SumTotal Systems Named to Military Training Technology Top 100

Learning and business performance leader recognized for significant contribution to military training and readiness

MOUNTAIN VIEW, CA (November 18, 2004) – SumTotal Systems (NASDAQ: SUMT), the industry’s largest provider of learning and business performance technologies, services and processes, today announced that it has been named to Military Training Technology Magazine’s Top 100 for 2004. The annual listing, compiled by the magazine and its publisher, Kerrigan Media International, showcases companies that have significantly impacted the military training industry -- whether through distance learning, live training, modeling, gaming, information retention, simulators or other training methods and technologies.

The Military Training Technology editorial board and a panel of independent experts selected companies for the list based on various criteria, including total military sales, end-user feedback, innovations and market need for the solution. The Top 100 is listed in the publication’s November issue, as well as on its Web site at www.mt2-kmi.com.

“We are honored to be recognized by Military Training Technology for our contributions to the military and to national security at this critical time in history,” said R. Andrew Eckert, SumTotal CEO. “Fast-changing world events make it even more crucial for today’s military to be able to achieve the highest state of readiness. We are proud to be helping military organizations across the globe provide the training and information necessary to ensure the safety, security and responsiveness of their personnel.”

With an expert team dedicated to the government and military sectors, and a technology platform that can be minutely tailored to the unique, specialized needs of these organizations and their learner populations, SumTotal Systems has ensured the success of a wide range of US Department of Defense and other international military organizations. Among them are the US Army National Guard, US Army Defense Ammunition Center, US Army Recruiting, United States Northern Command, US Coast Guard (Deepwater System), the Office of the Under Secretary of the Air Force for International Affairs, Defense Security Service Academy, National Security Agency, Navy and Marine Corps Intelligence Training Center, Royal Naval Air Station Culdrose (UK) and numerous others.

Providing unparalleled breadth in application and depth in business functionality, the SumTotal Enterprise Suite is the industry’s most comprehensive, scalable learning and business performance offering, and the only one to combine learning management, learning content management, virtual classroom and in-depth analytics applications on a single, integrated platform. The SumTotal Enterprise Suite is available on the General Services Administration (GSA) Federal Supply Schedule contract and is compliant on AICC and SCORM, as well as Section 508 of the Americans with Disabilities Act

About SumTotal Systems, Inc.

SumTotal Systems Inc. (NASDAQ: SUMT) is the business performance and learning technology industry’s largest single provider of technologies, processes and services. Formed by the merger of industry pioneers Docent and Click2learn, the company is uniquely focused on helping organizations harness and manage mission-critical intellectual power to solve real-world business problems and produce significant bottom-line results. SumTotal has helped accelerate performance and profit for more than 600 of the world’s best-known companies and federal and local government agencies, including Microsoft, US Army, Air Force, Navy and Coast Guard, Vodafone, Lucent, Accenture, Cendant, Harley-Davidson, Wyeth, Wachovia and D & B. SumTotal Systems is headquartered in Mountain View, CA, with offices throughout the US, as well as in London, Paris, Heidelberg, Sydney, Tokyo and Hyderabad, India.

Safe Harbor Statement/ Forward-Looking Statements

"Information in this press release contains forward-looking statements. These statements represent SumTotal Systems’ expectations or beliefs concerning future events and include statements, among others, regarding SumTotal Systems’ estimated development and shipment date for its new product, SumTotal 7.0. These statements are not historical facts or guarantees of future performance or events and are based on current expectations, estimates, beliefs, assumptions, goals and objectives, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed or implied by these statements. Readers of this press release are cautioned not to place undue reliance on any forward-looking statements. Additional factors that could cause actual results to differ include, but are not limited to (i) SumTotal Systems' limited operating history, and Docent's and Click2learn's history of losses; (ii) delay in development or shipment of our new product, SumTotal 7.0, anticipated to be released during the fourth quarter of 2004; (iii) customers or partners delaying purchasing or upgrade decisions until our new product, SumTotal 7.0, is released; (iv) acceptance of SumTotal Systems' current and future product offerings; (v) long sales cycles for closing software contracts and seasonality in purchasing decisions; (vi) an emerging and rapidly evolving market; (vii) adverse changes in general economic or market conditions; (viii) continued market uncertainty with respect to the merger and the challenges of integrating Docent and Click2learn into one company, and the ability to achieve anticipated synergies associated with the recent merger; (ix) dependence on the growth of SumTotal Systems' market and fluctuation in customer spending; (x) delays or reductions in information technology spending; (xi) the ability to attract and retain highly qualified employees, and the risk of losing employees, especially sales personnel, if the SumTotal 7.0 release date slips; (xii) intense competition in the marketplace causing, among other things, pricing pressure; (xiii) failure to continually implement requisite internal controls and procedures; (xiv) increase of litigation and their related costs; (xv) other market conditions that include risks and uncertainties such as risks associated with financial, economic, political, terrorist activity and other uncertainties; and (xvi) other events and other important factors disclosed previously and from time to time in SumTotal Systems' filings with the Securities and Exchange Commission, including the quarterly report filed on Form 10Q on August 12, 2004. SumTotal Systems assumes no obligation to update the information in this press release."