Magic Software Signs New Deal with Celebi, a Leading Provider of Ground Handling Services

OR YEHUDA, Israel, Dec. 2, 2010 /PRNewswire-FirstCall/ -- Magic Software Enterprises Ltd. (Nasdaq: MGIC), a global provider of cloud and on-premise enabled application platform and business integration solutions, announced today that its wholly owned subsidiary, HERMES Logistics Technologies, a leading provider of air cargo management solutions, has signed a purchase agreement with Celebi to implement its state-of-the-art cargo management system.

Commenting on winning this new customer, Amit Ben-Zvi, CEO of HERMES Logistics Technologies, said, "We are very happy to extend our customer reach to include Celebi, a large ground handling provider on a global scale. This new deal highlights the unique benefits of our innovative offering to the cargo handling market, providing increased efficiency and quality to all of our customers."

The HERMES system, powered by Magic Software's award-winning application platform, will enable Celebi to leverage the advantages of mobile handheld terminals to track and manage cargo in real-time within its cargo hubs. HERMES will also allow Celebi to employ proactive service level management of all shipments with its built-in warnings and automatic reminders to operational staff.

With a presence in 28 airports worldwide, Celebi's ground handling operations can be found in Turkey, India, Hungary and most recently a new facility based within Europe's third busiest airport, Frankfurt International.

The introduction of this additional site to Celebi's portfolio prompted senior management to embrace a new technology solution in the form of the superior ground handling software: HERMES. Installation of the software will allow the new Frankfurt operation to compete at the highest levels, providing the organization with the latest business process support, demanded in today's competitive world of cargo handling.

With architecture and strategy phases now complete, the go-live date is set for early 2011, giving the teams at Celebi and HERMES time to provide staff with detailed information on the system including a revised set of working procedures. With future plans and ambitions set at the highest levels, Celebi's intentions are to roll out the HERMES solution within additional facilities, ensuring consistency of excellence throughout each and every warehouse.

About HERMES Logistics Technologies

Managing air cargo businesses for Airlines, Ground Handlers and Airports in more than 60 cargo terminals across five continents, HERMES Logistics Technologies develops and markets the HERMES real-time air cargo handling system, which supports terminals with cargo volumes varying from 20,000 to over 1,000,000 metric tons per year.

The HERMES System delivers for your customers and business, a complete and integrated solution encompassing all physical handling, documentation and messaging requirements: Real-Time Warehousing, Service Level Profiling/Monitoring, End-User Guidance, Tariff Profiling, Analysis, Audits and Reports.

About Magic Software

Magic Software Enterprises Ltd. (Nasdaq: MGIC) is a global provider of cloud and on-premise application platform solutions – including full client, rich internet applications (RIA), mobile or Software-as-a-Service (SaaS) modes – and business and process integration solutions. Magic Software has 13 offices worldwide and a presence in over 50 countries with a global network of ISVs, system integrators, value-added distributors and resellers, as well as consulting and OEM partners. The company's award-winning, code-free solutions give partners and customers the power to leverage existing IT resources, enhance business agility and focus on core business priorities. Magic Software's technological approach, product roadmap and corporate strategy are recognized by leading industry analysts. Magic Software has partnerships with global IT leaders including SAP AG, salesforce.com, IBM and Oracle. For more information about Magic Software and its products and services, visit www.magicsoftware.com, and for more about our industry-related news, business issues and trends, read the Magic Software Blog.

Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. Actual results may vary significantly based upon a number of factors including, but not limited to, risks in product and technology development, market acceptance of new products and continuing product conditions, both here and abroad, release and sales of new products by strategic resellers and customers, and other risk factors detailed in the Company's most recent annual report and other filings with the Securities and Exchange Commission.

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SOURCE Magic Software Enterprises Ltd.