ANNOUNCEMENT For Immediate Release
	Contact: Nancy Beaton 913-754-7054 nbeaton@nicusa.com

What exactly has NIC acquired?
NIC has acquired an eGovernment contract in the state of Texas from BearingPoint, Inc., which includes the current TexasOnline portal management engagement through December 31, 2009, and projects which operate under a related Master Work Order running through August 31, 2014.

Does this mean NIC will automatically be awarded the work for the Request for Offers (“RFO”) currently out on the TexasOnline portal?
No. The contract acquired from BearingPoint, Inc. is separate from the active procurement for the rebid of the TexasOnline portal contract.

While NIC has submitted a proposal in response to that RFO, it is NIC’s policy not to comment on the status of such a procurement process until a final contract award has been made and the winning contractor has been announced by the applicable state. The state’s published timeline has an award date for this contract of June, 2009.

The State of Texas issued the RFO for its official state portal in October 2008, and the new contract is scheduled to begin on January 1, 2010.

What are the expected revenues from this in 2009?
The transaction closed on May 29, 2009, and there will be immediate revenue flow from the acquired contracts. However, NIC has not yet determined the reasonably likely financial effects of the new contracts, but intends to issue new guidance for 2009 after it has done so. NIC had previously issued guidance regarding the financial results expected for full year 2009, which did not include any new portal contracts. As a result of the acquisition of the current TexasOnline portal management contract and Master Work Order, the Company believes that the previously-issued guidance is no longer operative and cautions investors to no longer rely upon such guidance.

Will NIC retain current BearingPoint employees working on Texas Online?
NIC’s objectives are to provide the state of Texas with stability and the customers of TexasOnline with a seamless transition. To do this, NIC has extended employment offers to approximately 100 BearingPoint employees that currently work on the TexasOnline engagement.

With this contract what is the total population served by NIC?
The state of Texas has a population of approximately 24 million people. This brings the total population served by NIC to 95 million.

Did NIC create a new subsidiary for this work?
The work will be managed by Austin-based Texas NICUSA, LLC, a wholly-owned subsidiary of NIC.

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