Eltrax Introduces First Applications Service ProviderProduct.

ATLANTA--(BUSINESS WIRE)--Nov. 8, 1999--

ELTRAX Systems, Inc. (Nasdaq: ELTX) today announced its entry into the Applications Service Provider (ASP) market. Inndemand.com is the Company's first ASP product, designed for the hospitality industry. The product was introduced on Saturday, November

"The launch of Inndemand.com as Eltrax's first ASP product follows our strategic plan to focus on markets with the most growth potential," stated Don Hallacy, president and chief executive officer of Eltrax Systems, Inc. "Inndemand.com combines our key strengths in professional services, remote delivery of applications and applications management, and our market-leading hospitality expertise to provide a total solution for the hospitality industry. We believe the demand for remote delivery of software and support over the Internet represents a huge market for Eltrax and creates a fee-based recurring revenue stream rather than one based on periodic sales of software and services."

The initial market for Inndemand.com will be the budget and economy hotels in the U.S. This market includes over 14,000 hotels and is an under-penetrated segment of the hospitality industry for automation systems and support. As many of these hotels have no on-site IT resources, Inndemand.com provides remote software and support to hotels with real-time updates, monitoring and customer support all at one low monthly price.

"We believe Inndemand.com will provide solid value to smaller hotels. We anticipate customers will benefit through higher revenues, lower costs and increased productivity. Inndemand.com will provide connectivity through the Internet for online reservation bookings, a market that is doubling annually. We also anticipate customers will receive lower processing costs for credit card transactions and savings on reservations made through travel agents using Inndemand.com's ASP platform," said Denise Grey, Chief Marketing Officer for Eltrax.

Walt Peters, President of Hotel Associates based in Reston, Virginia, is excited to be one of the first market trial customers. "This software delivery model is the future. I'm pleased Eltrax is bringing it to the hotel industry. We will finally have the opportunity to obtain the same software solution that the big guys have for little to no capital investment. The ability to publish my inventory, receive automated reservations from the major travel agent networks and the top Internet web sites such as Expedia and Travelocity is revolutionary," says Peters.

"Inndemand.com is the first ASP product that provides a service bureau solution for the small hotel chain and independent hotel operator. We are excited about the potential of providing state-of-the-art software to this market segment and the opportunity to expand our business," concluded Mr. Hallacy.

Eltrax is a professional technology service provider offering innovative business solutions including Internet and network-based applications to enterprises worldwide. The Company is headquartered in Atlanta, Georgia, and is continually expanding their portfolio of services to new offices, business partners and agents worldwide.

For more information, contact Denise Grey at 770/226-6031 or visit the web site at www.eltrax.com.