exv99w1

Exhibit 99.1

Agilysys Amends Unaudited Fiscal 2010 Third-Quarter

and Nine-Month Results

CLEVELAND—February 8, 2010—Agilysys, Inc. (Nasdaq: AGYS), a leading provider of innovative IT solutions, today announced that it has amended its unaudited financial results for the fiscal 2010 third quarter and nine months ended December 31, 2009, which were previously published in a press release on February 3, 2010.

Revenues, gross profit, and operating income were revised lower for both the fiscal 2010 third quarter and nine months ended Dec. 31, 2009 periods by $1.4 million due to remarketed services in the Technology Solutions Group business. Revenue was adjusted to $219.0 million from $220.4 million for the third quarter and $504.6 million from $506.0 million for the nine-month fiscal 2010 period. Operating income was adjusted to $8.5 million from $9.9 million for the quarter and break-even from $1.4 million for the nine-months.

Net income from continuing operations was adjusted by $1.3 million to $13.6 million from $14.9 million for the quarter and $4.0 million from $5.3 million for the nine-month period. Diluted earnings per share for the quarter were $0.59, and $0.18 for the nine-months. Complete financial statements are included at the end of this press release and in the Company’s form 10-Q filed this morning with the SEC.

Forward-Looking Language

This release contains certain management expectations, which may constitute forward-looking information within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities and Exchange Act of 1934 and the Private Securities Reform Act of 1995. Forward-looking information speaks only as to the date of this presentation and may be identified by use of words such as “may,” “will,” “believes,” “anticipates,” “plans,” “expects,” “estimates,” “projects,” “targets,” “forecasts,” “continues,” “seeks,” or the negative of those terms or similar expressions. Many important factors could cause actual results to be materially different from those in forward-looking information including, without limitation, competitive factors, disruption of supplies, changes in market conditions, pending or future claims or litigation, or technology advances. No assurances can be provided as to the outcome of cost reductions, business strategies, future financial results, unanticipated downturns to our relationships with customers, and macroeconomic demand for IT products and services, unanticipated difficulties integrating acquisitions, new laws and government regulations, interest rate changes, and unanticipated deterioration in economic and financial conditions in the United States and around the world or the consequences if the shareholders either approve or fail to approve the proposed Control Share Acquisition by MAK Capital announced on November 20, 2009. We do not undertake to update or revise any forward-looking information even if events make it clear that any projected results, actions, or impact, express or implied, will not be realized.

Other potential risks and uncertainties that may cause actual results to be materially different from those in forward-looking information are described in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC), under Item 1A, “Risk Factors.” Copies are available from the SEC or the Agilysys website.

Use of Non-GAAP Financial Information

To supplement the unaudited condensed consolidated financial statements presented in accordance with U.S. GAAP in this release, certain non-GAAP financial measures as defined by the SEC rules are used. Management believes that such information can enhance investors’ understanding of the Company’s

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

ongoing operations and is a measure used in the Company’s debt agreement. The non-GAAP measures included in this release have been reconciled to the comparable GAAP measures within an accompanying table, shown on the last page of this release.

About Agilysys, Inc.

Agilysys is a leading provider of innovative IT solutions to corporate and public-sector customers, with special expertise in select markets, including retail and hospitality. The company uses technology — including hardware, software and services — to help customers resolve their most complicated IT needs. The company possesses expertise in enterprise architecture and high availability, infrastructure optimization, storage and resource management, identity management and business continuity; and provides industry-specific software, services and expertise to the retail and hospitality markets. Headquartered in Cleveland, Agilysys operates extensively throughout North America, with additional sales and support offices in the United Kingdom, Singapore and Hong Kong.

News releases and other information on Agilysys are available on the Internet at: www.agilysys.com.

—FINANCIAL RESULTS FOLLOW—

Investor Contact:

Curtis Stout
Vice President and Treasurer
Agilysys, Inc.
440-519-8635
curtis.stout@agilysys.com

Media Contact:

Maureen Morreale
Senior Communications Manager
Agilysys, Inc.
440-519-8161
maureen.morreale@agilysys.com

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)


	Three Months Ended						Nine Months Ended
	December 31,						December 31,
(In thousands, except share and per share data)	2009			2008			2009			2008
Net sales:
Products	$	185,509		$	169,260		$	416,743		$	430,692
Services		33,490			54,816			87,857			144,573

Total net sales		218,999			224,076			504,600			575,265
Cost of goods sold:
Products		156,067			146,952			340,986			359,119
Services		12,956			18,102			37,914			59,994

Total cost of goods sold		169,023			165,054			378,900			419,113

Gross margin		49,976			59,022			125,700			156,152
Selling, general and administrative expenses		40,542			47,556			124,686			155,391
Asset impairment charges		238			—			238			145,643
Restructuring charges		677			13,357			745			36,930

Operating income (loss)		8,519			(1,891	)		31			(181,812	)
Other (income) expense :
Other (income) expense, net		(4,921	)		1,175			(5,311	)		695
Interest income		—			(59	)		(9	)		(521	)
Interest expense		246			638			673			1,090

Income (loss) before income taxes		13,194			(3,645	)		4,678			(183,076	)
Income tax (benefit) expense		(410	)		(1,402	)		593			(15,481	)

Income (loss) from continuing operations		13,604			(2,243	)		4,085			(167,595	)
Income (loss) from discontinued operations		3			(1,477	)		(38	)		(2,751	)

Net income (loss)	$	13,607		$	(3,720	)	$	4,047		$	(170,346	)


Income (loss) per share – basic
Income (loss) from continuing operations	$	0.60		$	(0.10	)	$	0.18		$	(7.42	)
Loss from discontinued operations		0.00			(0.07	)		(0.00	)		(0.12	)

Net income (loss)	$	0.60		$	(0.17	)	$	0.18		$	(7.54	)


Income (loss) per share – diluted
Income (loss) from continuing operations	$	0.59		$	(0.10	)	$	0.18		$	(7.42	)
Loss from discontinued operations		0.00			(0.07	)		(0.00	)		(0.12	)

Net income (loss)	$	0.59		$	(0.17	)	$	0.18		$	(7.54	)


Weighted average shares outstanding
Basic		22,624,622			22,603,641			22,625,866			22,580,726
Diluted		23,170,992			22,603,641			23,010,272			22,580,726

Cash dividends per share	$	—		$	0.03		$	0.06		$	0.09

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
BUSINESS SEGMENT INFORMATION (Unaudited)


	Three Months Ended						Nine Months Ended
	December 31,						December 31,
(In thousands)	2009			2008			2009			2008
Hospitality (HSG)
Total revenue	$	23,329		$	27,911		$	63,715		$	76,153
Elimination of intersegment revenue		(833	)		—			(1,890	)		(82	)

Revenue from external customers	$	22,496		$	27,911		$	61,825		$	76,071

Gross margin	$	14,312		$	15,074		$	38,089		$	43,920

		*63.6*	%		54.0	%		*61.6*	%		57.7	%
Depreciation and amortization	$	1,081		$	1,551		$	3,308		$	4,737
Operating income (loss)		4,108			3,166			6,203			(105,598	)

Adjusted EBITDA	$	5,189		$	4,717		$	9,511		$	(100,861	)

Asset Impairment	$	90		$	—		$	90		$	110,851

Retail (RSG)
Total revenue	$	37,753		$	34,793		$	85,696		$	102,497
Elimination of intersegment revenue		(43	)		(3	)		(63	)		(319	)

Revenue from external customers	$	37,710		$	34,790		$	85,633		$	102,178

Gross margin	$	7,416		$	8,937		$	17,486		$	23,431

		*19.7*	%		25.7	%		*20.4*	%		22.9	%
Depreciation and amortization	$	49		$	16		$	143		$	157
Operating income (loss)		2,925			4,229			5,688			(16,085	)

Adjusted EBITDA	$	2,974		$	4,245		$	5,831		$	(15,928	)

Asset Impairment	$	—		$	—		$	—		$	24,910

Technology (TSG)
Total revenue	$	161,072		$	161,451		$	359,465		$	400,199
Elimination of intersegment revenue		(2,279	)		(76	)		(2,323	)		(3,183	)

Revenue from external customers	$	158,793		$	161,375		$	357,142		$	397,016

Gross margin	$	28,248		$	33,765		$	70,887		$	85,210

		*17.8*	%		20.9	%		*19.8*	%		21.5	%
Depreciation and amortization	$	811		$	4,067		$	5,579		$	12,547
Operating income (loss)		8,295			11,817			12,081			(14,496	)

Adjusted EBITDA	$	9,106		$	15,884		$	17,660		$	(1,949	)

Asset Impairment	$	—		$	—		$	—		$	9,882
Restructuring charge	$	—		$	—		$	—		$	23,573

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
BUSINESS SEGMENT INFORMATION (Unaudited)


	Three Months Ended						Nine Months Ended
	December 31,						December 31,
(In thousands)	2009			2008			2009			2008
Corporate / Other
Gross margin	$	—		$	1,246		$	(762	)	$	3,591

Depreciation and amortization (a)	$	1,201		$	1,048		$	3,610		$	3,200
Operating loss		(6,809	)		(21,103	)		(23,941	)		(45,633	)

Adjusted EBITDA	$	(5,608	)	$	(20,055	)	$	(20,331	)	$	(42,433	)

Asset Impairment	$	148		$	—		$	148		$	—
Restructuring charge	$	677		$	13,357		$	745		$	13,357

Consolidated
Total revenue	$	222,154		$	224,155		$	508,876		$	578,849
Elimination of intersegment revenue		(3,155	)		(79	)		(4,276	)		(3,584	)

Revenue from external customers	$	218,999		$	224,076		$	504,600		$	575,265

Gross margin	$	49,976		$	59,022		$	125,700		$	156,152

		*22.8*	%		26.3	%		*24.9*	%		27.1	%
Depreciation and amortization (a)	$	3,142		$	6,682		$	12,640		$	20,641
Operating income (loss)		8,519			(1,891	)		31			(181,812	)

Adjusted EBITDA	$	11,661		$	4,791		$	12,671		$	(161,171	)

Asset Impairment	$	238		$	—		$	238		$	145,643
Restructuring charge	$	677		$	13,357		$	745		$	36,930


(a)		Does not include the amortization of deferred financing fees totaling $126 and $471 for the three months ended Dec. 31, 2009 and 2008, respectively, and $346 and $584 for the nine months ended Dec. 31, 2009 and 2008, respectively, which related to the Corporate and Other segment.

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)


	December 31,			March 31,
(In thousands, except share data)	2009			2009
ASSETS
Current assets:
Cash and cash equivalents	$	24,435		$	36,244
Accounts receivable, net		182,566			151,944
Inventories, net		25,138			27,216
Deferred income taxes — current, net		4,930			6,836
Prepaid expenses and other current assets		7,782			4,564
Income taxes receivable		6,171			3,871
Assets of discontinued operations – current		282			1,075

Total current assets		251,304			231,750
Goodwill		50,612			50,382
Intangible assets, net		32,717			36,659
Deferred income taxes — non-current, net		—			511
Other non-current assets		18,243			29,008
Assets of discontinued operations – non-current		—			56
Property and equipment, net		27,067			26,070

Total assets	$	379,943		$	374,436


LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	122,699		$	28,042
Floor plan financing		—			74,159
Deferred revenue		14,397			18,709
Accrued liabilities		23,902			37,807
Long-term debt — current		199			238
Liabilities of discontinued operations — current		569			1,176

Total current liabilities		161,766			160,131
Deferred income taxes — non-current, net		260			—
Other non-current liabilities		19,428			21,588
Shareholders’ equity:
Common shares, without par value, at $0.30 stated value; authorized 80,000,000 shares; 31,606,831 shares issued and 23,031,119 shares outstanding at December 31, 2009		9,370			9,366
Treasury stock (8,510,712 and 8,896,778 shares at December 31, 2009 and March 31, 2009, respectively)		(2,670	)		(2,670	)
Capital in excess of stated value		(9,298	)		(11,036	)
Retained earnings		202,634			199,947
Accumulated other comprehensive loss		(1,547	)		(2,890	)

Total shareholders’ equity		198,489			192,717

Total liabilities and shareholders’ equity	$	379,943		$	374,436

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)


	Nine Months Ended
	December 31,
(In thousands)	2009			2008
Operating activities:
Net income (loss)	$	4,047		$	(170,346	)
Add: Loss from discontinued operations		38			2,751

Income (loss) from continuing operations		4,085			(167,595	)
Adjustments to reconcile net income (loss) from continuing operations to net cash provided by (used for) operating activities (net of effects from business acquisitions):
Impairment of property and equipment		238			—
Impairment of investment in The Reserve Fund’s Primary Fund		—			1,087
Impairment of goodwill and intangible assets		—			166,223
Gain on redemption of cost basis investment		—			(56	)
Gain on investment in The Reserve Fund’s Primary Fund		(2,505	)		—
Loss on the sale of securities		91			—
Depreciation		2,859			2,863
Amortization		10,127			18,362
Deferred income taxes		2,724			(20,087	)
Stock based compensation		1,709			825
Changes in working capital:
Accounts receivable		(30,622	)		(4,849	)
Inventories		2,078			(31	)
Accounts payable		95,024			(90,739	)
Accrued and other liabilities		(20,442	)		(29,404	)
Income taxes (receivable) payable		(5,322	)		1,359
Other changes, net		12			(823	)
Other non-cash adjustments		(1,128	)		701

Total adjustments		54,843			45,431

Net cash provided by (used for) operating activities		58,928			(122,164	)

Investing activities:
Proceeds from (claim on) The Reserve Fund’s Primary Fund		2,337			(7,657	)
Proceeds from the redemption of cost basis investment		—			9,513
Proceeds from borrowings against company-owned life insurance policies		12,500			—
Change in cash surrender value of company owned life insurance policies		(159	)		(155	)
Acquisition of businesses, net of cash acquired		—			(2,381	)
Purchase of property and equipment		(9,672	)		(4,335	)

Net cash provided by (used for) investing activities		5,006			(5,015	)

Financing activities:
Floor plan financing agreement, net		(74,159	)		131,323
Proceeds from borrowings under credit facility		5,000			—
Principal payments under credit facility		(5,000	)		—
Principal payment under long term obligations		(258	)		(71	)
Issuance of common shares		33			—
Debt financing costs		(1,520	)		—
Dividends paid		(1,360	)		(2,038	)

Net cash (used for) provided by financing activities		(77,264	)		129,214

Effect of exchange rate changes on cash		1,317			(69	)

Cash flows (used for) provided by continuing operations		(12,013	)		1,966
Cash flows of discontinued operations:
Operating cash flows		204			510
Investing cash flows		—			—

Net (decrease) increase in cash		(11,809	)		2,476
Cash at beginning of period		36,244			69,935

Cash at end of period	$	24,435		$	72,411

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM

AGILYSYS, INC.
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDA (Unaudited)


	Three Months Ended						Nine Months Ended
	December 31,						December 31,
(In thousands)	2009			2008			2009			2008
Net income (loss)	$	13,607		$	(3,720	)	$	4,047		$	(170,346	)
Plus:
Interest expense, net		246			579			664			569
Other income, net		(4,921	)		1,175			(5,311	)		695
Income tax (benefit) expense		(410	)		(1,402	)		593			(15,481	)
Depreciation and amortization expense (a)		3,142			6,682			12,640			20,641
(Income) loss from discontinued operations, net of tax		(3	)		1,477			38			2,751

Adjusted EBITDA		11,661			4,791			12,671			(161,171	)
Asset impairment charges		238			—			238			145,643
Restructuring charges		677			13,357			745			36,930

Adjusted EBITDA excluding asset impairment and restructuring charges	$	12,576		$	18,148		$	13,654		$	21,402


(a)		Depreciation and amortization expense excludes amortization of deferred finance costs, totaling $126 and $471 for the three months ended Dec. 31, 2009 and 2008, respectively, and $346 and $584 for the nine months ended Dec. 31, 2009 and 2008, respectively, as such costs are already included in interest expense, net.

# # #

AGILYSYS, INC. • 28925 FOUNTAIN PARKWAY • SOLON, OH 44139 • WWW.AGILYSYS.COM