CALGARY, ALBERTA--(Marketwire - Jan. 9, 2012) - PREO SOFTWARE INC. (the "Corporation") (TSX VENTURE:PKM) has granted Mr. Mike Cabigon, Chairman of the Corporation's Board of Directors options to purchase 200,000 shares at an exercise price of $0.06. The options are subject to the terms of the Corporation's stock option plan and approval of the TSX Venture Exchange.

In addition, terms of Mr. Ted Redmond's options were amended such that all of his 30,000 options vested on December 31, 2011 and the expiry of these options was amended to June 8, 2013. All other terms remain unchanged.

About Preo™ Software

Preo Software Inc. is the market leader in providing Print Knowledge Management Systems (PKMS) to enterprises, select OEMs, and Managed Print Services providers around the world. Printelligence™, the company's award winning flagship SaaS (Software as a Service) offering, empowers users to optimize their print assets and reduce print volumes, while yielding significant cost savings and reducing the environmental footprint.

Preo Software is a seven-year-old technology company maintaining offices in both Canada and in the United States with products deployed in over 3,000 organizations worldwide. For more information, visit [ www.preosoftware.com ].

Reader Advisory

Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. In particular, forward-looking information in this press release includes, but is not limited to, the anticipated closing date of the private placement and the use of the net proceeds of the private placement. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.

Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: general economic conditions in Canada, the United States and globally; industry conditions, governmental regulation, including environmental regulation; unanticipated operating events or performance; failure to obtain industry partner and other third party consents and approvals, if and when required; the availability of capital on acceptable terms; the need to obtain required approvals from regulatory authorities; stock market volatility; competition for, among other things, capital, skilled personnel and supplies; changes in tax laws; and the other risk factors disclosed under our profile on SEDAR at [ www.sedar.com ]. Readers are cautioned that this list of risk factors should not be construed as exhaustive.

The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.

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