-Leader in Global HR and Payroll Solutions Sets Sights on Further Expansion-

RALEIGH, N.C. and SALISBURY, U.K. (17 December 2008) – Patersons HR and Payroll Solutions, a leading global HR and payroll software and services business delivering expert solutions to clients in more than 160 countries, today announced details of its Series A financing.  The round of $30 million was led by Rho Ventures and partner, Paul Bartlett, has joined Patersons’ board of directors. Investment banking firm, Montgomery & Co., advised and managed the placement.

Previously financed by a group of private investors, Patersons HR and Payroll Solutions was founded in 1996 by Chief Executive Karen Paterson.  Paterson identified the crucial role that the Internet was going to play in global HR and payroll business processes and developed the company’s native Web-based offering, Logon2.

Logon2 fully leverages the Software-as-a-Service platform and features robust functionality, including employee and manager self service; a global multi-lingual, multi-currency HR suite; online global payroll processing; expatriate management; performance management; flexible benefits and benefits administration; and a full business intelligence and reporting suite. In 2007, the company had grown 395% over the previous year and Patersons has rapidly earned recognition as a forerunner of the next-generation of payroll and HR management solutions.

Karen Paterson commented, “The confidence that our investors have placed in us is second only to that of our growing customer base. These funds will be used to support our continued global growth, as well as expand operations and customer support, as well as to increase our sales presence.”

Paul Bartlett, partner at Rho Ventures, said, “Patersons HR and Payroll Solutions has tackled a long-standing problem that traditional ERP vendors and legacy payroll outsourcing providers have been unable to resolve.  Using the Software-as-a-Service (SaaS) delivery model, Patersons has developed the world’s first single platform, single contract approach to global payroll processing, thus addressing a market opportunity created by the inefficiencies of existing solutions.”

Global payroll management for multi-national organisations is particularly challenging, as each country – and oftentimes region, state and local municipalities – have specific regulations guiding payroll taxes.  Given these complexities, in addition to the support inherent in its offering, Patersons has also developed an online community for its global customers that can be accessed at www.patersons.net. This community provides additional educational materials, as well as a schedule of Patersons’ partner and customer webinars.

Patersons’ global headquarters is located near Stonehenge in Salisbury, U.K.  The company’s U.S. headquarters is located in Raleigh, N.C.  Regional offices include Singapore, Paris and Shanghai.