.”

“Park City Group’s groundbreaking software has revolutionized the way that retailers and suppliers handle product in the supply chain,” said Jim Rao, President and CEO of Nexxus Group. “We look forward to partnering with such an innovative company to significantly enhance our customers’ experience.”

Park City Group and Nexxus Groups’ customers include market leaders in the Grocery, Mass Merchant, Convenience, Discount and Specialty Retailer industries.

For more information visit www.thenexxusgroup.com