XFormity and XML Global Announce Letter of Intent to Merge Combination to Advance the Development of Quick Serve Restaurant Technology DALLAS, June 24 /PRNewswire/ -- Software architecture and engineering company XFormity, Inc. announced today that it has signed a non-binding Letter of Intent to merge with XML-Global Technologies, Inc. (OTC:XMLG) (BULLETIN BOARD: XMLG) . The formal combined company will focus on the development of Quick Serve Restaurant (QSR) business intelligence and technology solutions. Consummation of the merger is subject to the execution of a definitive agreement, completion of audited financial statements, compliance with regulatory requirements and other conditions customary to transactions of this nature. If and when consummated, the transaction will result in a change in a majority of the XML-Global Board of Directors and executive management. "XML Global first entered into an OEM license with XFormity over one year ago," said Sheldon Drobny, Chairman of XML Global. "Since that time, XFormity has taken large steps in fulfilling its mission of becoming the leading data management company in the franchise universe. Our shareholders are delighted to be a part of XFormity's future through this merger." XFormity's flagship solution, QSRx, automatically integrates data captured from several sources, including point of sale, suppliers, payroll, finance, and corporate franchisor. Dirk Dozier, President of Austaco, an Austin, TX- based franchisee with 72 Taco Bells and 2003 winner of the Glenn Bell Award, given to the Taco Bell franchisee of the year, stated, "Much of our success is directly related to QSRx. Our field managers are delighted with the results from this important business tool. We look forward to the future offerings of XFormity." "XFormity has come a long way in its first two years," said Mark Haugejorde, Chairman of XFormity. "The challenges first presented to us by successful Taco Bell franchisees have been significant, and our team has surpassed the high performance expectations set by these industry leaders. The opportunity in this space is tremendous, and we look forward to executing our plan. The merger with XML Global will provide the resources to potentially reap significant shareholder benefits." According to SEI Vice President of Commercial Operations, Paul Dwyer, "This merger positions XFormity to expand its retail solutions to deliver more value to retail clients, and represents a commitment to serve the larger retail/franchise market." About XFormity XFormity, Inc., based in Dallas, designs and implements superior Business Intelligence software for large and mid-size clients, with a focus in the Quick Service Restaurant industry. The Company, along with its strategic partner SEI, is able to rapidly roll out flexible, extensible solutions to offer an immediate ROI to the customer. About XML-Global Technologies, Inc. XML-Global Technologies, Inc. (OTC:XMLG) (BULLETIN BOARD: XMLG) sold substantially all of its business assets to Xenos Group Inc. in November 2003. Since then, the Company has been engaged in efforts to identify potential business acquisition candidates. Safe Harbor for Forward-Looking Statements The statements contained in this press release may include certain projections and forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements involve a number of risks and uncertainties. Such statements reflect the company's current views with respect to future events and financial performance. No assurances can be given, however, that these events will occur or that such expectations will be achieved and that actual results could differ materially from those described. Actual results of future operations of XML-Global Technologies, Inc. may differ materially from those indicated by these forward looking statements as a result of various important factors, including, but not limited to, those discussed in the Risk Factors sections of reports filed by XML-Global Technologies' with the Securities and Exchange Commission. About SEI Information Technology SEI Information Technology is a premier technology support specialist with expertise in customer support, managed IT services, and custom software. Since 1969, SEI has helped its clients optimize their IT operations and remain focused on their core business. Recognized by Crain's Chicago Business in 2004 as one of the region's largest privately held firms, SEI employs more than 500 technology and business consulting professionals and maintains its headquarters in Oak Brook, IL, with a network of offices in Fargo and Grand Forks, ND, Los Angeles, CA, Merrillville, IN, London, England, and Debrecen, Hungary. To contact SEI, visit http://www.sei-it.com/ or call (888) 734-7343. For further information, contact: Jack Rabin, CFO, XML-Global Technologies, Inc. (847) 562-0700 Mark Haugejorde, Chairman, XFormity, Inc. (972) 661-1200 x 306 DATASOURCE: XFormity, Inc. CONTACT: Jack Rabin, CFO of XML-Global Technologies, Inc., +1-847-562-0700, or Mark Haugejorde, Chairman of XFormity, Inc., +1-972-661-1200 ext. 306 Web site: http://www.sei-it.com/

Copyright