Pegasus Solutions Stockholders Approve Merger Agreement

Pegasus Solutions, Inc. (Nasdaq:PEGS) today announced
that at a special stockholder meeting today in Dallas, the
stockholders of the company voted to adopt the merger agreement
providing for the acquisition of Pegasus by an entity currently
controlled by Prides Capital Partners, LLC. Dallas-based Pegasus is a
global leader in providing technology and services to hotels and
travel distributors.
   The proposed merger was announced on December 19, 2005 and is
expected to be completed on May 4, 2006, subject to the satisfaction
or waiver of all the closing conditions set forth in the merger
agreement. Under the terms of the merger agreement, Pegasus
stockholders will receive $9.50 per share in cash without interest for
each share of common stock.

   About Pegasus Solutions, Inc.

   Dallas-based Pegasus Solutions, Inc. (Nasdaq:PEGS) is a global
leader in providing technology and services to hotels and travel
distributors. Founded in 1989, Pegasus' customers include a majority
of the world's travel agencies and more than 60,000 hotel properties
around the globe. Pegasus' services include central reservation
systems, electronic distribution services, commission processing and
payment services, and marketing representation services, including the
consumer Web site, www.hotelbook.com(TM). The company's representation
services, including Utell by Pegasus(TM) and Unirez by Pegasus(TM),
are used by more than 7,000 member hotels in 140 countries, making
Pegasus the hotel industry's largest third-party marketing and
reservations provider. Pegasus has 17 offices in 12 countries,
including regional hubs in London, Singapore and Scottsdale, Arizona.
For more information, please visit www.pegs.com.

   About Prides Capital Partners, LLC

   Prides Capital, based in Boston and San Francisco, specializes in
strategic block, active investing in small- and micro-cap public and
private companies. In partnership with its management teams, Prides
seeks to create value through strategic, operational and financial
assistance. For more information, please visit
http://www.pridescapital.com.

   Additional Information and Where to Find It

   In connection with the proposed merger, on March 31, 2006, Pegasus
filed a definitive Proxy Statement with the Securities and Exchange
Commission for its Special Meeting of Stockholders. INVESTORS AND
SECURITY HOLDERS ARE STRONGLY ADVISED TO READ THE PROXY STATEMENT,
BECAUSE IT CONTAINS IMPORTANT INFORMATION. Investors and security
holders may obtain a free copy of the proxy statement and other
documents filed by Pegasus at the Securities and Exchange Commission's
website at http://www.sec.gov. The proxy statement and such other
documents may also be obtained for free by directing such request to
Pegasus Solutions Investor Relations, 8350 N. Central Expressway,
Suite 1900, Dallas, Texas 75206, USA, telephone [phone].

   This press release contains "forward-looking statements" under the
Private Securities Reform Act of 1995 that involve risks,
uncertainties and assumptions. If any of these risks or uncertainties
materializes, or if any of these assumptions proves incorrect, the
results of Pegasus and its consolidated subsidiaries could differ
materially from those expressed or implied by such forward-looking
statements.
   All statements other than statements of historical fact are
statements that could be deemed forward-looking statements, including
predictions regarding the occurrence and timing of the closing of the
merger, and statements of assumptions underlying the foregoing.