[Atlanta and Beijing, October 4, 2006] CDC Software, a wholly owned subsidiary of CDC Corporation (NASDAQ: CHINA) and a provider of enterprise software applications and services, today announced that it expects to report record high software license revenues for the third quarter ended September 30, 2006.

Consistent with the company’s performance in recent quarters and evidence of continued strong growth, the company also expects to report that software license revenue from new customers accounted for 40 to 50 percent of overall software license revenues for the quarter. As acquisitions earlier in the year represent only a small portion of the company’s overall revenues, the majority of the software license revenue in Q3 represents organic growth.

CDC Software expects to report software license revenues in the range of U.S. $10.9 million to U.S. $11.5 million for Q3 2006. This would represent an approximate increase of 27 percent compared to software license revenues of US $8.8 million Q3 2005.

“Our preliminary estimates indicate that our software sales were very strong during the third quarter, in spite of the typical doldrums during the late summer,” said Eric Musser, president of CDC Software. “While we are excited to report expected record high software license revenues for the third quarter, we are equally pleased with the quality of our organic revenue mix. Very few of our peers are consistently reporting a healthy revenue mix that includes 40 to 50 percent of software license revenues coming from new-logo customers. This is further validation of our deep commitment to customer success and the competitive advantages we have with unique industry solutions which are experiencing above average win rates throughout our strategic industries.”

CDC Corporation plans to report preliminary earnings estimates for Q3 in late October and final results by mid-November.