WESTBOROUGH, Mass., Sept. 28, 2005 -- Applix, Inc. (Nasdaq: APLX), a global provider of single platform solutions for Business Performance Management (BPM) and Business Intelligence (BI), has been selected by Denver Water of Denver, Colorado, for its Applix TM1 platform and the benefits it delivers through faster, more accurate and transparent budgeting, financial reporting and other business performance management activities.

Denver Water is Colorado's oldest and largest water utility, serving 1.2 million people. After a review of budgeting software and business performance management solutions available today, Denver Water asked Applix and another top vendor to deliver a proof-of-concept demonstration. Applix won the account because the company's team was able to demonstrate in a half-day that TM1 could more easily adapt to Denver Water's unique business needs.

"After our due diligence and a competitive review, we selected Applix TM1 because it was just head and shoulders above the other software," said Grace Wilcox, manager, budgeting, Denver Water. "Specifically, TM1 is very easy to use and -- most importantly -- the budgeting software can now be easily owned and maintained by the finance department."

"Selecting budgeting software and business performance management software involves a number of variables," said David Menninger, vice president, worldwide product management and marketing, Applix, Inc. "In addition to being able to deliver on reducing budgeting cycles, and increasing accuracy and transparency, the platform often has to be owned and maintained by the finance department. TM1's ability to exceed the goals of the customer, while also being easy to work with, is a critical advantage that many other solutions simply can not deliver and that is why Applix is so successful in proof of concept situations."

Like many organizations, Denver Water relied on an aging budgeting system and data residing in information silos. This was further complicated by the fact that more than 100 people and 12 different divisions at Denver Water are involved in the 10-year and annual budgeting process. The organization wanted a new system that could more easily consolidate information from any number of legacy and new systems, standardize and automate the processes that would reduce the budgeting cycle, and enable a large number of users to work with the information, eliminating the version control issues often associated with spreadsheets.

As Denver Water moves forward deploying its TM1 business performance management platform, the organization will develop a common business model that reflects the business drivers and objectives for the 10-year and annual planning processes. The team expects this common model to assist in reducing the budgeting cycle and in delivering information faster to decision makers.

The organization will also focus on the system delivering greater accountability, enabling analysts to make recommendations for efficiencies, and move from just managing the spreadsheets and the data. Ultimately, adopting TM1 is expected to help the organization to more accurately understand and explain the spending needs for Denver Water's ratepayers.

Applix TM1

Applix's TM1 is a proven, multi-dimensional budgeting, planning, forecasting, consolidations, reporting and analytics platform for powering strategic analysis of financial, transactional, operational and other business data. TM1 has scored the highest rating in goal achievement, better decisions, and better reporting for the second year in a row, according to The OLAP Survey 4 (http://www.survey.com/olap) by independent analyst Nigel Pendse. The annual BPM Partners "Beyond the Hype" Webcast (http://www.bpmpartners.com/events_webinars.shtml) named Applix the 2004 leader in the tools category and in 2005 recognized that Applix customers had the highest level of satisfaction of any of the leading BPM solutions, suites, tools and vendors. Customers using TM1-based applications have won industry awards from several leading publications, including Start Magazine and Business Finance Magazine.

Applix recently released TM1 Financial Consolidations. to streamline journal entries, inter-company eliminations and other consolidation processes. The company also offers TM1 Planning Manager. to provide workflow and compliance capabilities for all TM1-based applications, TM1 Financial Reporting. for rapid and easy reporting applications and TM1 Web., a Web- enabled front end for global and remote read/write capabilities of BPM and BI applications.

About Denver Water

Denver Water is Colorado's oldest and largest water utility, with 1.2 million people serviced in the city and county of Denver and surrounding suburbs (http://www.water.denver.co.gov/). The organization's job is to ensure a continuous supply of water to the City and County of Denver and nearly 50% of Denver Water customers who live in the surrounding suburbs (via water service contracts).

About Applix

Applix (Nasdaq: APLX) is a global provider of Business Performance Management and Business Intelligence solutions. These solutions, based on Applix's TM1 analytics platform, enable the continuous planning, management and monitoring of performance across the financial and operational functions within the enterprise. Applix is a founder of the BPM Standards Group (http://www.bpmstandardsgroup.org), and has been recognized by numerous industry analyst groups for its technical leadership and vision in the marketplace.

More than 2,000 customers worldwide use TM1 for its tight integration with Excel, real-time response, adaptability, and low total cost of ownership. Delivered by Applix and by a global network of partners, TM1-based solutions help customers manage their business performance and respond to the marketplace in real time. Headquartered in Westborough, MA, Applix maintains offices in four countries in Europe, North America and the Pacific Rim. For more information about Applix, please visit http://www.applix.com.

This news release contains forward-looking statements that involve risks and uncertainties. Forward-looking statements in this document are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements concerning future plans or results are only estimates and actual results could differ materially from expectations. Certain factors that could cause or contribute to such differences include without limitation, competitive pressures, changes in customer demands, adverse economic conditions, loss of key personnel, litigation, potential fluctuations in quarterly results, lengthy sales cycles, market acceptance of new or enhanced products and services, factors affecting spending by customers and other risks, uncertainties and factors including those described in the Company's Annual Report on Form 10-K for the year ended December 31, 2004 under the heading "Risk Factors" and its most recent Quarterly Report on Form 10-Q under the heading "Factors That May Affect Future Results." The forward-looking statements provided by the Company in this press release represent the Company's views as of the date of this release. The Company anticipates that subsequent events and developments may cause the Company's views to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so, and these forward- looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this release.

Applix and TM1 are registered trademarks of Applix, Inc., TM1 Financial Consolidations, TM1 Planning Manager, and TM1 Web are trademarks of Applix, Inc. All other trademarks and company names mentioned are the property of their respective owners.

Charlotte Locke 
clocke@applix.com