PRESS RELEASE

Contact Information

Raining Data Corporation
25A Technology Drive
Irvine, CA 92618
Brian Cheek, Director of Product Marketing, TigerLogic
Phone: (949) 442-4400
Fax: (949) 250-8187
E-mail: brian.cheek@rainingdata.com

Southwood Pharmaceuticals Implements
Raining Data ePedigree Compliance Solution
To Enable Secure, Visible Drug Supply Chain

Pharmaceutical Company to Improve Supply Chain Management, Perform Drug Authentication
and Decrease Costs with Raining Data’s XML-Centric ePharma Software

IRVINE, CA. – August 1, 2006

Irvine, Ca. – Raining Data announced today that Southwood Pharmaceuticals Inc. has successfully implemented Raining Data’s ePedigree Compliance Solution to enable regulatory compliance and to improve supply chain visibility and security.

By enabling all of the workflows and master data management for Pedigree Compliance, Raining Data’s XML-Centric ePharma Software allows Southwood Pharmaceuticals to be compliant with Florida, California and Federal Pedigree requirements while optimizing their business operations.

"Raining Data’s XML-Centric platform enables our business to be agile and flexible in an environment of rapidly changing regulatory compliance requirements. Their ePharma Software was compatible with our existing processes and facilitated our business requirements for information management” said Cliff Scott, IT Development Director for Southwood Pharmaceuticals.

Southwood Pharmaceuticals leverages the solution to manage pedigree supply chain orders, maintain a segregated inventory of pedigree products, receive-authenticate-create-sign-ship pedigrees and provide a complete chain of custody audit trail for drugs in their distribution network. Southwood Pharmaceuticals also uses the solution in their warehouse to receive and authenticate drugs shipments. As a result, the company can realize savings by integrating the ePharma functions into their existing operations to ensure availability of pedigree drugs and increase security to deter illegally imported and counterfeit drugs from entering their distribution network.

"Southwood is excited to be a pioneer in improving the safety, security and visibility of the pharmaceutical supply chain by implementing Raining Data’s ePedigree Compliance Solution. We have leveraged the power of Raining Data’s XML platform combined with our own proprietary warehouse management system to rapidly enable compliance with the lowest Total Cost of Ownership,” said Bob Goodrich, Director of Regulatory Affairs at Southwood Pharmaceuticals. “We look forward to continuing our relationship with Raining Data and utilizing this investment to optimize other areas of our business."

Raining Data’s ePedigree Compliance Business Application leverages Raining Data’s TigerLogic XML-Centric Software Platform, which integrates their leading XML Data Management Server (XDMS), XML Workflow Management Server (XWMS), and Composite Data Services which enable a wide range of solutions including Master Data Management, Customer Data Integration, Asset Tracking, RFID Data Management, and Case Management. In order to decrease cost, risk and complexity, Pharmaceutical manufacturers, wholesalers & repackagers like Southwood Pharmaceuticals are implementing Raining Data’s integrated and flexible XML-Centric platform instead of brittle solutions built on rigid, non-XML foundations.

“Our flexible solution enables Southwood to seamlessly collaborate with their broad base of trading partners who have a varying degree of technical sophistication ranging from paper to electronic pedigrees transmitted via fax, email, ftp, AS2 and web services and handle non-serialized and RFID-enabled pedigrees" said Varun Gupta, ePedigree Compliance Product Manager at Raining Data.

About Raining Data
Raining Data Corporation (Nasdaq: RDTA - News) has been providing reliable data management solutions for more than three decades. Product offerings include the high performance TigerLogic^® XML Data Management Server, Pick^® Universal Data Model based data management systems and .Net integration solutions. These products provide operational data storage, master data management, mid-tier caching and message storage solutions for technology platforms such as Web Services and Service Oriented Architectures. In addition, Raining Data provides targeted XML-centric applications such as RFID/Bar code asset management, ePedigree and compliance case management. Raining Data's customers represent more than 500,000 active users across 20,000 customer sites worldwide in a diverse set of vertical applications. More information about Raining Data Corporation and its products can be found at www.rainingdata.com.

About Southwood Pharmaceuticals
For over 20 years, Southwood Pharmaceuticals, Inc. has been providing customized pre-packaged medications for in-office dispensing to physicians, group practices, and specialty clinics. As the needs of our customers have grown, so have the products and services we offer to enhance their practices. Dispensing and compliance software solutions have become an integral component of these services.

For more information, visit www.southwoodhealthcare.com.

Since 1989, Southwood Pharmaceuticals has outgrown 3 facilities and currently occupies a 42,000 sq. ft. campus in Lake Forest, CA that distributes nationwide.

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