Despite Economic Downturn, Alert Logic Delivers Record Gains in 2008

IT Compliance and Security Provider Posts 80% Revenue Growth Over 2008

HOUSTON, TX - JANUARY 27, 2009 - Alert Logic, an award-winning provider of on-demand IT compliance and security solutions, today announced that it enjoyed 80% revenue growth in 2008, nearly doubling its customer base for the second year in a row. The company also reached several noteworthy milestones, including a major update to Alert Logic Log Manager, industry recognition for its product and business achievements, and the continued expansion of its direct and indirect customer bases.

Alert Logic's customer growth included companies from a wide-range of industries, including the financial services, healthcare and retail sectors. Adoption of Alert Logic solutions in the retail industry was driven in large part by the Payment Card Industry Data Security Standard (PCI DSS). Any company that handles credit card data must comply with the PCI DSS and Alert Logic's solutions enable merchants to meet several of the mandate's requirements.

Alert Logic also announced in 2008 that it had joined the Payment Card Industry Security Alliance (PCI SA). The PCI SA works with the retail and payment card industries to develop efficient and cost-effective ways to achieve compliance with the PCI Data Security Standard (PCI DSS), a global benchmark intended to improve security throughout the entire payment card transaction process.

In June, Alert Logic updated Alert Logic Log Manager, to version 1.1. Alert Logic Log Manager helps organizations easily automate the collection, review, analysis and archival of log data. Alert Logic Log Manager 1.1 utilizes the power of grid computing to improve log search performance, enabling organizations to more easily maintain compliance with industry and government regulations.

Alert Logic received several industry accolades over the course of the year, including being named to the prestigious Red Herring 100. Alert Logic was also selected as a finalist in the SC Magazine 2009 Reader Trust Awards in the Best Security Incident/Event Management Solution category. Alert Logic was named as a winner, for the third year running, of the Houston Business Journal's "Fast Tech 50" award.

During 2008, Alert Logic greatly expanded its Vanguard channel sales program with the addition of several new partners including, Hostway, OpSource, NaviSite, HostMySite, as well as a partnership with Ingram Micro's Services Division.

"The demand for easy to buy, implement, and use IT compliance and security solutions continues to grow, as evidenced by our success in 2008," said Michael Turner, president and CEO of Alert Logic. "In the current economic climate, the efficiency and affordability of our cloud-based delivery model has positioned Alert Logic for continued success in 2009 and we anticipate growth across our business in the coming year."

About Alert Logic

Alert Logic is a leading provider of cloud-based IT compliance and security solutions. By enabling its customers to detect threats, eliminate vulnerabilities, and manage log data, Alert Logic provides the easiest way to secure networks and comply with policies and regulations. Alert Logic's cloud-based platform utilizes Software-as-a-Service to deliver the benefits of rapid deployment, zero maintenance, and no upfront capital costs. As a result, Alert Logic customers benefit from easy and affordable compliance and security. Based in Houston, Texas and founded in 2002, more information about Alert Logic can be found at http://www.alertlogic.com.

Alert Logic Contact:

Amy Muehleman
Direct of Marketing Communications
phone: 713.351.1758
email: amym@alertlogic.com