TMWD Tumbleweed Communications Corp (MM)

Tumbleweed� Communications Corp. (NASDAQ: TMWD), the industry's leading pure play messaging security vendor, today announced major expansion in its Tumbleweed Alliance Program (TAP) with the signing of several reseller leaders in the North American channel. Fishnet Security, Midwave Corporation, Cadre, Accudata Systems, ESI Information Technologies Inc., and Choice Solutions have all joined Tumbleweed as leading resellers, opening new vertical markets including retail, manufacturing, energy, transportation and education for the messaging security leader. Today�s announcement underscores the company�s significant momentum in the channel and comes on the heels of recent key sales appointments and several new channel partners in the Asia Pacific region. On a global basis, Tumbleweed is rapidly enabling qualified security resellers to sell Tumbleweed�s managed file transfer, email security and identity validation products. Tumbleweed�s new North American TAP partners are deploying hundreds of new professionals selling Tumbleweed products in North America. �Tumbleweed has an exceptionally strong track record in the enterprise space, which makes them a natural fit for our clients,� said Jim Leslie, CEO of Midwave Corporation. �Their highly differentiated managed file transfer products will enable us to go deeper and broader with our existing customers � and their product roadmap shows tremendous promise for future revenue growth.� Currently, Tumbleweed offers leading security products, largely in the financial, health care and governmental markets, supporting 8 of the top 10 financial institutions and all four branches of the U.S. armed forces. The TAP expansion has been driven by strong demand for innovative, reliable and easy-to-use messaging security solutions into new verticals ripe for these products. According to Gartner, messaging security represents a $2.9 billion market opportunity by 2009. �Partnering with Tumbleweed allows us to meet our customers� needs with the strongest suite of messaging security solutions in the market � spanning managed file transfer to email to encryption,� said Jim Steinlage, president of Choice Solutions. �Tumbleweed considers us a true partner and provides unparalleled TAP support. Their best-of-breed products, exceptional programs and strong margins will fuel our success. They even have a program that enables us to promote greater revenues through professional services.� Meanwhile, rapid consolidation and acquisition in the messaging security industry is squeezing some channel programs. Tumbleweed has made a sizeable investment in growing a differentiated program and a long-term commitment to driving channel success. �We have signed industry leaders among security resellers, a move that will fuel significant adoption of Tumbleweed�s highly differentiated products,� said Nick Hulse, executive vice president of Worldwide Field Operations. �In particular, our managed file transfer products will drive significant growth and profitability for our partners, and we are delighted to support their success.� Not Another �Me Too� Channel Program Tumbleweed has attracted top-tier resellers with a channel program that is innovative and distinguished from the rest. Featuring unmatched program benefits and product margins, Tumbleweed tapped its premier partner advisory committee to ensure that TAP is one the most channel-friendly programs. The TAP benefits include: Ease of adoption � Complete onboarding program with tools and training designed to drive immediate success Favorable margins � Single-tiered program for stronger revenue potential across all product lines and professional services Outstanding growth opportunity � Distinguished product lines offer growth opportunities for national and regional channels and those with niche traction in verticals such as retail, technology, manufacturing, insurance, and energy Strength and stability � An established leader in messaging security, Tumbleweed has made sizeable channel investments, which will only continue to grow Innovative programs � That help partners nurture and protect customer deals Tumbleweed is intent on adding national and regional premier partners with specific messaging security and data warehousing expertise, along with partners possessing significant specific industry vertical experience. The expansion of the TAP program in North America has been complemented by Tumbleweed�s recent addition of multiple top resellers in India, China and Australia. The company has also announced key management appointments to its sales organization, Joseph Morini, Thomas Keane and Bob Booth. The three new executives bring deep technical knowledge in messaging security and an exceptional track record for growing sales revenues. More information about the Tumbleweed Alliance Program qualifications and details can be found at the Tumbleweed Web site at http://www.tumbleweed.com/partners/index.html SAFE HARBOR STATEMENT Tumbleweed cautions that forward-looking statements contained in this press release are based on plans and expectations as of the date of the press release, and that a number of factors could cause the actual results to differ materially from the guidance given at this time. These factors are described in the Safe Harbor statement below. Except for the historical information contained herein, the matters discussed in this press release may constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those projected, particularly with respect to Tumbleweed�s success in opening new verticals, rapidly enabling resellers, and driving significant growth and profitability for partners, as well as the continued participation of current members of the program, and the number of professionals selling Tumbleweed solutions. In some cases, forward-looking statements can be identified by terminology such as �may,� �will,� �should,� �potential,� �continue,� �expects,� �anticipates,� �intends,� �plans,� �believes,� �estimates,� and similar expressions. For further cautions about the risks of investing in Tumbleweed, we refer you to the documents Tumbleweed files from time to time with the Securities and Exchange Commission, particularly Tumbleweed�s Form 10-K filed March 14, 2007 and Form 10-Q filed May 10, 2007. Tumbleweed assumes no obligation to update information contained in this press release. Although this release may remain available on Tumbleweed�s website or elsewhere, its continued availability does not indicate that Tumbleweed is reaffirming or confirming any of the information contained herein. About Tumbleweed Tumbleweed Communications Corp. (NASDAQ:TMWD), the industry�s leading pure play messaging security vendor, provides world-class innovative messaging security solutions for organizations of all sizes. Organizations rely on Tumbleweed's solutions to securely manage their Internet communications, spanning email management to file transfers. Tumbleweed has nearly 2,700 customers worldwide, representing industries such as Finance, Healthcare, and the U.S. Government. The world�s most security conscious organizations rely upon Tumbleweed technology including Bank of America Securities, JP Morgan Chase & Co., the U.S. Food and Drug Administration, and the U.S. Department of Defense. Our award-winning products build on fourteen years of R&D and 26 security patents in the U.S. alone � many of which are licensed by other security vendors. More information can be found at www.tumbleweed.com. Tumbleweed is a registered trademark of Tumbleweed Communications Corp. in the United States and/or other countries. All other trademarks are the property of their respective owners.