Netsmart Technologies Signs Software and Services Contracts with Five Behavioral Healthcare Organizations

Netsmart Selected by Wide Range of Providers to Meet Diverse Information Technology Needs

Great River, New York (May 18, 2006) –

Netsmart Technologies, Inc. (NASDAQ SC: NTST), a leading provider of enterprise-wide software for health and human services organizations, today announced that it has entered into software and services contracts with five behavioral and mental health agencies providing for fees totaling $551,423.

Coastal Horizons Center, Inc., Pecan Valley Mental Health and Mental Retardation, Crosspoint Human Services, Southwest Mississippi Mental Health, and New River Area Programs have each selected Netsmart for software, hardware or consulting services designed to facilitate the effectiveness of their clinical, financial or management processes.

“The combination of CMHC Systems and Creative Socio Medics in late 2005 solidified Netsmart’s role as an industry leader, and created a technology provider that can furnish solutions to the entire breadth of the behavioral health market, including providers of all sizes and state-operated systems,” said James Gargiulo, Netsmart executive vice president, Clients and Solutions. “Our full range of solutions, strong customer support, and well-defined product roadmap help make us the optimum choice for agencies seeking a long-term technology partner.”

Coastal Horizons Center of Wilmington, N.C. will utilize Netsmart’s Avatar Practice Management software for system management, scheduling, client tracking, accounts receivable and reporting, and Avatar Addiction Management software for methadone dispensing and inventory control. They will also use Avatar Clinical Workstation software for assessment, progress notes, treatment planning and reporting.

Pecan Valley Mental Health/Mental Retardation of Stephenville, Texas, has licensed Netsmart CMHC/MIS software for use in their accounts receivable, billing, clinical and management operations.

Crosspoint Human Services of Danville, Ill. has upgraded to the graphical version of Netsmart CMHC/MIS, and will implement Netsmart’s Front Desk plus and eCET® clinical treatment planning software.

Southwest Mississippi Mental Health of McComb, Miss. is implementing Netsmart’s Front Desk plus scheduling and resource optimization software as the next step in streamlining of their business and clinical processes.

New River Area Mental Health of Boone, N.C. will utilize consultants from Netsmart’s implementation services team to work with agency IT staff to accelerate the implementation of several IT projects.

For more information about Netsmart Technologies solutions, call 1-800-421-7503 or visit www.ntst.com

About Netsmart Technologies, Inc.

Netsmart Technologies, Inc., based in Great River, N.Y., is an established, leading supplier of enterprise-wide software solutions for health and human services providers, with more than 1,250 clients, including more than 30 systems with state agencies. Netsmart’s clients include health and human services organizations, public health agencies, mental health and substance abuse clinics, psychiatric hospitals, and managed care organizations. Netsmart’s products are full-featured information systems that operate on a variety of operating systems, hardware platforms, and mobile devices, and offer unlimited scalability.

Statement on Behalf of Netsmart Technologies, Inc.

Statements in this press release may be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “intend” and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company’s business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in Netsmart’s filings with the Securities and Exchange Commission. In addition, such statements could be affected by risks and uncertainties related to product demand, market and customer acceptance, competition, pricing and development difficulties, as well as general industry and market conditions and growth rates, and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on Netsmart’s website does not constitute a part of this release.

eCET Electronic Clinical Technology is a trademark of Netsmart Technologies, Inc.

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Source: Netsmart