SumTotal Named One of Silicon Valley’s Fastest-Growing Software & Information Technology Companies in Deloitte’s Technology Fast 50 Program

SumTotal Attributes M&A Strategy and Execution to its 140 Percent Revenue Growth

Mountain View, Calif. – October 25, 2006 – SumTotal® Systems (Nasdaq: SUMT), the largest provider of talent and learning solutions, announced that it has been named to Deloitte’s prestigious Technology Fast 50 Program for Silicon Valley, a ranking of the fastest-growing technology, media, telecommunications and life sciences companies in the area by Deloitte & Touche USA LLP, one of the nation’s leading professional services organizations. Rankings are based on the percentage revenue growth over five years from 2001 to 2005.

SumTotal Systems’ CEO Don Fowler credits SumTotal’s M&A strategy as well as operational excellence with the company's 140 percent revenue growth from 2001 to 2005. SumTotal’s learning management software delivers learning and manages employees’ skills via the Internet.

“Our vision for SumTotal was to create the world’s leading provider of learning management software,” said Fowler. “Through mergers and acquisitions as well as operational excellence, we created a company that we believe is the category leader in its space by every measure, including revenue – over $100 million annual revenue run rate; customers, of which we have 1,500; employees – more than 700; and market share totaling 20 percent.”

“Sustaining high revenue growth over five years is an exceptional accomplishment. We commend SumTotal for making the commitment to technology and delivering on the promise of market longevity,” said Mark Jensen, National Director of the Venture Capital Services Group for Deloitte & Touche LLP in San Jose. “We are proud to honor SumTotal as a Deloitte Technology Fast 50 winner.”

To qualify for the Technology Fast 50, companies must have had operating revenues of at least $50,000 in 2001 and $5,000,000 in 2005, be headquartered in North America, and be a company that owns proprietary technology or proprietary intellectual property that contributes to a significant portion of the company's operating revenues; or devotes a significant proportion of revenues to the research and development of technology. Using other companies' technology or intellectual property in a unique way does not qualify.

Winners of the 16 regional Technology Fast 50 programs in the United States and Canada are automatically entered in Deloitte’s Technology Fast 500 program, which ranks North America’s top 500 fastest growing technology, media, telecommunications and life sciences companies. For more information on Deloitte’s Technology Fast 50 or Technology Fast 500 programs, visit www.fast500.com.

This year’s Silicon Valley Technology Fast 50 program is co-presented by Deloitte & Touche USA LLP and Silicon Valley Bank, Cooly Godward Kronish LLP, Korn/Ferry International and Porsche Motorsports.

About SumTotal Systems, Inc.
SumTotal Systems, Inc. (NASDAQ: SUMT) is the largest provider of talent and learning solutions. SumTotal deploys mission-critical solutions that align talent and knowledge with organizational processes and business goals to generate significant bottom-line results. With more than 17 million users worldwide, SumTotal has helped accelerate performance and profits for more than 1,500 of the world’s best-known companies and government agencies including Accenture, Aetna, Cendant, DaimlerChrysler, Delta Air Lines, Harley-Davidson, Microsoft, Novartis, PNC Bank, U.S. Army, U.S. Air Force, U.S. Navy, U.S. Coast Guard, U.S. Bancorp, United Airlines, Vodafone, Wachovia and Wyeth. SumTotal has offices in the United States, London, Paris, Frankfurt, Singapore, Sydney, Tokyo, Hong Kong and Hyderabad. For more information about SumTotal's products and services, visit www.sumtotalsystems.com.

SumTotal and the SumTotal logo are registered trademarks or trademarks of SumTotal Systems, Inc. and/or its affiliates in the United States and/or other countries. Other names may be trademarks of their respective owners.

About Deloitte
Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, its member firms and their respective subsidiaries and affiliates. As a Swiss Verein (association), neither Deloitte Touche Tohmatsu nor any of its member firms has any liability for each other’s acts or omissions. Each of the member firms is a separate and independent legal entity operating under the names “Deloitte”, “Deloitte & Touche”, “Deloitte Touche Tohmatsu” or other related names. Services are provided by the member firms or their subsidiaries or affiliates and not by the Deloitte Touche Tohmatsu Verein.

Deloitte & Touche USA LLP is the US member firm of Deloitte Touche Tohmatsu. In the US, services are provided by the subsidiaries of Deloitte & Touche USA LLP (Deloitte & Touche LLP, Deloitte Consulting LLP, Deloitte Financial Advisory Services LLP, Deloitte Tax LLP and their subsidiaries), and not by Deloitte & Touche USA LLP.

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. 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) the ability to successfully sustain our annual revenue run rate and revenue growth; (ii) the ability to successfully maintain and increase our customer base; (iii) the ability to successfully attract and retain highly skilled employees in sufficient numbers to sustain our current business or to support future growth; (iv) the ability to maintain and increase our current market share; (v) the inability to fix in a timely fashion unanticipated bugs, errors or defects that materially impact the functionality or usability of SumTotal LMS; (vi) the acceptance of SumTotal LMS and future product offerings, both in the United States and abroad; (vii) the ability of SumTotal’s employees to successfully implement SumTotal Systems' solutions; (viii) the ability to successfully address technological developments and standards both in the United States and abroad; (ix) the need to continue to expand product distribution and services offerings; and (x) 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 company’s annual report on Form 10-K filed on March 28, 2006, its quarterly report on Form 10-Q filed on August 9, 2006, Form 10-Q/A filed on September 15, 2006, its Form S-3/As filed on September 28, 2006, and October 2, 2006, and its Form 8-Ks. SumTotal Systems assumes no obligation to update the information contained in this presentation or discussed in today’s meetings. The forward-looking statements contained in this release are made as of October 25, 2006, and SumTotal does not assume any obligation to update such statements to reflect events or circumstances occurring after the date of this release.