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Fundraising On the Rise for 10th Consecutive Month

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^{Published in Science and Technology on Friday, July 15th 2011 at 5:45 GMT by Market Wire}  

CHARLESTON, S.C.--([ BUSINESS WIRE ])--Blackbaud, Inc. (Nasdaq: [ BLKB ]) today announced the release of [ a report ] focused on fundraising trends based on monthly findings from [ The Blackbaud Index ] and featuring commentary from Drakes Bay Fundraising and CARE USA. Additionally, Blackbaud announced the release of a new specialty index focused on international affairs organizations.

"Obviously, the current focus is on domestic affairs, and that will affect funding for international organizations in the near term"

aFor the 10th consecutive month, The Blackbaud Index of Charitable Giving has shown positive growth, and for the first time in a very long time, that growth exceeds 10 percent for the three months ending May 2011 over the prior year,a said Chuck Longfield, Blackbauda™s chief scientist and creator of The Blackbaud Index. aAlso, for the first time since the start of the Great Recession, that growth is being experienced by organizations of all sizes.

aOur newest index, representing organizations involved with international affairs, was up 13 percent reflecting significant post-Haiti growth while fundraising at arts and culture organizations grew nearly 12 percent.The increase wasna™t universal however as human services and environmental organizations were still down from their year earlier results. And with job growth flat the past two months and the economy weakening; a real challenge for all nonprofits going forward will be maintaining this momentum.a

The Blackbaud Index of Charitable Giving and The Blackbaud Index of Online Giving are updated on the 15th of each month and are based on a three-month moving average of year-over-year percent changes in charitable giving. They represent the most comprehensive and timely sources of charitable giving available. To subscribe to monthly email or text alerts or to read more about the methodology, visit [ www.blackbaud.com/blackbaudindex ].

The Blackbaud Index of Charitable Giving

The Blackbaud Index of Charitable Giving reports that overall charitable revenue grew 11.3% for the three months ending May 2011, as compared to the same period in 2010. This trend is based on $2.3 billion in 12 monthsa™ revenue from 1,383 nonprofit organizations.

Blackbaud also releases additional data and analysis that reports on organizations by size. The Index found that three-month overall charitable revenue for small organizations (prior year revenue of < $1 million) increased 17.6% in May, while overall charitable revenue at medium organizations (prior year revenue of $1 a" 10 million) increased 10.3%, and overall charitable revenue at large organizations (prior year revenue > $10 million) increased 9.8%.

The Blackbaud Index of Online Giving

The Blackbaud Index of Online Giving reports that online revenue increased by 6.7% for the three months ending May 2011, as compared to the same period in 2010. This trend is based on $427 million in 12 monthsa™ online revenue from 1833 organizations.

The Index found that three-month online revenue for small organizations (prior year revenue of < $1 million) increased 16.5% in May, while online revenue at medium organizations (prior year revenue of $1 a" 10 million) decreased 2.5%, and online revenue at large organizations (prior year revenue > $10 million) increased 11.6%.

NEW: The Blackbaud Index a" International Affairs

Blackbaud introduced a new specialty index this month, focused on the international affairs sub-sector, which will be updated monthly going forward. These organizations are defined by Giving USA as international aid, development and relief, as well as policy and analysis organizations.

The Blackbaud Index of Charitable Giving reports that international affairs organizations had an overall charitable revenue increase of 13% for the three months ending May 2011, as compared to the same period in 2010. This trend is based on $375 million in 12 month revenue from 17 organizations.

The Blackbaud Index of Online Giving reports that international affairs organizations had a slight online revenue decrease of .3% for the three months ending May 2011, as compared to the same period in 2010. This trend is based on $53 million in 12 month revenue from 52 organizations.

aThere seems to be a trend of general recovery this month,a said Chris Dann, president of Drakea™s Bay Fundraising, who provided commentary for the report. aThe biggest difference between the overarching and the international affairs indices is the impact of disaster on the numbers and the distinction between online and offline giving.a

Kymberly McElgunn Wolff, senior vice president, resource development with CARE USA said that, barring any disasters, CARE is happily forecasting flat for the remainder of the year. As the economy threatens to weaken again, Wolff noted that international affairs organizations like CARE that dona™t have domestic programming, may feel the brunt. aObviously, the current focus is on domestic affairs, and that will affect funding for international organizations in the near term,a said Wolff. aThat, in addition to momentum surrounding U.S. political campaigns and weak economic predictive indicators could prove quite challenging. We have to be diligent in engaging our donors from the presentation of the case for support through reporting the significant impact their giving is making in the lives of so many around the world.a

Visit [ www.blackbaud.com/blackbaudindex ] for further data on The Blackbaud Index and additional industry subsets, for monthly updates on the 15^th or to subscribe to email or text alerts, to view a video about benchmarking and metrics, and to download the latest report. Please share your feedback at [ bbindex@blackbaud.com ].

About Blackbaud

Blackbaud is the leading global provider of software and services designed specifically for nonprofit organizations, enabling them to improve operational efficiency, build strong relationships, and raise more money to support their missions. Approximately 24,000 organizations a" including The American Red Cross, Cancer Research UK, Earthjustice, International Fund for Animal Welfare, Lincoln Center, The Salvation Army, The Taft School, Tulsa Community Foundation, Ursinus College, the WGBH Educational Foundation, and Yale University a" use one or more Blackbaud products and services for fundraising, constituent relationship management, financial management, website management, direct marketing, education administration, ticketing, business intelligence, prospect research, consulting, and analytics. Since 1981, Blackbauda™s sole focus and expertise has been partnering with nonprofits and providing them the solutions they need to make a difference in their local communities and worldwide. Headquartered in the United States, Blackbaud also has operations in Australia, Canada, Hong Kong, the Netherlands, and the United Kingdom. For more information, visit [ www.blackbaud.com ].

Forward-looking Statements

Except for historical information, all of the statements, expectations, and assumptions contained in this news release are forward-looking statements that involve a number of risks and uncertainties. Although Blackbaud attempts to be accurate in making these forward-looking statements, it is possible that future circumstances might differ from the assumptions on which such statements are based. In addition, other important factors that could cause results to differ materially include the following: general economic risks; uncertainty regarding increased business and renewals from existing customers; continued success in sales growth; management of integration of acquired companies and other risks associated with acquisitions; risks associated with successful implementation of multiple integrated software products; the ability to attract and retain key personnel; risks related to our dividend policy and share repurchase program, including potential limitations on our ability to grow and the possibility that we might discontinue payment of dividends; risks relating to restrictions imposed by the credit facility; risks associated with management of growth; lengthy sales and implementation cycles, particularly in larger organization; technological changes that make our products and services less competitive; and the other risk factors set forth from time to time in the SEC filings for Blackbaud, copies of which are available free of charge at the SECa™s website at [ www.sec.gov ] or upon request from Blackbaud's investor relations department. All Blackbaud product names appearing herein are trademarks or registered trademarks of Blackbaud, Inc.