BEIJING, Feb. 18, 2011 /PRNewswire-Asia-FirstCall/ -- Yucheng Technologies Limited (Nasdaq: YTEC) ("Yucheng," the "Company," "we," "us" and "our"), a leading provider of IT Solutions to the financial services industry in China, today announced financial results for the fourth quarter and full year ended December 31, 2010.

• Fourth quarter software & solutions revenues of US$18.7 million, an increase of 151.6% year-over-year;
• Fourth quarter net revenue (Non-GAAP) of US$21.9 million, an increase of 128.5% year-over-year;
• Fourth quarter net income (Non-GAAP) from continuing operations of US$3.2 million, or US$0.16 per share, as compared to USD -6.1 million, or US$ -0.33 per share in the year-ago period;
• Full Year total revenue (Non-GAAP) and EPS (Non-GAAP) guidance for FY 2011 is between US$70.0 million and US$72.0 million and US$0.43-0.45.

"In the fourth quarter, Yucheng continued to see the positive results from our operational improvement in addition to benefiting from the strong seasonal demand. We believe the strong customers demand for IT solutions will carry well into 2011. We have laid a solid foundation through the restructuring in the past year for future growth, as evidenced by the fact that our market share at our largest customer improved even when its IT software spending was reduced in 2010. We are confident that we will be able to capitalize on the market opportunities and further consolidate our leadership position in the industry," said Mr. Hong Weidong, CEO of Yucheng Technologies.

"In addition, we have sold our POS business as planned to its management team as of December 31, 2010. With a series of initiatives we have undertaken since June 2009, we have now divested all the non-core businesses and as a result, we will be a much more focused IT solution provider to the banks in China in 2011 and beyond," added Mr. Hong.

Recent Developments

Yucheng entered into an agreement as of December 31, 2010 to sell 100% of the shares in our POS company to the management team of the POS business to permit the company to focus on our core business of IT solutions for banks in China.

The POS business has been reclassified to discontinued operations for the year ended December 31, 2010, and the comparative figures for the years ended December 31, 2008 and 2009 have been retrospectively reclassified to discontinued operations according to US GAAP accounting requirements.

As a result of the disposition, starting the first quarter of 2011, Yucheng will only have software & solutions business and platform & maintenance services business.

Fourth Quarter 2010 Financial Results

Yucheng's 2010 fourth quarter revenues, gross margin and operating margin do not include the results of POS business, which has been reclassified to discontinued operations.

Total revenues for the fourth quarter of 2010 were US$21.9 million, an increase of 212.8% year-over-year and 39.0% sequentially. Net revenues (non-GAAP)(1) for the fourth quarter of 2010 were US$21.9 million, an increase of 128.5% year-over-year and 38.4% sequentially. The year-over-year increase was mainly due to the increase of software & solutions revenues.

Gross margin for the fourth quarter of 2010 was 50.6%, compared to 27.4% in the year-ago period and 48.4% in the previous quarter. Gross margin of net revenues (non-GAAP)(2) was 50.7% in the fourth quarter of 2010, compared to 20.1% in the year-ago period and 48.4% in the previous quarter. The increase in gross margin (non-GAAP) year-over-year was a combined result of the increases in gross margin of both software & solutions business and platform business.

Software & solutions revenues for the fourth quarter of 2010 were US$18.7 million, an increase of 151.6% year-over-year and 34.1% sequentially.

Gross margin of software & solutions business for the fourth quarter of 2010 was 48.9%, compared to 14.4% in the year-ago period and 50.0% in the previous quarter. The sequential decrease in the gross margin was primarily due to labor cost increases.

Platform & maintenance services revenues for the fourth quarter of 2010 were US$3.2 million, compared to US$ -0.4 million in the year-ago period and US$1.8 million in the previous quarter. Net revenues of platform & maintenance services (non-GAAP) for the fourth quarter of 2010 were US$3.1 million, an increase of 47.5% year-over-year and 71.8% sequentially.

Gross margin of platform & maintenance services business for the fourth quarter of 2010 was 60.6%, compared to -191.9% in the year-ago period and 36.3% in the previous quarter. Gross margin of net revenues (non-GAAP) for platform maintenance services was 61.8% in the fourth quarter of 2010, compared to 40.0% in the year-ago period and 36.0% in the previous quarter. The increase in gross margin (non-GAAP) was mainly due to the increase of platform business.

Total operating expenses for the fourth quarter of 2010 decreased 14.5% year-over-year and increased 48.4% sequentially to US$8.4 million. Total operating expenses (non-GAAP)(3) for the fourth quarter of 2010 decreased 19.5% year-over-year and increased 48.7% sequentially to US$7.6 million. The year-over-year decrease was mainly attributable to a bad debt provision of USD2.7 million which we took in 2009 Q4. The sequential increase was mainly impacted by sales commission and year-end bonus.

Income from operations for the fourth quarter of 2010 was US$2.7 million, compared to US$ -7.9 million in the year-ago period and US$2.0 million in the previous quarter. Income from operations (non-GAAP)(4) for the fourth quarter of 2010 was US$3.5 million, compared to US$ -7.5 million in the year-ago period and US$2.5 million in the previous quarter.

Operating margin of total revenue was 12.4% for the fourth quarter of 2010, compared to -112.3% in the year-ago period and 12.6% in the previous quarter. Operating margin of net revenues (non-GAAP)(5) was 15.9% for the fourth quarter of 2010, compared to -78.8% in the year-ago period and 16.0% in the previous quarter.

Income from discontinued operations, net of tax for the fourth quarter of 2010 was US$ -4.2 million, reflecting the reclassified operating results of the POS business and the loss from disposal of the POS business.

In the fourth quarter of 2010, the Company recorded net income from continued operations of US$2.4 million, or US$0.12 per diluted share, compared to US$ -6.4 million, or US$ -0.35 per diluted share, in the year-ago period and US$1.8 million, or US$0.09 per diluted share, in the previous quarter.

Net income from continued operations (non-GAAP)(6) was US$3.2 million in the fourth quarter of 2010 or US$0.16 per diluted share. Net income from continued operations (non-GAAP) in the year-ago period was US$ -6.1 million or US$ -0.33 per diluted share. Net income from continued operations (non-GAAP) in the previous quarter was US$2.3 million or US$0.12 per diluted share.

In the fourth quarter of 2010, the Company recorded net income of US$ -1.8million, or US$ -0.09 per diluted share, compared to US$ -6.8 million, or US$ -0.36 per diluted share, in the year-ago period and US$1.5 million, or US$0.08 per diluted share, in the previous quarter.

Net income (non-GAAP) was US$ -1.0 million in the fourth quarter of 2010 or US$-0.05 per diluted share. Net income (non-GAAP) in the year-ago period was US$ -6.4 million or US$ -0.35 per diluted share. Net income (non-GAAP) in the previous quarter was US$2.0 million or US$0.11 per diluted share.

As of December 31, 2010, Yucheng had cash and cash equivalents and restricted cash totaling US$24.5 million.

Operating cash flow in the fourth quarter of 2010 was a net inflow of US$13.7 million.

Full Year 2010 Financial Results

Yucheng's full year revenues, gross margin and operating margin do not include the results of POS business, which has been reclassified to discontinued operations.

Total revenues for 2010 were US$61.0 million, an increase of 17.4% year-over-year. Net revenues (non-GAAP) for 2010 were US$59.8 million, an increase of 18.7% year-over-year. The year-over-year increase was mainly due to the increase of software & solutions revenues.

Gross margin for 2010 was 48.8%, compared to 46.0% in 2009. Gross margin of net revenue (non-GAAP) was 49.7% in 2010, compared to 47.4% in 2009. The increase in gross margin (non-GAAP) year-over-year was largely due to the increase of gross margin of software & solutions.

Software & Solutions revenues for 2010 were US$51.4 million, an increase of 22.3% year-over-year.

Gross margin of software & solutions business for 2010 was 49.8%, compared to 45.4% in 2009. The increase in gross margin year-over-year was largely due to the better cost management of the software development project.

Platform & maintenance services revenues for 2010 were US$9.6 million, a decrease of 3.3% year-over-year. Net revenues for platform & maintenance services (non-GAAP) for 2010 were US$8.4 million, an increase of 0.6% year-over-year.

Gross margin of platform & maintenance services business for 2010 was 43.3%, compared to 48.7% in 2009. Gross margin of net revenue (non-GAAP) for platform maintenance services was 49.3% in 2010, compared to 57.7% in 2009. The decrease in gross margin (non-GAAP) year-over-year was largely due to of the decrease of platform business.

Total operating expenses for 2010 decreased 4.1% year-over-year to US$24.2million. Total operating expenses (non-GAAP) for 2010 decreased 4.6% year-over-year to US$22.8million.The year-over-year decrease was mainly attributable to a bad debt charge of USD2.7 million which we took in 2009.

Income from operations for 2010 was US$5.5 million, compared to US$ -1.3 million in 2009. Income from operations (non-GAAP) for 2010 was US$7.0 million, compared to US$0.0 million in 2009. Operating margin of total revenue was 9.1% in 2010, compared to -2.5% in 2009. Operating margin of net revenue (non-GAAP) was 11.6% in 2010, compared to 0.04% in 2009.

Income from discontinued operations, net of tax for 2010 was US$ -5.1 million, reflecting the reclassified operating results of the POS business as well as the loss from the disposal of the POS business.

In 2010, the Company recorded net income from continued operations of US$5.8 million, or US$0.31 per diluted share, compared to US$0.5 million, or US$0.02 per diluted share, in 2009.

Net income from continued operations (non-GAAP) was US$7.2 million in 2010 or US$0.38 per diluted share. Net income from continued operations (non-GAAP) in 2009 was US$1.8 million or US$0.10 per diluted share. Net income from continued operations (non-GAAP) increased 299.7% year-over-year.

In 2010, the Company recorded net income of US$0.7 million, or US$0.04 per diluted share, compared to US$-0.6 million, or US$-0.03 per diluted share, in 2009.

Net income (non-GAAP) was US$2.1 million in 2010 or US$0.11 per diluted share. Net income (non-GAAP) in 2009 was US$0.7 million or US$0.04per diluted share. Net income (non-GAAP) increased 189.3% year-over-year.

Operating cash flow for the full year 2010 was a net outflow of US$4.4 million, which was primarily due to an Increase in trade accounts receivables.

Financial Results including the POS business

For comparison purpose with previous period results, we are also including Yucheng's financial results as if POS business were not disposed as following:

• Net revenues (non-GAAP) for the fourth quarter of 2010 were US$23.4 million, an increase of 122.2% year-over-year and 38.3% sequentially.
• Net revenues (non-GAAP) of 2010 were US$64.5 million, an increase of 19.0% year-over-year.
• Net income (non-GAAP) was US$3.0 million in the fourth quarter of 2010 or US$0.16 per diluted share. Net income (non-GAAP) in the year-ago period was US$ -6.4 million or US$ -0.35 per diluted share.
• Net income (non-GAAP) was US$6.2 million in 2010 or US$0.32 per diluted share. Net income (non-GAAP) in the year-ago period was US$0.7 million or US$0.04 per diluted share.

Business Outlook

For the quarter ending March 31, 2011, Yucheng expects net revenue (non-GAAP) to be in the range of US$10.5 million to US$10.8 million and net income (non-GAAP) per share to be US$0.00.

For the fiscal year ending December 31, 2011, Yucheng expects net revenue (non-GAAP) to be in the range of US$70.0 million to US$72.0 million and net income (non-GAAP) per share to be in the range of US$0.43 to US$0.45.

Fourth Quarter and Full Year 2010 Conference Call Details

Yucheng Management will conduct a conference call to discuss the financial results for the three-month period ended December 31, 2010 on Friday, February 18, 2011 at 8:00AM EDT/ 9:00PM BJT.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 8835.

A recording of the call will be accessible within 48 hours on the Investor Relations section of the Yucheng's website at http://www.yuchengtech.com/english/succe...

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese financial service providers. Headquartered in Beijing, China, Yucheng services clients from its nationwide network in 23 cities and approximately 2,200 employees. Yucheng provides a comprehensive suite of IT solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking and call centers; (ii) Business Solutions, such as core banking systems and loan management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng has been ranked on the Global FinTech 100 survey of top technology partners to the financial services industry for three consecutive years. Independent research firm IDC has also named Yucheng one of the top 3 market share leader in China's Banking IT solution market every year since 2007. For more information about Yucheng Technologies Limited, please visit www.yuchengtech.com.

Reconciliation of non-GAAP Measures

This earnings release presents the following "non-GAAP financial measures" as defined by applicable U.S. securities regulations. The presentation of these non-GAAP financial measures is not meant to be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. The non-GAAP financial measures are provided as additional information to help both management and investors compare business trends among different reporting periods on a consistent and more meaningful basis and enhance investors' overall understanding of the Company's current financial performance and prospects for the future. These non-GAAP measures have limitations, however, because they do not include all items of income and expenses that impact the Company's operations. Management compensates for these limitations by also considering the Company's GAAP results. The non-GAAP financial measures the Company uses are not prepared in accordance with, and should not be considered an alternative to measurements required by GAAP and should not be considered measures of the Company's liquidity. Pursuant to relevant regulatory requirements, we are providing the following reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures.

(1) Net revenue (non-GAAP)

Yucheng's net revenue (non-GAAP) represents total revenue net of third party hardware and software costs that are passed through to our customers. We believe total revenues net of third party hardware and software costs more accurately reflects our core business, which is the provision of software solutions and services, and provides transparency to our investors. It is also the same measure used by our management to evaluate the competitiveness and development of our business.

(2) Gross margin of net revenue (non-GAAP)

Gross margin of net revenues (non-GAAP) is calculated by dividing gross profit by net revenue (non-GAAP). We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the gross margin of net revenue (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes this non-GAAP measure, when read in conjunction with the Company's GAAP gross margin and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

(3) Operating expenses (non-GAAP)

Operating expenses (non-GAAP) excludes stock-based compensation and amortization of acquired intangible assets related to previous acquisitions. We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the operating expenses (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes this non-GAAP measure, when read in conjunction with the Company's GAAP operating margin and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

(4) Operating margin of net revenue (non-GAAP)

Operating margin of net revenue (non-GAAP) is calculated by dividing operating income, excluding amortization of acquired intangible assets and stock-based compensation expenses, divided by net revenue (non-GAAP). We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the operating margin of net revenue (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes this non-GAAP measure, when read in conjunction with the Company's GAAP operating margin and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

(5) Net income (non-GAAP)

Net income (non-GAAP) excludes stock-based compensation and amortization of acquired intangible assets related to the previous acquisitions. We believe that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and income that may not be indicative of our operating performance. Management uses the net income (non-GAAP) measure to gain a better understanding of the Company's comparative operating performance from period-to-period and as a basis of planning and forecasting future periods. Management believes the Company's net income (non-GAAP) measure, when read in conjunction with the Company's GAAP net income measure and other GAAP financial metrics, provides useful information to investors by offering: a) the ability to make more meaningful period-to-period comparisons of the Company's on-going operating results; b) the ability to better identify trends in the Company's underlying business and perform related trend analysis; c) a better understanding of how management plans and measures the Company's underlying business; and d) an easier way to compare the Company's most recent results of operations against investor and analyst financial models.

(6) Net income (non-GAAP) per diluted share

Net income (non-GAAP) per diluted share is calculated by dividing net income (non-GAAP) (which as discussed above excludes stock-based compensation expenses and amortization of acquired intangible assets) by the same number of weighted average shares outstanding used in the computation of net income per diluted share. Management believes that net income (non-GAAP) per diluted share, when used in conjunction with the Company's GAAP net income per diluted share, provides useful information to investors for the same reasons discussed above regarding net income (non-GAAP). In addition, net income (non-GAAP) per diluted share allows investors to evaluate the Company's operating performance from period to period on a per share basis, thus providing a useful basis for assessing the Company's value on a per share basis.

Cautionary Note Regarding Forward-Looking Statements

The information contained in this document is as of February 18, 2011. Yucheng assumes no obligation to update any forward-looking statements contained in this document as a result of new information or future events or developments.

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward looking terminology, such as ''may,'' ''will,'' ''expect,'' ''intend,'' ''estimate,'' ''anticipate,'' ''believe,'' ''project'' or ''continue'' or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment. A further list and description of these risks, uncertainties, and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2009, and in our reports on Forms 10-Q and 8-K filed with the United States Securities and Exchange Commission and available at www.sec.gov.

For more information about Yucheng, please visit www.yuchengtech.com.

SOURCE Yucheng Technologies Limited

Source: PR Newswire (February 18, 2011 - 6:00 AM EST)

    12th Annual Needham Growth Conference

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    Time:      January 12-14, 2010
    Location:  The Palace Hotel, New York
    Speakers:  Steve Dai, CFO


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    Event:     Panel discussion and one-on-one meetings
    Time:      January 12, 2010
    Location:  The Barclay, New York
    Speakers:  Steve Dai, CFO

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For further information, please contact:

     Rebecca Alexander
     Tel:   +1-914-613-3648 or +86-10-5913-7998
     Email: ralexander@yuchengtech.com

The joint venture expands the scope of the E-Banking ASP and allows it to grow more rapidly than Yucheng's resources and expertise alone permitted. The platform will continue to maximize economies of scale by providing limited customization; however, the forecasted increase in clients and significant capital investments necessary to support the platform will result in a 2012 breakeven target.

The E-Banking ASP target market includes hundreds of small to medium-sized banks in China. Navigating the operational complexity of serving this market is where NTT DATA's core competency in hosted IT systems will add value to the joint venture. NTT DATA will contribute to the joint venture with its experiences from its ANSER Unit Operation Center and Core Operating System Data Center, as well as experience operating outsourced platforms.

Yucheng will contribute its E-Banking ASP technology, existing client base and local market expertise. In 2009, Yucheng firmly established the market for the E-Banking ASP, which focuses on the specific needs of Rural Credit Unions and smaller City Commercial Banks in China. Under Yucheng's stewardship, the E-Banking ASP effectively grew the number of contracts by 275% compared to the previous year. Yucheng's strong reputation and deep understanding of the Chinese banking industry will ensure that the joint venture continues to utilize local best practices in developing and marketing the E-Banking ASP.

After the official launch of the joint venture on January 19, 2010, NTT DATA will hold a controlling interest of 51% in the joint venture and Yucheng will hold the minority interest of 49%. To ensure continuity until appropriate appointments are made, Yucheng's COO, Shuo Zeng, will act as interim CEO.

Mr. Toshio Iwamoto, Senior Executive Vice President of NTT DATA CORPORATION, stated, "NTT DATA has been interested in expanding into the Chinese financial services industry for some time; however, we understand the value of local expertise when entering a new country. When the opportunity arose to collaborate with Yucheng, we knew this would be a winning combination."

Mr. Weidong Hong, CEO and Chairman of Yucheng Technologies, stated, "NTT DATA is globally renowned for its caliber of outsourced solutions, which will be a true asset as the E-Banking ASP continues to grow and serve a rapidly expanding client base."

About NTT DATA CORPORATION

NTT DATA CORPORATION has been one of the leading providers of IT services and solutions in Japan. Offerings include consulting, systems integration and IT outsourcing, for major financial, public administration and enterprise sectors. NTT DATA Group rapidly expands its business overseas providing high quality IT solutions and consulting services to customers worldwide. NTT DATA Group has established global support network that covers 71 cities in 24 countries worldwide. More information about NTT DATA CORPORATION is available at http://www.nttdata.co.jp... .

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

    For Further Information

    Rebecca Alexander
     Tel:   +1 914 613 3648
            +86 10 5913 7998
     Email: ralexander@yuchengtech.com

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

Yucheng's E-Banking ASP is a significant milestone in the development of an outsourced hosted service model for the Chinese FinTech space because it demonstrates that banks are willing to conform to IT requirements and adopt best practices. By providing limited customization of the platform, Yucheng is able to leverage standardized IT software and pooled hosting services to create economies of scale.

This unique delivery platform eliminates the need for high upfront costs for banks and allows Yucheng to extract recurring revenue streams. Banks utilizing the platform will pay an annual access fee as well as fees per transaction conducted on the platform.

Yucheng now has contracts with 22 banks, of which 12 are already live on the system and another 4 are expected to launch by year-end. As the consortium grows, new member banks will have access to Yucheng's E-Banking ASP at the pre-negotiated group rates.

Yucheng's E-Banking ASP is tailored to the needs of Rural Credit Unions and smaller City Commercial Banks, which require high-quality IT solutions to remain competitive. The E-Banking ASP platform bundles a variety of banking services, such as personal and business account management, wire transfers, payment services, and enterprise cash management services. In addition, the E-Banking ASP reduces the risks to banks of providing online banking services by ensuring not only that the solution remains current through system-wide upgrades, but also that the software has the latest security features to protect user information and bank data.

Mr. Weidong Hong, CEO and Chairman of Yucheng Technologies, stated, "With the addition of these 12 banks, we have achieved critical mass and proven that outsourced solutions are a viable alternative in the Chinese e-banking market. We are intensifying the resources dedicated to this business and expect to see steadier growth in the future."

E-Banking ASP is part of Yucheng's Channel Solutions offerings, which enable banks to better communicate with and serve their customers. Yucheng launched its E-Banking ASP in March of 2008.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For Further Information

     Rebecca Alexander
     Tel:    +1 914 613 3648
             +86 10 5913 7998
     Email:  ralexander@yuchengtech.com

"Yucheng's core business, Software & Solutions, continued strong growth, with year to date revenues totaling USD 34.6M, an increase of 60.0% over the same period in 2008, excluding exchange rate fluctuations," said Weidong Hong, CEO and Chairman of Yucheng. "We expect our Software & Solutions business will continue to be the main driver of both revenue and EPS."

    Third Quarter 2009 Financial Highlights
    -- Software & Solutions net revenue totaled USD 13.8M, a 55.9% increase
       year-over-year.
    -- Total net revenue grew 24.7% year-over-year to USD 17.0M.
    -- With the introduction of tighter expense controls, G&A expenses totaled
       USD 3.3M, a sequential decline of 18.9%.
    -- Yucheng had USD 21.9M in cash, compared to USD 18.8M in the third
       quarter of 2008.

Business Outlook

The third quarter demonstrated high demand across the board for Yucheng's Software & Solutions. Key growth drivers continue to be loan management, call center, and e-banking solutions, where Yucheng is a recognized leader. With confidence in the overall health of the bank IT Solutions market, this trend is expected to continue into 2010.

Operating expenses showed encouraging stability as a percentage of revenues due to tighter controls and greater scrutiny. The G&A cost control initiatives are still taking effect and are expected to be accretive to the bottom line in 2010.

Weidong Hong, CEO of Yucheng stated, "Given our third quarter execution and our fourth quarter visibility, we are confirming our 2009 annual guidance of USD 69M to 72M in net revenue, USD 14.9M in net income and non-GAAP EPS of USD 0.80."

Third Quarter Financial Results

The table below is provided to give greater insight into our POS business, beyond what is available in our consolidated financial statements. The revenue and cost of revenue numbers are provided on a net presentation basis.

           Summary of Selected Unaudited Financial Results for the
                            Third Quarter of 2009
             (Numbers are in thousands, except shares outstanding,
                     earnings per share and percentages)

                                           Q3 2009
                          Total              CORE                POS
                               % of                % of                % of
                    Amount   Revenues   Amount   Revenues   Amount   Revenues
    Revenues        17,039    100.0%    16,044   100.0%       995     100.0%
      Software &
       Solutions    13,812     81.1%    13,812    86.1%        --        --
      POS              995      5.8%        --      --        995     100.0%
      Platform &
       Maintenance
       Services      2,232     13.1%     2,232    13.9%        --       0.0%
    Cost of
     Revenues        8,328     48.9%     7,779    48.5%       549      55.2%
    Gross Profit     8,711     51.1%     8,265    51.5%       446      44.8%
    Operating
     Expenses        5,939     34.9%     5,156    32.1%       782      78.6%
      R&D              502      2.9%       502     3.1%        --        --
      SG&A           5,437     31.9%     4,655    29.0%       782      78.6%
    Income from
     Operations      2,773     16.3%     3,109    19.4%      -336     -33.8%
    Net Income
     (GAAP)          2,667     15.7%     2,924    18.2%      -257     -25.8%
    Amortization
     of Intangible
     Assets            336      2.0%       336     2.1%        --        --
    Non-GAAP Net
     Income          3,002     17.6%     3,259    20.3%      -257     -25.8%
    Basic GAAP EPS    0.14       --       0.16      --      -0.01        --
    Diluted GAAP
     EPS              0.14       --       0.16      --      -0.01        --
    Basic
     Non-GAAP EPS     0.16       --       0.18      --      -0.01        --
    Diluted
     Non-GAAP EPS     0.16       --       0.18      --      -0.01        --
    Basic Weighted
     Average Common
     Shares Out-
     standing   18,534,978       -- 18,534,978      -- 18,534,978        --
    Diluted
     Weighted
     Average
     Common
     Shares Out-
     standing   18,602,874       -- 18,602,874      -- 18,602,874        --




                                            Q3 2008
                          Total               CORE                POS
                               % of                % of                % of
                    Amount   Revenues   Amount   Revenues   Amount   Revenues
    Revenues        13,661    100.0%    13,034   100.0%       627     100.0%
      Software &
       Solutions     8,858     64.8%     8,858    68.0%        --        --
      POS              627      4.6%        --      --        627     100.0%
      Platform &
       Maintenance
       Services      4,176     30.6%     4,176    32.0%        --        --
    Cost of
     Revenues        5,067     37.1%     4,682    35.9%       385      61.3%
    Gross Profit     8,594     62.9%     8,351    64.1%       243      38.7%
    Operating
     Expenses        5,563     40.7%     4,866    37.3%       697     111.2%
      R&D              642      4.7%       642     4.9%        --        --
      SG&A           4,921     36.0%     4,224    32.4%       697     111.2%
    Income from
     Operations      3,031     22.2%     3,486    26.7%      -455     -72.7%
    Net Income
     (GAAP)          3,708     27.1%     3,943    30.2%      -234     -37.3%
    Amortization
     of Intangible
     Assets            336      2.5%       336     2.6%        --        --
    Non-GAAP Net
     Income          4,045     29.6%     4,279    32.8%      -234     -37.3%
    Basic GAAP EPS    0.21       --       0.22      --      -0.01        --
    Diluted GAAP
     EPS              0.21       --       0.22      --      -0.01        --
    Basic Non-GAAP
     EPS              0.23       --       0.24      --      -0.01        --
    Diluted
     Non-GAAP EPS     0.23       --       0.24      --      -0.01        --
    Basic Weighted
     Average
     Common
     Shares Out-
     standing   17,563,685       -- 17,563,685      -- 17,563,685        --
    Diluted
     Weighted
     Average
     Common
     Shares Out-
     standing   17,743,066       -- 17,743,066      -- 17,743,066        --



                                                   CORE                 POS
                                                   Y-O-Y               Y-O-Y
                                                   Change              Change
    Revenues                                        23.1%              58.6%
      Software & Solutions                          55.9%                --
      POS                                             --               58.6%
      Platform & Maintenance Services              -46.6%                --
    Cost of Revenues                                66.1%              42.6%
    Gross Profit                                    -1.0%              84.0%
    Operating Expenses                               6.0%              12.2%
      R&D                                          -21.8%                --
      SG&A                                          10.2%              12.2%
    Income from Operations                         -10.8%              26.1%
    Net Income (GAAP)                              -25.8%              -9.7%
    Amortization of
    Intangible Assets                                0.0%                --
    Non-GAAP Net Income                            -23.8%               9.7%
    Basic GAAP EPS                                 -29.7%               3.9%
    Diluted GAAP EPS                               -29.3%               4.6%
    Basic Non-GAAP EPS                             -27.8%               3.9%
    Diluted Non-GAAP EPS                           -27.3%               4.6%
    Basic Weighted Average Common Shares
     Outstanding                                     5.5%               5.5%
    Diluted Weighted Average Common
     Shares Outstanding                              4.8%               4.8%

    Note: Due to rounding the table above may have slight discrepancies. The
          United States dollar amounts in the above table are calculated based
          on an exchange rate of USD 1.00 = RMB 6.8183 for September 30, 2008
          and USD 1.00 = RMB 6.8290 for September 30, 2009.

Revenues: Yucheng's revenues are comprised of three distinct categories. Software & Solutions includes all revenues from our internally developed software and software-related solutions. Platform & Maintenance Services is comprised of the procurement and resale of third-party hardware and software, as well as maintenance and support services. POS is comprised of all revenues generated on our point-of-sale terminals.

Yucheng reported consolidated net revenues of USD 17.0M for the third quarter 2009, an increase of 24.7% compared to the third quarter of 2008 and 12.6% from the prior quarter of 2009.

    -- Software & Solutions: In the third quarter, Software & Solutions
       registered USD 13.8M in net revenues, a 55.9% increase compared to the
       third quarter of 2008, and an 18.9% increase compared to the second
       quarter of 2009.  Strong demand for Software & Solutions persisted into
       the third quarter, driven by Yucheng's growing presence in SMBs.
       Software & Solutions accounted for 81.1% of total net revenue.

    -- Platform & Maintenance Services: Net revenues totaled USD 2.2M in the
       third quarter or 13.1% of net revenue. Platform & Maintenance net
       revenues decreased by 46.6% year over year and 11.9% sequentially.  As
       previously forecasted, bank demand for third-party hardware remained
       weak in the third quarter, with year over year comparisons influenced
       by the high base from aggressive Olympic spending in 2008.

    -- POS: POS generated revenues of USD 1.0M in the third quarter, which
       represented 5.8% of net revenue.  Our POS net revenues increased 58.6%
       compared to the third quarter of 2008 and 2.2% compared to the second
       quarter of 2009.  Gross margins in the business were weaker
       sequentially because of higher sales and maintenance costs resulting
       from regulatory changes.

Comparing customer revenues by segment, year to date SMBs grew by 56.9%, while Top Four banks continued to grow on an absolute basis. These trends are in line with management expectations issued on the second quarter call.

Gross Profits: In the third quarter of 2009, Yucheng registered a gross profit of USD 8.7M, an increase of 1.4% year over year and 3.0% sequentially. Calculated on a net revenue basis, gross margins for the third quarter were 51.1%, down from 62.9% in the third quarter of 2008 and 55.9% in the second quarter of 2009. Gross margins were primarily affected by lower license sales in Software & Solutions, the delay of several higher margin Solution contracts to the fourth quarter and a one-time charge in Platform & Maintenance.

Sales, General and Administrative Expenses (SG&A): Consolidated SG&A as a percentage of net revenue was 31.9% in the third quarter, as compared to 36.0% in the third quarter 2008 and 38.4% in the second quarter of 2009.

    -- SG&A as a percentage of net revenue for the Core business was 29.0% as
       compared to 32.4% in the third quarter of 2008 and 35.6% in the second
       quarter of 2009.  The decline is due primarily to strict G&A controls
       implemented in the third quarter.

    -- In the third quarter POS SG&A as percentage of net revenues was 78.6%
       as compared to 111.2% in the third quarter of 2008 and 78.7% in the
       second quarter of 2009.  Revenues outpaced the expenses as the business
       leveraged its established sales network.

Net Income: Yucheng recorded non-GAAP net income of USD 3.0M, a decrease of 25.8% compared to the third quarter of 2008 and an increase of 3.2% compared to the second quarter of 2009. GAAP net income was USD 2.7M for the quarter, a decrease of 28.1% compared to the third quarter of 2008 and an increase of 3.6% compared to the second quarter of 2009. Operating margins for the quarter were 16.3% compared to 22.2% in the third quarter of 2008 and 14.3% in the second quarter of 2009. Operating margins are up sequentially, due to operating expense control initiatives; however, they are down year over year because of lower gross margins.

Earnings per Share: In the third quarter, Yucheng's EPS for fully diluted shares on a consolidated basis were USD 0.16 (non-GAAP) and USD 0.14 (GAAP), compared to USD 0.23 (non-GAAP) and USD 0.21 (GAAP) in the third quarter of 2008. EPS was primarily impacted by the change in our tax situation from receiving tax credits to becoming a net taxpayer. In the third quarter of 2008, a tax benefit contributed approximately USD 0.04 to both GAAP and non- GAAP EPS.

    -- Core: Fully diluted EPS for the third quarter was USD 0.18 (non-GAAP)
       and USD 0.16 (GAAP) compared to USD 0.24 (non-GAAP) and USD 0.22 (GAAP)
       in the third quarter of 2008.

    -- POS: On both a GAAP and non-GAAP basis, the fully diluted EPS impact of
       POS was a loss of USD 0.01 in the current quarter compared to a loss of
       USD 0.01 in the third quarter of 2008.

Cash: Yucheng had USD 21.9M in cash compared to USD 18.8M in the third quarter of 2008 and USD 32.8M in the second quarter of 2009. Cash declined sequentially due to the repayment of USD 7.1M in short-term loans that were taken in the second quarter to cover working capital needs.

Accounts Receivable: Accounts receivable totaled USD 33.1M in the current period compared to USD 37.0M in the third quarter of 2008 and USD 32.4M in the prior quarter. The stability partially resulted from a policy issued in the second quarter that made accounts receivable collection a significant compensation component for sales managers.

Third quarter DSOs totaled 165 days, compared to 154 days in the third quarter of 2008 and 210 days in the second quarter of 2009. DSOs declined sequentially because of higher gross revenues in the quarter.

POS: Yucheng's POS business remained focused on revenues per terminal. Net revenue in the third quarter totaled to USD 1.0M, an increase of 58.6% year over year and 2.2% over the prior quarter.

    -- Terminal Deployment: Our POS installed base grew to 25,600 at the end
       of the third quarter compared to 24,100 at the end of the second
       quarter. The base is projected to grow to 28,000 terminals by year-end
       as we continue to phase out the low performing terminals.

    -- Average Monthly Gross Revenue per POS terminal (AMGRP): The AMGRP
       across the entire installed base was in line with management
       expectations at USD 13.

Taxes: Yucheng paid USD 0.1M in taxes during the third quarter, which was flat sequentially and a reversal from the third quarter 2008's tax benefit of USD 0.7M. For 2009, Yucheng expects to be a net taxpayer at an annualized rate of approximately 4.0%.

                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                           Consolidated Balance Sheets
                       September 30, 2009 and June 30, 2009

                                                2009.9.30          2009.6.30
                                                      USD                USD
    Assets
    Current assets:
    Cash and cash equivalent                   21,893,313         32,797,932
    Trade accounts receivable, net             33,106,616         32,401,146
    Costs and estimated earnings in excess
     of billings on uncompleted contracts      24,311,219         15,385,414
    Amounts due from related companies            623,776            649,596
    Inventories                                 3,058,452          3,243,943
    Pre-contract costs                            665,396          1,507,676
    Other current assets                        7,434,529          8,588,954

    Total current assets                       91,093,301         94,574,661

    Investments in and advances to
     affiliates                                   504,041            630,196
    Fixed assets                               13,710,998         13,277,493
    Less: Accumulated depreciation             -4,447,620         -3,857,632
    Fixed assets, net                           9,263,378          9,419,861
    Intangible assets, net                      4,735,659          5,099,010
    Goodwill                                   27,677,493         27,665,744
    Deferred income taxes - Non-current         3,003,404          2,669,282

    Total assets                              136,277,276        140,058,754



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                     Consolidated Balance Sheets (continued)
                       September 30, 2009 and June 30, 2009

                                                2009.9.30          2009.6.30
                                                      USD                USD
    Liabilities and stockholders' equity
    Current liabilities:
    Short term loan                            11,714,746         18,814,678
    Obligations under capital leases              386,058            414,002
    Trade accounts payables                    11,414,696          9,704,504
    Billings in excess of costs and
     estimated earnings on uncompleted
     contracts                                  2,349,567          1,042,701
    Employee and payroll accruals               1,724,066          1,738,807
    Dividends payable to ex-owners                808,524            808,180
    Deemed distribution to ex-owners            2,047,133          6,584,618
    Outstanding payment in relation to
     business acquisitions                      1,109,698          3,452,847
    Income taxes payable                        2,443,655          1,993,767
    Other current liabilities                   6,865,867          8,261,739
    Deferred income taxes - Current                59,064            130,380

    Total current liabilities                  40,923,074         52,946,223

    Obligations under capital leases              103,054            180,038
    Deferred income taxes                         424,258            387,639

    Total liabilities                          41,450,386         53,513,900


    Stockholders' equity
    Preferred stock, $0.0001 par value,
     authorized 2,000,000 shares and none
     issued; Common stock, $0.0001 par value,
     authorized 60,000,000 shares; 17,580,935
     and 18,560,014 shares issued and
     outstanding as of  June 30, 2009 and
     September 30, 2009                         2,929,858          2,928,515
    Additional paid-in capital                 56,430,463         50,860,802
    Reserves                                    5,410,409          5,408,113
    Retained earnings                          29,004,054         26,326,255
    Accumulated other comprehensive loss         -331,445           -454,088
    Minority interests                          1,383,551          1,475,257

    Total stockholders' equity                 94,826,890         86,544,854

    Liabilities and stockholders' equity      136,277,276        140,058,754



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                        Consolidated Statements of Income
                  Three months ended September 30, 2009 and 2008

                                                  2009 Q3            2008 Q3
                                                      USD                USD
    Revenues:
      Software & Solutions                     13,812,024          8,857,605
      Platform & Maintenance Services (net)     2,231,617          4,175,967
      POS                                         995,226            627,382
      Total revenues (non-GAAP)                17,038,867         13,660,954
      Platform pass-through costs               1,270,073          9,911,538

    Total revenues                             18,308,940         23,572,492

    Cost of revenues:
      Cost of revenues (net)                   -8,327,561         -5,066,951
      Platform pass-through costs              -1,270,073         -9,911,538

    Total cost of revenues                     -9,597,634        -14,978,488

    Gross profit                                8,711,306          8,594,004

    Operating expenses:
      Research and development                   -501,685           -641,577
      Selling and marketing                    -2,171,231         -1,719,204
      General and administrative               -3,265,701         -3,202,349

    Total operating expenses                   -5,938,617         -5,563,129

    Operating income                            2,772,689          3,030,874



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                  Consolidated Statements of Income (continued)
                 Three months ended September 30, 2009 and 2008

                                                  2009 Q3            2008 Q3
                                                      USD                USD
    Other income (expenses):
      Interest income                              12,761             76,192
      Interest expense                           -107,958           -181,947
      Investment gain (loss)                      -19,848                 --
      Other income (expense), net                   1,053             17,792

    Income before income tax and
     minority interests                         2,658,697          2,942,911

      Income tax benefit (expense)                -84,410            705,803
      Minority interests                           92,333             59,542

    Net income (GAAP)                           2,666,620          3,708,256

    Amortization for intangible assets            335,797            336,324

    Net income (non-GAAP)                       3,002,417          4,044,580



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                      Consolidated Statements of Cash Flows
                  Three months ended September 30, 2009 and 2008

                                                  2009 Q3            2008 Q3
                                                      USD                USD

    Cash flows from operating activities:
    Net income                                  2,666,619          3,708,258
    Adjustments to reconcile net income to
     net cash provided by (used in) operating
     activities:

    Depreciation                                  511,395            352,287
    Amortization                                  698,617            580,996
    Loss on disposal fixed assets                   1,530             15,501
    Minority interests                            -92,333            -59,542
    Share of equity in affiliate company          126,423                 --
    Decrease (increase) in trade accounts
     receivable, net                             -922,722          5,109,582
    Decrease (increase) in costs and
     estimated earnings in excess of
     billing on uncompleted contracts          -8,688,261         -4,646,669
    Decrease (increase) in due from
     related parties                               26,096               -548
    Decrease (increase) in inventories            186,868           -826,163
    Decrease (increase) in precontract costs      842,920            313,111
    Decrease (increase) in other current
     assets                                       602,048           -469,453

    Decrease (increase) in deferred income
     taxes assets - Current                            --           -279,592
    Decrease (increase) in deferred income
     taxes assets - Non-current                  -332,988           -159,342
    Increase (decrease) in trade accounts
     payable                                    1,706,071         -3,356,596
    Increase (decrease) in billings in
     excess of costs and estimated earnings
     on uncompleted contracts                   1,306,423           -132,257
    Increase (decrease) in employee and
     payroll accruals                             -15,480           -136,590
    Increase (decrease) in income taxes
     payable                                      449,041           -210,781
    Increase (decrease) in other current
     liabilities                               -1,138,065            734,391
    Increase (decrease) in deferred income
     taxes liabilities                            -34,917            -58,859

    Net cash provided by (used in)
     operating activities                      -2,100,715            477,734



             YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
           Consolidated Statements of Cash Flows (continued)
             Three months ended September 30, 2009 and 2008

                                                  2009 Q3            2008 Q3
                                                      USD                USD

    Cash flows from investing activities:
    Capital expenditures                       -1,108,821         -1,792,135
    Payment of purchase of subsidiaries          -705,183         -3,953,947
    New investment of joint venture                    --           -739,485
    Proceeds from disposal of fixed assets         17,060              6,013
    Proceeds from disposal of
     sharehold of affiliates                      615,237                 --
    Proceeds from disposal of
     subsidiary, net of cash disposed             234,295                 --

    Net cash provided by (used in)
     investing activities                        -947,412         -6,479,554

    Cash flows from financing activities:
    Deemed distribution                          -634,120                 --
    Payment of capital leases                    -114,450            -53,872
    Dividends paid to ex-owners                        --         -1,283,604
    Proceeds from bank borrowings               7,321,716                 --
    Repayments of bank borrowings             -14,429,638                 --

    Net cash provided by financing
     activities                                -7,856,492         -1,337,476

    Net increase in cash and cash
     equivalents                              -10,904,618         -7,339,296

    Cash at beginning of period                32,797,932         26,114,646
    Cash at end of period                      21,893,313         18,775,350

Non-GAAP Disclosure

To supplement the unaudited consolidated financial statements presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Yucheng's management has reported revenues, net income and earning per share on a non-GAAP basis. Each of the terms as used by Yucheng is defined as follows:

Non-GAAP revenue, or revenues recognized on a net basis, is revenue from the resale of third-party hardware and software recognized net of the associated cost of revenue.

Non-GAAP net income represents net income reported in accordance with GAAP, adjusted for amortization of intangible assets resulting from the accounting treatment of the acquisition of Beijing e-Channels Century Technology Co., Ltd.

Non-GAAP earnings per share represents non-GAAP net income divided by the number of shares used in computing basic and diluted earnings per share in accordance with GAAP.

Management of Yucheng believes that these non-GAAP revenue, net income and earnings per share measures are useful for understanding and assessing Yucheng's underlying business performance and operating trends, and expects to report net income on a non-GAAP basis using a consistent method on a quarterly basis going forward. These non-GAAP financial measures also facilitate management's internal comparisons to Yucheng's historical performance and liquidity. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results.

Management of Yucheng notes that these measures may not be calculated on the same basis as similar measures used by other companies. Please find a reconciliation of non-GAAP figures to GAAP figures in the summary of financial information presented above.

Conference Call and Replay Information

Management will conduct a conference call to discuss the financial results for the three-month period ended September 30, 2009 on Thursday, November 5, 2009 at 8:00AM EST/ 9:00PM BJT.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 33065861.

    US                      +1 866 242 1388
    Canada                  +1 888 447 3085
    China Netcom Users      +86 10 800 640 0084
    China Telecom Users     +86 10 800 264 0084
    All Other Participants  +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at

    Contact:

     Rebecca Alexander,
     Investor Relations,
     Tel:   +1 914 613 3648, +86 10 5913 7998
     Email: ralexander@yuchengtech.com

The FinTech 100 ranks the top 100 global application/service providers, which derive more than one third of revenues from the financial services industry and have multiple technologies. Key applications for consideration in the banking sector include, core processing, branch, teller, loan management, credit card, mortgage origination, CRM, online banking, collections, cash management, trade finance, treasury services and funds transfer.

As a total solution provider, Yucheng strives to meet any banking need from front office solutions, such as e-banking, to back office, with risk management. Yucheng currently has the widest portfolio of IT solutions targeted to banks in China.

"Yucheng's exclusive focus on the banking sector in China makes it uniquely able to provide customized solutions that meet banks' rapidly developing requirements," stated Mr. Weidong Hong, CEO of Yucheng Technologies. "This win acknowledges the importance of the Chinese banking market and Yucheng's contribution to developing superior solutions for banks."

The FinTech 100 is an annual international listing of the top technology providers as named by American Banker, Bank Technology News (BTN) and IDC Financial Insights. The FinTech 100 survey has been tracking industry leaders for the last six years.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward- looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For further Information, please contact:

     Rebecca Alexander
     Tel:   +1-914-613-3648 (U.S.)
     Tel:   +86-10-5913-7998 (China)
     Email: ralexander@yuchengtech.com

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 33065861.

    US                     +1 866 242 1388
    Canada                 +1 888 447 3085
    China Netcom Users     +86 10 800 640 0084
    China Telecom Users    +86 10 800 264 0084
    All Other Participants +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at

    For further information, please contact:

     Rebecca Alexander
     Tel:   +1-914-613-3648 (in the U.S.)
            +86-10-5913-7998 (in China)
     Email: ralexander@yuchengtech.com

    ROTH China Conference
    Event:     Corporate presentation and one-on-one meetings
    Time:      October 12-14, 2009
    Location:  Miami Beach, FL
    Speakers:  Rebecca Alexander, Investor Relations Manager

    BNP Paribas Securities Asia 16th Annual China Conference
    Event:     Corporate presentation and one-on-one meetings
    Time:      October 14-16, 2009
    Location:  Changsha, China
    Speakers:  Steve Dai, CFO

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward- looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For Further information, please contact:

     Rebecca Alexander
     Tel:   +1-914-613-3648 (U.S.)
     Tel:   +86-10-5913-7998 (China)
     Email: ralexander@yuchengtech.com

The R&D center will focus on standardizing the software deployment process and modularizing Yucheng's leading software solutions, such as e-banking. Segmenting existing software code into modules will not only ensure consistent quality standards, but also reduce the customization time required to implement each customer's unique requirements.

The Tianjin delivery center is part of Yucheng's strategy to grow operations in tier II cities, which have significantly lower personnel and operating costs. The company's growing customer base in northern China, which is currently served from the Beijing delivery center, in the future will be served from both the newly established Tianjin and existing Beijing delivery centers.

Mr. Weidong Hong, CEO and Chairman of Yucheng Technologies said, "With its proximity to Beijing and lower cost structure, Tianjin is an ideal location for R&D and delivery centers to support our projects in northern China. As part of our growth strategy announced on the second quarter call, we will be shifting more of our engineering headcount to strategically positioned R&D and solution delivery centers. We view Tianjin as the first step in this process."

Yucheng expects to open the Tianjin centers in the first half of 2010. The Tianjin R&D center will act as the northern counterpart to Yucheng's existing southern center in Chengdu.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese financial service providers. Headquartered in Beijing, China, Yucheng services clients from its nationwide network in 23 cities and approximately 2,200 employees. Yucheng provides a comprehensive suite of IT solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking and call centers; (ii) Business Solutions, such as core banking systems and loan management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS Merchant Acquiring Services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; change in products and clients and the expansion into small to medium-sized bank market; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; changing tax rate; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For Further Information, please contact:

    Rebecca Alexander

    Tel:   +1-914-613-3648
           +86-10-5913-7998
    Email: ralexander@yuchengtech.com

Yucheng's e-banking VIP interface provides high net worth clients with the highest level of network security. In addition, new authentication services significantly diminish the risk of digital identity theft and fraudulent account access. The interface's new identification procedures are designed to quell internet security apprehensions, which have been repeatedly cited as the most significant concern for Chinese e-banking users.

The innovative e-banking VIP interface is designed to be a "virtual branch," or a visual depiction of an actual bank. The new interface places commonly used products and services, such as standard fund transfer, wealth management, credit card transaction monitoring, and account management, as icons on the main page in familiar locations. The goal is to create an intuitive interface that increases the comfort and convenience of e-banking for customers.

Yucheng exclusively launched the bank's e-banking platform in 2005, and has since expanded it to include personal, corporate and now VIP interfaces. Each interface is tailored to provide the services and products for a target audience while using core technology to limit reduplication and maintenance costs.

Mr. Weidong Hong, CEO of Yucheng Technologies said, "By deploying state-of-the-art technology and consistently evolving our functionality ahead of market demands, Yucheng has ensured that our e-banking solutions lead the industry. The new e-banking VIP interface represents another milestone in our solution leadership, as we strive to provide the highest quality, easiest to use and most secure solutions to our clients."

E-banking is part of Yucheng's Channel Solutions offerings, which enable banks to better communicate with and serve their customers. Yucheng is the industry leader in e-banking solutions in China serving more than 25 of the top banks.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese financial service providers. Headquartered in Beijing, China, Yucheng services clients from its nationwide network in 23 cities and approximately 2,200 employees. Yucheng provides a comprehensive suite of IT solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking and call centers; (ii) Business Solutions, such as core banking systems and loan management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS Merchant Acquiring Services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; change in products and clients and the expansion into small to medium-sized bank market; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; changing tax rate; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For further information, please contact:

    Rebecca Alexander
    Investor Relations
    Tel:   +1-914-613-3648
           +86-10-5913-7998
    Email: ralexander@yuchengtech.com

    Kaufman Brothers 12th Annual Investor Conference
    Event:     Corporate presentation and one-on-one meetings
    Time:      September 9-10, 2009
    Location:  The W, New York
    Speakers:  Steve Dai, CFO
               Rebecca Alexander, Investor Relations Manager

    SFG Third Annual Beijing Management Summit
    Event:     Corporate presentation and one-on-one meetings
    Time:      September 16-17, 2009
    Location:  Grand Hyatt, Beijing
    Speakers:  Weidong Hong, CEO
               Steve Dai, CFO
               Rebecca Alexander, Investor Relations Manager

About Yucheng Technologies Limited

Yucheng Technologies Limited (Nasdaq: YTEC - News) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,200 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as ''may,'' ''will,'' ''expect,'' ''intend,'' ''estimate,'' ''anticipate,'' ''believe,'' ''project'' or ''continue'' or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For further information, please contact:

     Rebecca Alexander
     Tel:  +1-914-613-3648 or +86-10-5913-7998
     Email: ralexander@yuchengtech.com

"In the second quarter, Yucheng continued to see the initial results of our strategic focus on Software & Solutions for the small to medium-sized bank (SMB) market. Software & Solutions grew by 63.4% in the first half of 2009 to total net revenues of USD 20.7M. SMBs during the first half accounted for 57.6% of total net revenue compared to 40.5% over the same period last year. This growth further validates our investment and efforts to develop the long-term value of our SMB customer base," said Mr. Hong Weidong, CEO of Yucheng Technologies.

    Second Quarter 2009 Financial Highlights
    -- Fully diluted non-GAAP EPS was USD 0.16, as compared to USD 0.15 in the
       second quarter of 2008.
    -- Software & Solutions net revenue totaled USD 11.6M, a 42.0% increase
       year-over-year.
    -- Total net revenue grew 41.9% year-over-year to USD 15.1M.
    -- Yucheng had USD 32.8M in cash, compared to USD 26.0M in the second
       quarter of 2008.
    -- POS reached cash flow breakeven in May 2009.

Business Outlook

Yucheng's experienced strong growth in the Software & Solutions business during both the first and second quarters of 2009, which has been spread fairly evenly across Channel Solutions, Business Solutions and Management Solutions. Key growth drivers continue to be Yucheng's leading e-banking, call center, loan management and business intelligence solutions. As Chinese banks transition to a more customer-centric business model, e-banking and call centers are particularly important to retain and develop clients. Loan management solutions enable banks to improve merit-based decision-making practices and better correlate borrower profiles with payment capabilities in order to capitalize on interest rate spreads while maintaining strong balance sheets. To further analyze performance, operational data and resource allocation, many banks are turning to business intelligence solutions as a key IT investment. To meet the growing demand for solutions, Yucheng's implementation and software development staff grew by approximately 150 engineers in the first half of the year and our solutions staff growth is forecasted to expand at a similar rate for the remainder of the year, all while holding the back office staff steady.

In terms of client composition, while our revenue from the Top Four banks is forecasted to grow in absolute terms year over year, SMBs will be the main revenue growth driver. Yucheng expects that SMBs will comprise the majority of growth in the banking industry outsourced IT spending for the next several years, as they improve their strategic positions and seek domestic stock market listings. Having foreseen this trend, Yucheng has expanded its IT capabilities and strategically positioned itself as the total solutions provider for SMBs in China.

"Since joining Yucheng, I have worked extensively with the management team to analyze the underlying assumptions used to determine the annual guidance, completed a thorough pipeline analysis for the second half of the year and evaluated the strategic direction of every business unit. It is clear that Software & Solutions demand will be stronger than our initial estimates; however, it will not fully compensate for lower than forecasted Platform & Maintenance Services income, slower POS terminal growth and the increase in Yucheng's effective tax rate. As our expectations for the year have changed materially, I am updating our non-GAAP net income target to USD 14.9M, which would translate into non-GAAP EPS of USD 0.80 and reiterating our original non-GAAP revenues of USD 69M to USD 72M," said Mr. Steve Dai, CFO of Yucheng.

Second Quarter Financial Results

The table below is provided to give greater insight into our POS business, beyond what is available in our consolidated financial statements. The revenue and cost of revenue numbers on the following page are provided on a net presentation basis.

Summary of Selected Unaudited Financial Results for the Second Quarter of 2009

  (Numbers are thousands, except shares outstanding, earnings per share and
                                 percentages)

                                               Q2 2009

                           Total              CORE              POS
                           Amount   % of     Amount  % of      Amount   % of
                                  Revenues         Revenues           Revenues
    Revenues               15,128  100.0%    14,153 100.0%        974   100.0%
      Software &
       Solutions           11,620   76.8%    11,620  82.1%         --      --
      POS                     974    6.4%        --    --         974   100.0%
      Platform &
       Maintenance
       Services             2,534   16.7%     2,534  17.9%         --      --
    Cost of Revenues        6,672   44.1%     6,205  43.8%        468    48.0%
    Gross Profit            8,455   55.9%     7,949  56.2%        507    52.0%
    Operating Expenses      6,289   41.6%     5,522  39.0%        767    78.7%
    R&D                       487    3.2%       487   3.4%         --      --
    SG&A                    5,802   38.4%     5,035  35.6%        767    78.7%
    Income from
     Operations             2,167   14.3%     2,427  17.1%       -260   -26.7%
    Net Income (GAAP)       2,574   17.0%     2,774  19.6%       -201   -20.6%
    Amortization of
     Intangible Assets        336    2.2%       336   2.4%         --      --
    Non-GAAP Net Income     2,910   19.2%     3,110  22.0%       -201   -20.6%
    Basic GAAP EPS           0.15     --       0.16    --       -0.01      --
    Diluted GAAP EPS         0.14     --       0.15    --       -0.01      --
    Basic Non-GAAP EPS       0.17     --       0.18    --       -0.01      --
    Diluted Non-GAAP EPS     0.16     --       0.17    --       -0.01      --
    Basic Weighted
     Average
     Common Shares
     Outstanding       17,577,647     -- 17,577,647    --  17,577,647      --
    Diluted Weighted
     Average
     Common Shares
     Outstanding       18,589,166     -- 18,589,166    --  18,589,166      --



                                                Q2 2008

                         Total               CORE               POS
                         Amount   % of      Amount    % of     Amount   % of
                                Revenues            Revenues          Revenues
    Revenues             10,658  100.0%     10,258   100.0%       400   100.0%
      Software &
       Solutions          8,182   76.8%      8,182    79.8%        --      --
      POS                   400    3.8%         --      --        400   100.0%
      Platform &
       Maintenance
       Services           2,076   19.5%      2,076    20.2%        --      --
    Cost of
     Revenues             3,343   31.4%      3,099    30.2%       244    60.9%
    Gross Profit          7,315   68.6%      7,159    69.8%       156    39.1%
    Operating
     Expenses             5,399   50.7%      4,632    45.2%       767   191.8%
    R&D                     438    4.1%        438     4.3%        --     0.0%
    SG&A                  4,961   46.5%      4,194    40.9%       767   191.8%
    Income from           1,916   18.0%      2,527    24.6%      -611  -152.7%
    Operations
    Net Income (GAAP)     2,359   22.1%      2,765    27.0%      -406  -101.5%
    Amortization of
     Intangible
     Assets                 334    3.1%        334     3.3%        --      --
    Non-GAAP Net
     Income               2,693   25.3%      3,099    30.2%      -406  -101.5%
    Basic GAAP EPS         0.13     --        0.16      --      -0.02      --
    Diluted GAAP EPS       0.13     --        0.16      --      -0.02      --
    Basic Non-GAAP EPS     0.15     --        0.18      --      -0.02      --
    Diluted
     Non-GAAP EPS          0.15     --        0.17      --      -0.02      --
    Basic Weighted
     Average Common
     Shares
     Outstanding     17,563,685     --  17,563,685      -- 17,563,685      --
    Diluted
     Weighted
     Average Common
     Shares
     Outstanding     17,792,010     --  17,792,010      -- 17,792,010      --



                                                       CORE           POS
                                                      Y-O-Y          Y-O-Y
                                                      Change         Change
    Revenues                                           38.0%         143.5%
      Software & Solutions                             42.0%           0.0%
      POS                                               0.0%         143.5%
      Platform & Maintenance Services                  22.1%           0.0%
    Cost of Revenues                                  100.2%          91.9%
    Gross Profit                                       11.0%         224.0%
    Operating Expenses                                 19.2%           0.0%
    R&D                                                11.0%           0.0%
    SG&A                                               20.1%           0.0%
    Income from Operations                             -4.0%          57.4%
    Net Income (GAAP)                                   0.3%          50.6%
    Amortization of Intangible                          0.4%           0.0%
    Assets
    Non-GAAP Net Income                                 0.3%          50.6%
    Basic GAAP EPS                                      0.3%          50.7%
    Diluted GAAP EPS                                   -4.0%          52.7%
    Basic Non-GAAP EPS                                  0.3%          50.7%
    Diluted Non-GAAP EPS                               -4.0%          52.7%
    Basic Weighted Average Common Shares Outstanding    0.1%           0.1%
    Diluted Weighted Average Common Shares Outstanding  4.5%           4.5%

    Note: Due to rounding, the table above may have slight discrepancies. The
          United States dollar amounts in the above table are calculated based
          on an exchange rate of USD 1.00 = RMB 6.8591 for June 30, 2008 and
          USD 1.00 = RMB 6.8319 for June 30, 2009.

Revenues: Yucheng's revenues are comprised of three distinct categories. Software & Solutions includes all revenues created via software and software-related solutions. Platform & Maintenance Services is comprised of the procurement and resale of third-party hardware and software, as well as maintenance and support services. Finally, revenues generated via the POS business are listed under a separate category.

Yucheng reported consolidated net revenues of USD 15.1M for the second quarter 2009, an increase of 41.9% compared to the second quarter of 2008 and 32.1% from the previous quarter.

    -- Software & Solutions: In the second quarter, Software & Solutions
       registered USD 11.6M in net revenues, a 42.0% increase compared to the
       second quarter of 2008, and a 27.5% increase compared to the first
       quarter of 2009.  Strong growth in our Software & Solutions business is
       due to consistent wins across our solution lines and is expected to
       continue through the second half of 2009.  Software & Solutions
       accounted for 76.8% of total net revenue.

    -- Platform & Maintenance Services: Net revenues totaled USD 2.5M in the
       second quarter or 16.7% of net revenue. Platform & Maintenance Services
       net revenues increased by 22.1% year over year and 72.0% sequentially.
       Platform & Maintenance Services continued to grow on a net revenue
       basis this quarter; however, the Company intends to focus on its core
       competencies in Software & Solutions.

    -- POS: POS generated revenues of USD 1.0M in the second quarter,
       representing 6.4% of net revenue.  Our POS net revenues increased
       143.5% compared to the second quarter of 2008 and 13.2% compared to the
       first quarter of 2009.

Gross Profits: In the second quarter of 2009, Yucheng registered a gross profit of USD 8.5M, an increase of 15.6% compared to the second quarter of 2008 and an increase of 37.5% compared to the first quarter of 2009. Calculated on a net revenue basis gross margins for the second quarter were 55.9%, down from 68.6% in the second quarter of 2008 and up from 53.7% in the first quarter of 2009. The year over year decline in gross margins is mainly attributable to a decline in the underlying Platform & Maintenance Services gross margin and lower licensing fees.

Sales, General and Administrative Expenses (SG&A): Consolidated SG&A as a percentage of net revenue was 38.4% in the second quarter, as compared to 46.5% in the second quarter 2008 and 43.8% in the first quarter of 2009.

    -- SG&A as a percentage of net revenue for the Core business was 35.6% as
       compared to 40.9% in the second quarter of 2008 and 39.8% in the first
       quarter of 2009, which reflected the management's commitment to
       maintain a stable-to-a reduced SG&A-to-net revenue ratio in 2009.  In a
       year over year comparison, the main cost drivers were increases in
       salaries, benefits and leases.

    -- POS SG&A declined year over year in absolute and percentage terms.  In
       the second quarter POS SG&A as percentage of net revenues was 78.7% as
       compared to 191.8% in the second quarter of 2008 and 92.3% in the first
       quarter of 2009.  The decline is attributable to the stabilization of
       costs while revenues increased.  As a ratio to revenue, we expect that
       POS SG&A will continue to decline throughout 2009.

Net Income: Yucheng recorded non-GAAP net income of USD 2.9M, an increase of 8.0% compared to the second quarter of 2008 and 132.6% compared to the first quarter of 2009. GAAP net income was USD 2.6M for the quarter, an increase of 9.1% compared to the second quarter of 2008 and 181.2% compared to the first quarter of 2009. Operating margins for the quarter were 14.3% compared to 18.0% in the second quarter of 2008 and 5.4% in the first quarter of 2009. The year over year decline in operating margins is attributable mainly to declining gross margins in Platform & Maintenance Services, while the quarter over quarter gains are attributable to revenue growth outpacing costs.

Earnings per Share: In the second quarter, Yucheng's EPS for fully diluted shares on a consolidated basis were USD 0.16 (non-GAAP) and USD 0.14 (GAAP), compared to USD 0.15 (non-GAAP) and USD 0.13 (GAAP) in the second quarter of 2008. These figures include a USD 0.03 gain from the disposal of our Elegon business in the second quarter of 2009 and the USD 0.02 gain from the disposal of a manufacturing subsidiary in 2008. Without these one time gains, EPS would be flat year over year.

    -- Core: Fully diluted EPS for the second quarter grew to USD 0.17 (non-
       GAAP) and USD 0.15 (GAAP) compared to USD 0.17 (non-GAAP) and USD 0.16
       (GAAP) in the second quarter of 2008.

    -- POS: On both a GAAP and non-GAAP basis, the fully diluted EPS impact of
       POS was a loss of USD 0.01 in the current quarter compared to a loss of
       USD 0.02 in the second quarter of 2008.

Cash: Yucheng had USD 32.8M in cash compared to USD 26.0M in the second quarter of 2008 and USD 22.0M in the first quarter of 2009. The main contributors to the increase are positive cash from operations of USD 3.7M and an increase in short-term bank loans of USD 10.0M to cover working capital needs.

Accounts Receivable: In the second quarter, accounts receivable totaled USD 32.4M compared to USD 41.8M in the second quarter of 2008 and USD 38.3M in the first quarter of 2009. In the second quarter, the accounts receivable collection became a compensation criteria for sales managers, which improved the timeliness of collections. Second quarter DSOs totaled 210 days, compared to 131 days in the second quarter of 2008(1) and 251 days in the first quarter of 2009. DSOs are elevated primarily due to the lower gross revenue figures in the denominator.

    (1) Previously, the DSOs for the second quarter of 2008 had been disclosed
        as 144 days.  The 13 day difference is due to the inclusion of amounts
        due categorized under agency services.

POS: Yucheng's POS business achieved cash flow breakeven in May 2009, ahead of management expectations, due to a concerted effort to increase the ROI per terminal. Net revenue in the second quarter totaled to USD 1.0M, an increase of 143.5% year over year and 13.2% quarter over quarter.

    -- Terminal Deployment: Our POS installed base grew to 24,100 at the end
       of the second quarter compared to 21,600 at the end of the first
       quarter. The base is projected to grow to 28,000 terminals by year-end
       as we continue to phase out the low performing terminals.

    -- Average Monthly Gross Revenue per POS terminal (AMGRP): The AMGRP is
       expected to show steady improvement as the merchant base quality and
       average terminal deployment life increases.  Our AMGRP across the
       entire installed base grew to approximately USD 14, a 16% increase over
       the USD 12, which we had recorded in each of the four previous quarters;
       however, the second quarter spiked due mainly to a one time revenue
       increase at certain merchants.  A more normalized average for 2009 is
       approximately USD 13.

Taxes: In the second quarter of 2009, Yucheng paid taxes of USD 0.1M as compared to receiving tax benefits of USD 0.2M in the second quarter of 2008 and USD 0.3M in the first quarter 2009. The change in Yucheng's tax situation is due to a decline in tax credits derived from losses in our POS business and developments in our main operating entity's tax status. As a high technology company, we are entitled to certain tax advantages including a 7.5% income tax rate for the next three years and a preferential 15% tax rate thereafter. With the inclusion of additional incentives and tax rebates, Yucheng is expected to pay taxes at an annualized rate of approximately 4.0% for fiscal year 2009 compared to a negative 13.9% for fiscal year 2008.

                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                           Consolidated Balance Sheets
                        June 30, 2009 and March 31, 2009

                                                  2009.6.30        2009.3.31
                                                      USD              USD
    Assets
    Current assets:
    Cash and cash equivalent                        32,797,932    22,020,835
    Trade accounts receivable, net                  32,401,146    38,306,442
    Costs and estimated earnings in excess
     of billings on uncompleted
     contracts                                      15,385,414    12,050,772
    Amounts due from related companies                 649,596        87,619
    Inventories                                      3,243,943        95,478
    Pre-contract costs                               1,507,676     1,725,962
    Other current assets                             8,588,954     5,722,467

    Total current assets                            94,574,661    80,009,575

    Investments in and advances to
     affiliates                                        630,196       427,462
    Fixed assets                                    13,277,493    11,996,981
    Less: Accumulated depreciation                  (3,857,632)   (3,325,093)
    Fixed assets, net                                9,419,861     8,671,888
    Intangible assets, net                           5,099,010     5,000,043
    Goodwill                                        27,665,744    27,630,150
    Deferred income taxes - Non-current              2,669,282     2,309,514

    Total assets                                   140,058,754   124,048,632

    Liabilities and stockholders' equity
    Current liabilities:
    Short term loan                                 18,814,678     8,777,191
    Obligations under capital leases                   414,002       414,146
    Trade accounts payables                          9,704,504     8,867,908
    Billings in excess of costs and estimated
     earnings on uncompleted contracts               1,042,701       998,637
    Employee and payroll accruals                    1,738,807     1,824,425
    Dividends payable to ex-owners                     808,180       807,708
    Deemed distribution to ex-owners                 6,584,618     6,584,618
    Outstanding payment in relation to business
     acquisitions                                    3,452,847     3,277,804
    Income taxes payable                             1,993,767     1,617,376
    Other current liabilities                        8,261,736     5,995,281
    Deferred income taxes - Current                    130,380       142,223

    Total current liabilities                       52,946,223    39,307,317

    Obligations under capital leases                   180,038       283,142
    Deferred income taxes                              387,639       418,184

    Total liabilities                               53,513,897    40,008,643


    Stockholders' equity
    Preferred stock, $0.0001 par value,
     authorized 2,000,000 shares and none
     issued; Common stock, $0.0001 par value,
     authorized 60,000,000 shares;
     17,575,685 and 17,580,935 shares issued and
     outstanding as of  March 31,
     2009 and June 30, 2009                          2,928,515     2,926,801
    Additional paid-in capital                      50,860,802    50,798,645
    Reserves                                         5,408,113     5,560,182
    Retained earnings                               26,326,255    23,738,459
    Accumulated other comprehensive loss              (454,088)     (532,528)
    Minority interests                               1,475,257     1,548,430

    Total stockholders' equity                      86,544,854    84,039,989

    Liabilities and stockholders' equity           140,058,754   124,048,632



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                        Consolidated Statements of Income
                Three months ended June 30, 2009 and June 30, 2008

                                             2009 Q2                2008 Q2
                                                USD                    USD
    Revenues:
     Software & Solutions                  11,619,684              8,182,407
     Platform & Maintenance
     Services (net)                         2,533,765              2,075,562
     POS                                      974,262                400,070
     Total revenues (non-GAAP)             15,127,711             10,658,040
     Platform pass-through costs               43,221             14,336,110

    Total revenues                         15,170,932             24,994,150

    Cost of revenues:
     Cost of revenues (net)                (6,672,408)            (3,342,989)
     Platform pass-through costs              (43,221)           (14,336,110)

    Total cost of revenues                 (6,715,629)           (17,679,099)

    Gross profit                            8,455,304              7,315,051

    Operating expenses:
     Research and development                (486,571)              (438,339)
     Selling and marketing                 (1,775,175)            (1,856,043)
     General and administrative            (4,027,008)            (3,104,850)

    Total operating expenses               (6,288,754)            (5,399,232)

    Operating income                        2,166,549              1,915,819

    Other income (expenses):
     Interest income                           12,585                 40,103
     Interest expense                        (135,451)              (118,892)
     Investment gain (loss)                   564,852                352,189
     Other income (expense), net              (11,649)              (153,271)

    Income before income tax and minority
     interests                              2,596,886              2,035,947

     Income tax benefit (expense)             (97,068)               173,304
     Minority interests                        74,080                149,653

    Net income (GAAP)                       2,573,898              2,358,905

    Amortization for intangible assets        335,654                334,323

    Net income (non-GAAP)                   2,909,552              2,693,227



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                      Consolidated Statements of Cash Flows
                Three months ended June 30, 2009 and June 30, 2008

                                                      2009 Q2        2008 Q2
                                                        USD            USD

    Cash flows from operating activities:
    Net income                                      2,573,898      2,358,905
    Adjustments to reconcile net income to net
     cash provided by (used in)
     operating activities:

    Depreciation                                      451,050        195,209
    Amortization                                      525,583        565,005
    Loss on disposal fixed assets                      10,247         31,538
    Loss (gain) on disposal of affiliates            (410,572)      (352,189)
    Minority interests                                (74,080)      (149,653)
    Share of equity in affiliate company              (78,075)            --
    Shares issued to independent directors             32,415             --
    Decrease (increase) in trade accounts
     receivable, net                                5,927,723    (10,313,814)
    Decrease (increase) in costs and estimated
     earnings in excess of billing on
     uncompleted contracts                         (3,327,586)      (197,595)
    Decrease (increase) in due from related
     parties                                         (561,926)     5,150,350
    Decrease (increase) in inventories             (3,148,409)    (2,161,636)
    Decrease (increase) in pre-contract costs         219,296     (1,221,703)
    Decrease (increase) in other current
     assets                                        (2,218,787)     1,802,475
    Decrease (increase) in deferred income
     taxes assets - Current                                --       (349,292)
    Decrease (increase) in deferred income
     taxes assets - Non-current                      (358,416)      (109,589)
    Increase (decrease) in trade accounts
     payable                                          831,404      8,646,935
    Increase (decrease) in billings in excess
     of costs and estimated earnings on
     uncompleted contracts                             43,480        398,433
    Increase (decrease) in employee and
     payroll accruals                                 (86,686)      (265,236)
    Increase (decrease) in income taxes
     payable                                          375,444         71,187
    Increase (decrease) in other current
     liabilities                                    3,003,748        254,813
    Increase (decrease) in deferred income
     taxes liabilities                                (42,715)       129,596

    Net cash provided by (used in) operating
     activities                                     3,687,036      4,483,739

    Cash flows from investing activities:
    Capital expenditures                           (1,901,342)      (297,336)
    Investments in subsidiaries and
     affiliates                                      (943,676)      (174,950)
    Proceeds from disposal of fixed assets             11,478         22,744
    Proceeds from disposal of sharehold of
     affiliates                                            --        680,980

    Net cash provided by (used in)
     investing activities                          (2,833,540)       231,437

    Cash flows from financing activities:
    Payment of capital leases                        (108,748)       (35,167)
    Contributions from minority interests                  --        650,231
    Proceeds from bank borrowings                  10,032,348      5,831,669

    Net cash provided by financing
     activities                                     9,923,600      6,446,733

    Net increase in cash and cash
     equivalents                                   10,777,097     11,161,909

    Cash at beginning of period                    22,020,835     14,797,400
    Cash at end of period                          32,797,932     25,959,309

Non-GAAP Disclosure

To supplement the unaudited consolidated financial statements presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Yucheng's management has reported revenues, net income and earning per share on a non-GAAP basis. Each of the terms as used by Yucheng is defined as follows:

Non-GAAP revenue, or revenues recognized on a net basis, is revenue from the resale of third-party hardware and software recognized net of the associated cost of revenue.

Non-GAAP net income represents net income reported in accordance with GAAP, adjusted for amortization of intangible assets resulting from the accounting treatment of the acquisition of Beijing e-Channels Century Technology Co., Ltd.

Non-GAAP earnings per share represents non-GAAP net income divided by the number of shares used in computing basic and diluted earnings per share in accordance with GAAP.

Management of Yucheng believes that these non-GAAP revenue, net income and earnings per share measures are useful for understanding and assessing Yucheng's underlying business performance and operating trends, and expects to report net income on a non-GAAP basis using a consistent method on a quarterly basis going forward. These non-GAAP financial measures also facilitate management's internal comparisons to Yucheng's historical performance and liquidity. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results.

Management of Yucheng notes that these measures may not be calculated on the same basis as similar measures used by other companies. Please find a reconciliation of non-GAAP figures to GAAP figures in the summary of financial information presented above.

Conference Call and Replay Information

Management will conduct a conference call to discuss the financial results for the three-month period ended June 30, 2009 on Wednesday, August 12, 2009 at 8:00AM EDT/ 8:00PM BJT.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 20568967.

    US                      +1 866 242 1388
    Canada                  +1 888 447 3085
    China Netcom Users      +86 10 800 640 0084
    China Telecom Users     +86 10 800 264 0084
    All Other Participants  +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at

    For Further Information

     Rebecca Alexander
     Investor Relations
     Tel:   +1-914-613-3648
            +86-10-5913-7998
     Email: ralexander@yuchengtech.com

Yucheng is a total solutions provider to the banking industry in China and is recognized as the leader in call center solutions for banks. The call center market for banks in China is expected to grow from RMB 320 million in 2009 to RMB 590 million in 2012. As a formidable IT player in the Chinese banking industry, Yucheng has a strong track record of call center development. "Yucheng has already deployed call center solutions for three of the top five banks in China and had a 14.6 percent market share as of 2008,” according to consulting firm IDC.*

Convergys’ EVIP technology, with its innovative text-to-speech capability, strong administrative functions, convenient monitoring tools, one-on-one marketing channel, and dynamic menu functions, helps financial services companies go beyond connectivity, to provide a higher level of customer support and to streamline operations while maximizing cost efficiency.

Convergys Dynamic Decisioning Solution provides specialized intelligence to automatically evaluate customer events against company policies in order to execute appropriate actions in real-time. This knowledge can enable companies to significantly increase customer retention rates, grow revenue, and decrease costs.

“Our partnership with Convergys adds a compelling new dimension to our existing portfolio of IT solutions,” said Hong Weidong, CEO of Yucheng. “As our clients focus on modernizing operations and enhancing customer loyalty, we look forward to expanding our cooperation with Convergys to ensure that we are providing best of breed solutions to banks in China.”

“China’s market presents a great opportunity for us to showcase our technology solutions and services,” said Mike Betzer, president of Relationship Technology Management at Convergys. “When it came to penetrating the Chinese banking sector, we recognized the benefit of partnering with Yucheng, a local leader, because its market relationships could help Convergys’ advanced technology be the key differentiator in a highly competitive industry.”

Convergys helps clients uncover the true behavior of customers across self-service and live agent channels, balancing this with business objectives to help define and implement changes to business processes. Beyond its analytics consulting and contact center optimization expertise, Convergys supports speech application design, development, deployment, and on-going management and tuning. Convergys helps clients improve the efficiency and quality of service, reduce technology risk, and enhance the customer experience.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese financial service providers. Headquartered in Beijing, China, Yucheng services clients from its nationwide network in 23 cities and approximately 2,000 employees. Yucheng provides a comprehensive suite of IT solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking and call centers; (ii) Business Solutions, such as core banking systems and loan management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS Merchant Acquiring Services in partnership with banks in China.

About Convergys

Convergys Corporation (NYSE: CVG - News) is a global leader in relationship management. We provide solutions that drive more value from the relationships our clients have with their customers and employees. Convergys turns these everyday interactions into a source of profit and strategic advantage for our clients.

For more than 30 years, our unique combination of domain expertise, operational excellence, and innovative technologies has delivered process improvement and actionable business insight to clients that now span more than 70 countries and 35 languages.

Convergys is a member of the S&P 500 and has been voted a Fortune Most Admired Company for nine consecutive years. We have approximately 75,000 employees in 86 customer contact centers and other facilities in the United States, Canada, Latin America, Europe, the Middle East, and Asia, and our global headquarters in Cincinnati, Ohio. For more information, visit www.convergys.c...

(Convergys, Intervoice, and the Convergys logo are registered trademarks of Convergys Corporation.)

(*China Banking Industry IT Solution 2009-2013 Forecast and Analysis", #C383112S, July 2009)

To receive Convergys news releases by email, click HERE

Convergys Corporation
Business and Financial Media - John Pratt
+1 513 723 3333 or john.pratt@conv...
or
Trade Media - Jeff Hazel
+1 513 723 7153 or jeff.hazel@conv...
or
Yucheng
Investor Relations - Rebecca Alexander
+1 914 613 3648 or ralexander@yuchengtech.com

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 20568967.

    US                       +1 866 242 1388
    Canada                   +1 888 447 3085
    China Netcom Users       +86 10 800 640 0084
    China Telecom Users      +86 10 800 264 0084
    All Other Participants   +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at

BEIJING, May 12 /PRNewswire-Asia-FirstCall/ -- Yucheng Technologies Limited (Nasdaq: YTEC - News), a leading provider of IT Solutions to the financial services industry in China, today announced unaudited financial results for the three-month period ended March 31, 2009.

    First Quarter 2009 Financial Highlights
    -- Software & Solutions net revenue totaled USD 9.1M, a 106.7% increase
       year-over-year.
    -- Total net revenue grew 42.1% year-over-year to USD 11.4M.
    -- Fully diluted non-GAAP EPS was USD 0.07, as compared to USD 0.09 in the
       first quarter of 2008.
    -- Yucheng had USD 22.0M in cash, compared to USD 14.5M in the first
       quarter of 2008.

First quarter performance met with Management's expectations. During the quarter, Yucheng deployed or began preparations for several core banking solutions for small to medium-sized banks (SMBs), including Shanxi Rural Credit Union. These solutions are the key platform that run the banks' operations and help increase efficiency. Yucheng also began deployment of a credit management information system for Fujian Rural Credit Union, which will integrate inter-branch data and systematize the decision-making process. Previously, the Company has developed similar management information systems for China Citic Bank and Dongguan Bank. During the quarter, Yucheng also announced four customized e-banking solutions, including a Phase II project for Bank of East Asia, and added another banking client to the E-Banking ASP platform. As a total solutions provider, Yucheng is well positioned to expand these existing relationships into cross selling opportunities for our broad range of products.

Business Outlook

Yucheng's key initiative in 2009 is to continue to increase the percentage of revenues from the sale and deployment of Software & Solutions. We have focused our sales and marketing efforts on generating higher demand for key solutions, such as Loan Management, Business Intelligence, and e-Banking, where Yucheng is a market leader. Loan management is critical in the current environment because it supports merit based decision-making and correlates borrower profiles with loan payment capabilities. With the dramatic increase in loans this year and upcoming regulatory changes, business intelligence solutions are increasingly needed to support banks through the aggregation and interpretation of bank-wide data. Many banks are seeking e-banking solutions to lock-in customers through unique features, while lowering the overall cost of customer service. The demand for these key solutions is particularly strong in the previously underserved SMB market, which has been a focus for Yucheng in the past year and allowed the Company to capitalize on both its experiences with large banks and range of existing technologies.

Mr. Weidong Hong, CEO of Yucheng, stated, "We believe that our customers are continuing to grow and demand is increasing for IT services, so I would like to reiterate our 2009 guidance of USD 0.86 to USD 0.90 EPS, USD 16.0M to USD 16.7M net income and USD 69M to USD 72M non-GAAP revenues (USD 117M to USD122M GAAP revenues)."

The Company also announced that Mr. Remington Hu plans to resign as CFO and become a Senior Advisor on June 1, 2009. At that time, Yucheng will appoint Mr. Steve Dai as CFO. Mr. Dai was previously CFO of Beyondsoft (www.beyondsoft.com), a leading China-based IT outsourcing company, which provides IT consulting, Application Development and Maintenance (ADM), ERP and BPO services to the clients across the globe. During his tenure at Beyondsoft, Mr. Dai was responsible for corporate strategy, finance and accounting, investment, financing and legal affairs, and successfully completed three acquisitions. Prior to Beyondsoft, Mr. Dai was CFO of Airport City Logistics Park Co in Beijing. He also has served as Associate Director of UBS' Investment Banking Department in New York, VP of SSIF, a US-based private equity fund, and VP of Beijing Great Ocean Investment Group. He has extensive IT expertise, having worked in various management positions for Tivoli System and Zephyr Development Corporation. Mr. Dai holds a B.S. from University of Science and Technology of China, an M.S. from the University of Miami and an M.B.A. from the Wharton School of Business.

Mr. Hong said "I would like to thank Mr. Hu for his past contributions to Yucheng, especially in the areas of internal controls and cash management. We are pleased that he will be staying on as a Senior Advisor to ensure a smooth transition with Mr. Dai and assist with future strategic initiatives. I would also like to extend a warm welcome to Mr. Dai, who brings with him a wealth of industry experience and in-depth knowledge of our markets. I look forward to working with him to drive our strategic initiatives, as well as improve the efficiency of our day-to-day operations."

First Quarter Financial Results

The table below allows greater insight into our POS business, beyond what is available in our consolidated financial statements. The revenue and cost of revenue numbers below are provided on a net presentation basis.

Summary of Selected Unaudited Financial Results for the First Quarter of 2009

(Numbers are in USD thousands, except shares outstanding, earnings per share

                               and percentages)

                                     Q1 2009

                                 CORE        % of          POS        % of
                                Amount     Revenues       Amount     Revenues
    Non-GAAP Revenues           10,587      100.0%           860      100.0%
    Software & Solutions         9,114       86.1%            --         --
    POS                             --         --            860      100.0%
    Platform & Maintenance
    Services                     1,473       13.9%            --         --
    Cost of Revenues             4,811       45.4%           489       56.8%
    Gross Profit                 5,777       54.6%           371       43.2%
    Operating Expenses           4,732       44.7%           795       92.3%
    R&D                            517        4.9%            --         --
    SG&A                         4,214       39.8%           795       92.3%
    Income from Operations       1,045        9.9%          -423      -49.2%
    Net Income (GAAP)            1,161       11.0%          -246      -28.6%
    Amortization of
     Intangible Assets             335        3.2%            --         --
    Non-GAAP Net Income          1,497       14.1%          -246      -28.6%
    Basic GAAP EPS                0.07         --          -0.01         --
    Diluted GAAP EPS              0.06         --          -0.01         --
    Basic Non-GAAP EPS            0.09         --          -0.01         --
    Diluted Non-GAAP EPS          0.08         --          -0.01         --
    Basic Weighted Average
     Common Shares
     Outstanding            17,566,898         --     17,566,898         --
    Diluted Weighted
     Average Common Shares
     Outstanding            18,691,852         --     18,691,852         --


                                      Q1 2008

                                 CORE        % of          POS        % of
                                Amount     Revenues       Amount     Revenues
    Non-GAAP Revenues           7,736      100.0%           318      100.0%
    Software & Solutions        4,410       57.0%            --         --
    POS                            --         --            318      100.0%
    Platform & Maintenance
     Services                   3,326       43.0%            --         --
    Cost of Revenues            2,751       35.6%           230       72.4%
    Gross Profit                4,985       64.4%            88       27.6%
    Operating Expenses          3,326       43.0%           699      219.7%
    R&D                           306        4.0%            --         --
    SG&A                        3,020       39.0%           699      219.7%
    Income from Operations      1,659       21.4%          -611     -192.1%
    Net Income (GAAP)           1,726       22.3%          -367     -115.2%
    Amortization of
     Intangible Assets            327        4.2%            --         --
    Non-GAAP Net Income         2,053       26.5%          -367     -115.2%
    Basic GAAP EPS               0.10         --          -0.02         --
    Diluted GAAP EPS             0.10         --          -0.02         --
    Basic Non-GAAP EPS           0.12         --          -0.02         --
    Diluted Non-GAAP EPS         0.12         --          -0.02         --
    Basic Weighted Average
     Common Shares
     Outstanding           16,610,853         --      16,610,853        --
    Diluted Weighted
     Average Common Shares
     Outstanding           17,807,059         --      17,807,059        --


                                           CORE                 POS
                                        Y-O-Y Change        Y-O-Y Change
    Non-GAAP Revenues                      36.9%               170.4%
    Software & Solutions                  106.7%                  --
    POS                                      --                170.4%
    Platform & Maintenance
     Services                             -55.7%                  --
    Cost of Revenues                       74.9%               112.3%
    Gross Profit                           15.9%               323.2%
    Operating Expenses                     42.3%                13.7%
    R&D                                    69.2%                  --
    SG&A                                   39.6%                13.7%
    Income from Operations                -37.0%                30.8%
    Net Income (GAAP)                     -32.7%                32.9%
    Amortization of
    Intangible Assets                       2.7%                  --
    Non-GAAP Net Income                   -27.1%                32.9%
    Basic GAAP EPS                        -36.4%                36.6%
    Diluted GAAP EPS                      -35.9%                36.1%
    Basic Non-GAAP EPS                    -31.1%                36.6%
    Diluted Non-GAAP EPS                  -30.6%                36.1%
    Basic Weighted Average
    Common Shares Outstanding               5.8%                 5.8%
    Diluted Weighted Average
    Common Shares Outstanding               5.0%                 5.0%

    Note: The United States dollar amounts in the above table are calculated
    based on an exchange rate of USD 1.00 = RMB 7.0190 for March 31, 2008 and
    USD 1.00 = RMB 6.8359 for March 31, 2009.

Revenues: Yucheng made two significant changes to revenue presentation. First, net revenue (or non-GAAP) presentation has been introduced to better delineate business trends, increase revenue predictability and improve the correlation between revenues and net income. Second, the Company introduced a new revenue categorization method. Software & Solutions includes all revenues created via software and software-related solutions. Platform & Maintenance Services is comprised of the procurement and resale of third-party hardware and software, as well as maintenance and support services. Finally, revenues generated via the POS business are listed under the new sub-heading, POS.

Yucheng reported consolidated non-GAAP revenues of USD 11.4M for the first quarter 2009, an increase of 42.1% compared to the first quarter of 2008 and a 47.3% decrease from our fourth quarter peak. GAAP revenues were USD 14.2M, a decrease 10.8% of year over year and 58.2 % compared to the previous quarter.

    -- Software & Solutions: In the first quarter, Software & Solutions
       registered USD 9.1M of revenues, a 106.7% increase compared to the
       first quarter of 2008, and a 48.9% decrease compared to the seasonal
       peak in the fourth quarter of 2008. Software & Solutions accounted for
       79.6% of consolidated revenue on a net basis.
    -- Platform & Maintenance Services: Non-GAAP revenues totaled USD 1.5M in
       the first quarter or 12.9% of consolidated revenue on a net basis.
       Platform & Maintenance Services net revenues declined by 55.7% year
       over year and 52.4% sequentially.  GAAP revenues were USD 4.3M, a
       decrease of 62.1% year over year and 72.4% quarter over quarter.
    -- POS: POS generated revenues of USD 0.9M in the first quarter,
       representing 7.5% of consolidated revenue on a net basis. Our POS
       revenues increased 170.4% compared with the first quarter of 2008 and
       9.6% compared to the fourth quarter of 2008.

Gross Profits: In the first quarter of 2009, Yucheng registered a gross profit of USD 6.1M, an increase of 21.2% compared to the first quarter of 2008 and an expected decline of 49.5% compared to the fourth quarter of 2008, seasonally the largest quarter of the year. During the first quarter of 2009, Software and Solutions gross margin had remained stable and contributed 79.6% to total gross profit, as compared to 44.1% in the first quarter of 2008. Overall core gross margins are expected to remain stable at these levels throughout 2009, while POS gross margins may show some improvements.

Sales, General and Administrative Expenses (SG&A): Consolidated SG&A as a percentage of net revenue was 44.5% in the first quarter, as compared to 33.1% in the first quarter 2008 and 46.2% in the fourth quarter of 2008.

    -- SG&A as a percentage of net revenue for the Core business was 39.8% as
       compared to 39.0% in the first quarter of 2008 and 28.9% in the fourth
       quarter of 2008, which reflected the management's commitment to
       maintain a stable-to-declining SG&A-to-Net Revenue ratio in 2009. In a
       year over year comparison, the main cost drivers were headcount
       additions, mandatory salary increases (starting in the second quarter
       of 2008) and increased lease costs.
    -- POS SG&A as a percentage of net revenues was 92.3% in the first quarter
       of 2009 as compared to 219.7% in the first quarter of 2008 and 148.0%
       in the fourth quarter of 2009.  The declining ratio indicates continued
       enhancement in our merchant productivity and operating leverage. As a
       ratio to net revenue, we expect that POS SG&A will continue to decline
       throughout 2009.

Net Income: Yucheng recorded non-GAAP net income of USD 1.3M, a decrease of 25.8% compared to the first quarter of 2008. GAAP net income was USD 0.9M for the quarter, a decrease of 32.7% compared to the first quarter of 2008. This is the seasonal low for the year and is expected to trend upwards throughout the year, as our revenue base increases and our fixed costs remain steady.

Earnings per Share: In the first quarter, Yucheng's EPS for fully diluted shares on a consolidated basis were USD 0.07 (non-GAAP) and USD 0.05 (GAAP) compared to USD 0.09 (non-GAAP) and USD 0.08 (GAAP) in the first quarter of 2008.

    -- Core: Fully diluted EPS for the first quarter grew to USD 0.08 (non-
       GAAP) and USD 0.06 (GAAP) compared to USD 0.12 (non-GAAP) and USD 0.10
       (GAAP) in the first quarter of 2008.
    -- POS: On both a GAAP and non-GAAP basis, the fully diluted EPS impact of
       POS was USD -0.01 compared to USD -0.02 in the first quarter of 2008
       and USD -0.03 in the fourth quarter of 2008.

Cash: Yucheng's cash position in the first quarter was USD 22.0M compared to USD 14.5M in the first quarter of 2008 and USD 35.1M in the fourth quarter of 2008. The first quarter cash position was achieved despite a decrease in accounts payable of USD 12.4M, compared to the fourth quarter of 2008.

Accounts Receivable: In the first quarter, accounts receivable totaled USD 38.3M compared to USD 30.8M in the first quarter of 2008 and USD 41.1M in the fourth quarter of 2008. When calculated on a gross basis DSOs increased due to a smaller revenue denominator, while accounts receivable is the average of the current and preceding quarter. This correlates to 251 days for the current quarter, as compared to 165 days in the first quarter 2008. Although trades receivable tend to follow a seasonal trend, and is expected to trend down quarter over quarter until the seasonal low in the fourth quarter.

POS: Yucheng's POS business, although still nascent, continued to gain momentum in the first quarter as revenues grew to USD 0.9M, a 170.4% increase year over year and 9.6% increase quarter over quarter, despite the traditional decline in spending associated with Chinese Lunar New Year.

    -- Terminal Deployment: Our POS installed base grew to 21,600 by the end
       of the first quarter compared to 21,300 at year-end. We continue to
       focus on growing a highly accretive merchant base both in terms of
       transaction volume and revenue. As Yucheng penetrates into high-volume
       wholesaler and luxury locations, such as jewelry stores and car
       dealerships, capping fees on a per transaction basis will increase
       terminal usage and overall POS revenues.

Average Monthly Gross Revenue per POS terminal (AMGRP): Our AMGRP across our entire installed base has held steadily above USD 12, since we started reporting the figure in the second quarter of 2008. The more mature terminals in our base are increasingly accretive and some even show signs of achieving western averages.

                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                           Consolidated Balance Sheets
                       March 31, 2009 and December 31, 2008

    Assets                                            2009.3.31   2008.12.31
                                                        USD          USD
    Current assets:
    Cash and cash equivalent                         22,020,835   35,079,018
    Trade accounts receivable, net                   38,306,442   41,063,634
    Costs and estimated earnings in excess of
     billings on uncompleted contracts               12,050,772   10,068,317
    Amounts due from related companies                   87,619      229,457
    Inventories                                          95,478      423,546
    Pre-contract costs                                1,725,962    1,447,592
    Other current assets                              5,722,467    6,399,374

    Total current assets                             80,009,575   94,710,938

    Investments in and advances to affiliates           427,462      329,240
    Fixed assets                                     11,996,981   11,320,664
    Less: Accumulated depreciation                   (3,325,093)  (2,907,970)
    Fixed assets, net                                 8,671,888    8,412,694
    Intangible assets, net                            5,000,043    5,271,411
    Goodwill                                         27,630,150   27,480,143
    Deferred income taxes - Non-current               2,309,514    1,899,850

    Total assets                                    124,048,632  138,104,276

    Liabilities and stockholders' equity

    Current liabilities:
    Short term loan                                   8,777,191    8,778,861
    Obligations under capital leases                    414,146      419,594
    Trade accounts payables                           8,867,908   21,222,648
    Billings in excess of costs and estimated
     earnings on uncompleted contracts                  998,637    1,465,071
    Employee and payroll accruals                     1,824,425    1,826,585
    Dividends payable to ex-owners                      807,708      807,861
    Deemed distribution to ex-owners                  6,584,618    6,584,618
    Outstanding payment in relation to business
     acquisitions                                     3,277,804    3,277,902
    Income taxes payable                              1,617,376    1,432,909
    Other current liabilities                         5,995,281    7,789,351
    Deferred income taxes - Current                     142,223      143,468

    Total current liabilities                        39,307,317   53,748,868

    Obligations under capital leases                    283,142      379,983
    Deferred income taxes                               418,184      494,423

    Total liabilities                                40,008,643   54,623,274

    Stockholders' equity
    Preferred stock, $0.0001 par value, authorized
     2,000,000 shares and none issued; Common
     stock, $0.0001 par value, authorized 60,000,000
     shares; 17,575,685 shares issued and
     outstanding as of  December 31, 2008
     and March 31, 2009                               2,926,801    2,927,358
    Additional paid-in capital                       50,798,645   50,808,308
    Reserves                                          5,560,182    5,561,239
    Retained earnings                                23,738,459   22,827,559
    Accumulated other comprehensive loss               (532,528)    (402,693)
    Minority interests                                1,548,430    1,759,231

    Total Stockholders' equity                       84,039,989   83,481,002

    Liabilities and Stockholders' equity            124,048,632  138,104,276



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                        Consolidated Statements of Income
               Three months ended March 31, 2009 and March 31, 2008

                                                      2009 Q1      2008 Q1
                                                        USD          USD
    Revenues:
     Software & Solutions                             9,114,122    4,409,871
     Platform & Maintenance Services (net)            1,473,367    3,326,116
     POS                                                860,375      318,173
     Total revenues (non-GAAP)                       11,447,864    8,054,160
     Platform pass-through costs                      2,779,078    7,896,461

    Total revenues                                   14,226,942   15,950,621

    Cost of revenues:
     Cost of revenues (net)                          (5,299,852)  (2,981,686)
     Platform pass-through costs                     (2,779,078)  (7,896,461)

    Total cost of revenues                           (8,078,930) (10,878,147)

    Gross profit                                      6,148,012    5,072,474

    Operating expenses:
     Research and Development                          (517,468)    (305,903)
     Selling and marketing                           (1,706,816)  (1,273,931)
     General and administrative                      (3,302,150)  (2,445,095)

    Total operating expenses                         (5,526,434)  (4,024,929)

    Income from Operating                               621,578    1,047,545

    Other income (expenses):
     Interest income                                     19,315       31,080
     Interest expense                                   (22,786)     (88,818)
     Investment gain (loss)                            (135,274)          --
     Other income (expense), net                         (9,527)       8,347

    Income before income tax and minority interests     473,306      998,154

     Income tax benefit (expense)                       295,665      235,512
     Minority interests                                 146,271      126,049

    Net income (GAAP)                                   915,242    1,359,715

    Amortization for intangible assets                  335,457      326,707

    Net income (non-GAAP)                             1,250,699    1,686,422



                  YUCHENG TECHNOLOGIES LIMITED AND SUBSIDIARIES
                      Consolidated Statements of Cash Flows
               Three months ended March 31, 2009 and March 31, 2008

                                                        2009 Q1      2008 Q1
                                                          USD          USD
    Cash flows from operating activities:
    Net income                                          915,242    1,359,715
    Adjustments to reconcile net income to net cash
     provided by (used in) operating activities:

    Depreciation                                        533,372      333,157
    Amortization                                        533,635      590,158
    Loss on disposal fixed assets                            94          592

    Loss (gain) on disposal of affiliates                 1,921           --
    Minority interests                                 (146,270)    (126,049)
    Share of equity in affiliate company                146,719           --
    Decrease (increase) in trade accounts
     receivable, net                                  2,749,383   (1,805,442)
    Decrease (increase) in costs and estimated
     earnings in excess of billing on uncompleted    (1,984,370)      96,741
    Decrease (increase) in due from related parties     141,795   (6,249,986)
    Decrease (increase) in inventories                  327,988       26,916
    Decrease (increase) in precontract costs           (278,645)  (1,238,605)
    Decrease (increase) in other current assets         435,781    3,701,195
    Decrease (increase) in deferred income taxes
     assets - Current                                        --     (143,217)
    Decrease (increase) in deferred income taxes
     assets - Non-current                              (410,025)    (152,752)
    Increase (decrease) in trade accounts payable   (12,350,704)  (4,328,447)
    Increase (decrease) in billings in excess of
     costs and estimated earnings on
     uncompleted contracts                             (466,156)    (674,307)
    Increase (decrease) in employee and payroll
     accruals                                            (1,813)     873,072
    Increase (decrease) in income taxes payable         184,740      (40,072)
    Increase (decrease) in other current
     liabilities                                     (1,948,612)  (2,356,227)
    Increase (decrease) in deferred income taxes
     liabilities                                        (77,364)     (51,562)

    Net cash provided by (used in) operating
     activities                                     (11,693,289) (10,185,120)

    Cash flows from investing activities:
    Capital expenditures                             (1,021,535)  (1,131,406)
    Payment of purchase of subsidiaries                (219,430)  (2,141,331)

    Long-term investments                              (245,004)          --
    Proceeds from disposal of sharehold of
     affiliates                                          27,336      133,560
    Proceeds from disposal of subsidiary, net of
     cash disposed                                      210,653           --

    Net cash provided by (used in) investing
     activities                                      (1,247,980)  (3,139,177)

    Cash flows from financing activities:
    Payment of capital leases                          (116,914)     (67,496)
    Proceeds from bank borrowings                     8,777,191           --
    Repayments of bank borrowings                    (8,777,191)  (2,137,057)
    Dividends paid to ex-owners                              --   (1,709,645)

    Net cash provided by financing activities          (116,914)  (3,914,198)

    Net increase in cash and cash equivalents       (13,058,183) (17,238,495)

    Cash at beginning of period                      35,079,018   31,698,795
    Cash at end of period                            22,020,835   14,460,300

Non-GAAP Disclosure

To supplement the unaudited consolidated financial statements presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Yucheng's management has reported revenues, net income and earning per share on a non-GAAP basis. Each of the terms as used by Yucheng is defined as follows:

Non-GAAP revenue, or revenues recognized on a net basis, is revenue from the resale of third-party hardware and software recognized net of the associated cost of revenue.

Non-GAAP net income represents net income reported in accordance with GAAP, adjusted for amortization of intangible assets resulting from the accounting treatment of the acquisition of Beijing e-Channels Century Technology Co., Ltd.

Non-GAAP earnings per share represents non-GAAP net income divided by the number of shares used in computing basic and diluted earnings per share in accordance with GAAP.

Management of Yucheng believes that these non-GAAP revenue, net income and earnings per share measures are useful for understanding and assessing Yucheng's underlying business performance and operating trends, and expects to report net income on a non-GAAP basis using a consistent method on a quarterly basis going forward. These non-GAAP financial measures also facilitate management's internal comparisons to Yucheng's historical performance and liquidity. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results.

Management of Yucheng notes that these measures may not be calculated on the same basis as similar measures used by other companies. Please find a reconciliation of non-GAAP figures to GAAP figures in the summary of financial information presented above.

Conference Call and Replay Information

Management will conduct a conference call to discuss the financial results for the three-month period ended March 31, 2009 on May 12, 2009 at 8:00AM EDT/ 8:00PM Beijing time.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 96694864.

    US                      +1 866 242 1388
    Canada                  +1 888 447 3085
    China Netcom Users      +86 10 800 640 0084
    China Telecom Users     +86 10 800 264 0084
    All Other Participants  +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at

    For Further Information

     Ms. Rebecca Alexander
     Tel:   +1 914 613 3648
            +86 10 5913 7998
     Email: ralexander@yuchengtech.com

    -- Software & Solutions, which will include all revenues created via our
       software and software-related solutions for clients.
    -- Platform & Maintenance Services, which will be comprised of the
       procurement and resale of third-party hardware equipment and software
       applications, as well as maintenance and support services for our
       clients.
    -- POS will become a separate revenue category and will consist of the
       revenue related to our POS terminal deployment.

The table provided below reallocates our historical revenues and recognizes our Platform & Maintenance Services on a net basis, to assist with multi-period comparisons.

 Summary of Yucheng's Historical Revenues and Gross Profit for 2006, 2007 and

                                     2008
                         (Numbers are in USD million)

    2008
                                       Q1   Q2    Q3    Q4    Annual
    Software & Solutions               4.4  8.2   8.9   17.8  39.4
    Platform & Maintenance Services    3.4  2.1   4.2   3.1   12.8
    POS                                0.3  0.4   0.6   0.8   2.1
    Revenue                            8.1  10.7  13.7  21.7  54.3
    Cost of Revenues                   3.0  3.4   5.1   9.5   21.0
    Gross Profit                       5.1  7.3   8.6   12.2  33.3

    2007
                                       Q1   Q2    Q3    Q4    Annual
    Software & Solutions               3.1  3.4   6.3   12.0  25.3
    Platform & Maintenance Services    1.3  1.8   3.4   2.1   9.0
    POS                                0.0  0.0   0.1   0.4   0.5
    Revenue                            4.4  5.2   9.8   14.5  34.8
    Cost of Revenues                   1.7  1.5   4.0   5.7   13.2
    Gross Profit                       2.7  3.7   5.8   8.8   21.6

    2006
                                       Q1   Q2    Q3    Q4    Annual
    Software & Solutions               2.0  3.0   3.4   4.3   12.9
    Platform & Maintenance Services    1.1  1.1   1.5   1.2   5.1
    POS                                0.0  0.0   0.0   0.0   0.0
    Revenue                            3.1  4.1   4.9   5.5   18.0
    Cost of Revenues                   1.0  1.5   1.5   2.4   6.6
    Gross Profit                       2.1  2.6   3.4   3.1   11.4

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese financial service providers. Headquartered in Beijing, China, Yucheng services clients from its nationwide network in 23 cities and approximately 2,000 employees. Yucheng provides a comprehensive suite of IT solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking and call centers; (ii) Business Solutions, such as core banking systems and loan management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS Merchant Acquiring Services in partnership with banks in China.

    For Further Information

     Rebecca Alexander
     +1 914 613 3648
     +86 10 5913 7998
     ralexander@yuchengtech.com

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; the impact on the Chinese economy caused by the world wide recession; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 96694864.

    US                            +1 866 242 1388
    Canada                        +1 888 447 3085
    China Netcom Users            +86 10 800 640 0084
    China Telecom Users           +86 10 800 264 0084
    All Other Participants        +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at http://www.yuchengtech.com/english/s... .

About Yucheng Technologies Limited

Yucheng Technologies Limited (Nasdaq: YTEC - News) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

    For Further Information, please contact:

     Ms. Rebecca Alexander
     Tel:   +1 914 613 3648 or +86 10 5913 7998
     Email: ralexander@yuchengtech.com

Minsheng's credit card call center will utilize Yucheng's leading software to decrease wait-time while increasing risk controls. The systems will allow operators to access complete information across multiple accounts to assist with caller identification and information collection. The data is input into customer information and data analysis systems, which can identify fraudulent credit card applications and improper account access. Yucheng's technology will help to lower Minsheng's credit card risk exposure.

The new system will enable cardholders to review multiple accounts seamlessly, and will streamline many business practices. In phase I alone, Yucheng will expand Minsheng's call center seats to 600, three times current capacity. Due to the scalability, reliability and responsiveness of our software, phase II will further increase Minsheng's call center capabilities in the highly competitive credit card market.

Mr. Weidong Hong, CEO of Yucheng Technologies stated, "As China's number one provider of Channel Solutions, including call center and online banking, we are pleased to offer innovative solutions that add a competitive advantage, while lowering operating risk. We look forward to further developing our relationship with Minsheng and our presence in this market."

Channel Solutions enable banks to better communicate with customers. According to the 2008 IDC report, Yucheng is the number one provider of call center solutions to the banking industry in China. Our customers range from three of the top four banks to joint-stock banks and SMBs.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC - News) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

About China Minsheng Bank

Founded in 1996 and headquartered in Beijing, the China Minsheng Bank (Minsheng), is the first national joint-stock commercial bank primarily held by non-public-owned enterprises. Minsheng has a network of over 25 branches covering major cities in China. In 2000, Minsheng listed on the Shanghai Stock exchange. Minsheng provides a full range of commercial and retail banking services, including RMB and foreign-currency deposits, loans, international and domestic settlement, factoring, currency trading, letters of credit, bank guarantee, and other related services. As of September 30, 2008, Minsheng had approximately RMB 1,064 billion in total assets.

    For Further Information

     Rebecca Alexander
     Tel:   +1 914 613 3648
            +86 10 5913 7998
     Email: ralexander@yuchengtech.com

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

Minsheng's credit card call center will utilize Yucheng's leading software to decrease wait-time while increasing risk controls. The systems will allow operators to access complete information across multiple accounts to assist with caller identification and information collection. The data is input into customer information and data analysis systems, which can identify fraudulent credit card applications and improper account access. Yucheng's technology will help to lower Minsheng's credit card risk exposure.

The new system will enable cardholders to review multiple accounts seamlessly, and will streamline many business practices. In phase I alone, Yucheng will expand Minsheng's call center seats to 600, three times current capacity. Due to the scalability, reliability and responsiveness of our software, phase II will further increase Minsheng's call center capabilities in the highly competitive credit card market.

Mr. Weidong Hong, CEO of Yucheng Technologies stated, "As China's number one provider of Channel Solutions, including call center and online banking, we are pleased to offer innovative solutions that add a competitive advantage, while lowering operating risk. We look forward to further developing our relationship with Minsheng and our presence in this market."

Channel Solutions enable banks to better communicate with customers. According to the 2008 IDC report, Yucheng is the number one provider of call center solutions to the banking industry in China. Our customers range from three of the top four banks to joint-stock banks and SMBs.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

About China Minsheng Bank

Founded in 1996 and headquartered in Beijing, the China Minsheng Bank (Minsheng), is the first national joint-stock commercial bank primarily held by non-public-owned enterprises. Minsheng has a network of over 25 branches covering major cities in China. In 2000, Minsheng listed on the Shanghai Stock exchange. Minsheng provides a full range of commercial and retail banking services, including RMB and foreign-currency deposits, loans, international and domestic settlement, factoring, currency trading, letters of credit, bank guarantee, and other related services. As of September 30, 2008, Minsheng had approximately RMB 1,064 billion in total assets.

    For Further Information

     Rebecca Alexander
     Tel:   +1 914 613 3648
            +86 10 5913 7998
     Email: ralexander@yuchengtech.com

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

BEIJING, April 28 /PRNewswire-Asia-FirstCall/ -- Yucheng Technologies Limited (Nasdaq: YTEC), a leading provider of IT solutions and services to China's banking industry, today announces that it will hold an earnings call to discuss the results of the three-month period ended March 31, 2009 on May 12, 2009 at 8:00AM EDT/ 8:00PM Beijing time.

To participate, please dial one of the local access numbers, listed below, ten minutes prior to the scheduled start of the call. The conference call identification number is 96694864.

    US                            +1 866 242 1388
    Canada                        +1 888 447 3085
    China Netcom Users            +86 10 800 640 0084
    China Telecom Users           +86 10 800 264 0084
    All Other Participants        +61 288 236 760

A recording of the call will be accessible within 48 hours via Yucheng's website at http://www.yuchengtech.com/english/s... .

About Yucheng Technologies Limited

Yucheng Technologies Limited (Nasdaq: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

    For Further Information, please contact:

     Ms. Rebecca Alexander
     Tel:   +1 914 613 3648 or +86 10 5913 7998
     Email: ralexander@yuchengtech.com

BEIJING, April 2 -- Yucheng Technologies Limited (Nasdaq: YTEC), a leading provider of IT solutions and services to China's banking industry, today announced the deployment of a Credit Management Information System for Fujian Rural Credit Union (FRCU), a new SMB relationship. Yucheng will build upon the existing in-house systems to deliver a unified Credit Management Information System (CMIS), which will integrate intrabank data to identify and manage overall credit risk. The brand new CMIS will streamline the credit check process by classifying FRCU's customers into risk classes and transforming raw credit data into intelligent, reliable and consistent credit limit ranges. The CMIS translates the FRCU's credit rules into a strict credit analysis software solution that will enhance the reliability of loan decision-making. By systematizing credit decisions and by limiting a manager's ability to arbitrarily justify loans, the CMIS is expected to dramatically reduce the risk of bad debt, and enhance FRCU's overall profitability.

Mr. Weidong Hong, CEO of Yucheng Technologies stated, "CMIS is a critical, backbone system for FRCU's overall risk management efforts. Via our CMIS, FRCU will gain greater control over asset quality and be able to monitor bank-wide credit risk. We are pleased that FRCU sought our expertise to develop their credit capabilities, and we look forward to expanding their IT capabilities in more business verticals."

Management solutions enable management teams to better understand and evaluate their business on a timely basis. Yucheng has deployed more than 30 CMISs to date. IDC estimates the CMIS demand by financial industry will grow annually at 17.2% from 2008 to 2012.

About Yucheng Technologies Limited

Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.

About Fujian Rural Credit Union

Fujian Rural Credit Union (FRCU) was founded in 1999 through the consolidation of more than 80 rural credit unions operating within the province. It is headquartered in Fuzhou, the capital of Fujian province, and has more than 2,000 outlets across Fujian province. FRCU provides a full range of commercial and retail banking services, including RMB deposits, loans, payment services, investment and financing services, debt products and intermediary businesses.

Safe Harbor Statement

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.

    For more information, please contact:

    Rebecca Alexander
    Tel:   +1-914-613-3648
           +86-10-5913-7998
    Email: ralexander@yuchengtech.com