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Datawatch Adds Seven High-Profile Hyland OnBase Partners to Strategic Partner Program for Monarch|RMS

New Additions will Expand Datawatch Partner Base and Extend the Reach of Monarch|RMS to Hyland OnBase Customers

Chelmsford, MA - January 16, 2008 - Datawatch Corporation (NASDAQ-CM: DWCH), a leader in Enterprise Information Management (EIM), today announced it has expanded its Strategic Partner Program for Monarch|RMS™ with the addition of seven new Hyland OnBase® Partners.

Monarch|RMS (Report Mining Server), Datawatch’s web-based report mining and Business Intelligence solution, transforms the corporate information stored in Hyland OnBase and other archives from view-only documents to live, actionable data for better decision-making and increased ROI. As further evidence of the value of Monarch|RMS to Hyland OnBase customers, Datawatch today announced that the following partners have joined the Datawatch Partner Program:

- eDocument Resources

- ImageSoft

- Latitude 44

- Naviant Group/MTM International

- Paperless Software

- Results Engineering

- Security MicroImaging

In addition to bolstering Datawatch’s partner network, these new strategic partnerships will provide more end user organizations with the benefit of dramatically extending the value of their existing reports to solve real business problems with no new programming.

“Many BI products carry heavy costs in terms of price, implementation, support and training,” said Tom Sutter, managing partner of Naviant Group. “By leveraging the OnBase platform with Monarch|RMS we can provide our customers in financial services, manufacturing, distribution and healthcare a powerful Business Intelligence solution that is complimentary to the way they already work. Our customers no longer need to start from scratch to get the answers their users need, are up and running fast, resulting in a significant ROI.”

Based on Datawatch’s industry-leading Monarch report mining technology, Monarch|RMS turns static reports stored in OnBase COLD archives into real, actionable data with a simple click of the mouse. From exporting to Excel® for manipulation, to summarizing hundreds of megabytes of data down to ten lines of totals, to mining the data using dynamic OLAP-type tools, Monarch|RMS provides the tools and results needed to unlock corporate data in stored, static reports. As a result, Datawatch Strategic Partners will benefit from the opportunity to sell a complete solution to customers looking to capture and store information from diverse sources and make it available via the web, in the right format, for faster decision-making.

“Monarch|RMS allows us to greatly extend the value of reports stored in the OnBase platform and streamline business processes,” said Scott Bade, president of ImageSoft. “For example, one of our insurance customers wants to extract data from a variety of reports generated by different subsidiaries and transform it into a single report for a consolidated view of the business. With Monarch|RMS and OnBase this becomes possible—with no custom report writing, or the time and expense of creating a data warehouse. Add to this the ease of implementation and ease of use for Monarch|RMS and it’s a home run, especially for our insurance, government, healthcare and manufacturing customers.”

“Since we extended our Strategic Partner Program, an increasing number of Hyland OnBase Partners have recognized the strategic value that report mining can offer to Hyland OnBase customers,” said John Kitchen, senior vice president and CMO for Datawatch. “Like Datawatch, these partners know that a more complete enterprise information solution—one that combines both Business Intelligence and Content Management capabilities—can help OnBase customers in any market solve business problems more effectively. We’re very pleased that several of the top OnBase Partners in the industry are turning to Datawatch to help their customers increase the value of their archives by turning them into valuable sources of business intelligence.”

Datawatch Strategic Partners benefit from top-flight sales and technical training, advanced product and implementation methodology training for both pre-sales and implementation services personnel, access to an Online Partner Resource Center and the momentum that drives sales for Monarch|RMS from a recognized market leader.

ABOUT DATAWATCH CORPORATION

Datawatch Corporation (NASDAQ-CM: DWCH), a leader in Enterprise Information Management, helps companies make better decisions and solve business problems by simplifying access to information. Unique among EIM vendors, Datawatch transforms the massive amounts of data and documents generated inside or outside a company into actionable insight, without any changes needed to existing systems. Datawatch customers benefit from the right information, in the right context, at the right time. More than 20,000 organizations worldwide rely on Datawatch products including its market-leading Monarch report and Data Mining solutions. Founded in 1985, Datawatch is based in Chelmsford, Mass., with offices in London, Sydney and Manila. For more information, visit www.datawatch.com.