Tier Files Form 12b-25 with the Securities and Exchange Commission

Business Wire, Dec 15, 2004

RESTON, Va. -- Tier Technologies, Inc. (Nasdaq:TIER), announced today that it will delay the filing of its Form 10-K for the fiscal year ended September 30, 2004, with the Securities and Exchange Commission (SEC) to allow additional time for completion of the annual audit by its independent auditors. Tier will file a Form 12b-25, Notification of Late Filing, with the SEC requesting a 15-day extension. Tier expects to file its Form 10-K upon completion of the annual audit, within this 15-day extension period.

While Tier does not currently believe any material revisions to its previously released preliminary financial results for the year ended September 30, 2004 will be necessary or appropriate, there can be no assurance that revision will not be required.

About Tier

Tier is a leading provider of transaction processing and packaged software and systems integration services for public sector clients. We combine our understanding of enterprise-wide systems with domain knowledge enabling our clients to rapidly channel emerging technologies into their operations. We focus on sectors that we believe are driven by forces that make demand for our services less discretionary and are likely to provide us with recurring long-term revenue streams. Tier is included in the Russell 3000(R) Index. More information about the Company is available at www.Tier.com.

Statements made in this press release that are not historical facts are forward-looking statements that are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995.

Each of these statements is made as of the date hereof based only on current information and expectations that are inherently subject to change and involve a number of risks and uncertainties. Actual events or results may differ materially from those projected in any of such statements due to various factors, including but not limited to risk of delay of negotiating and signing the contract as result of a protest by an unsuccessful bidder, the potential loss of funding by clients, including due to government budget shortfalls or revisions to mandated statutes; the timing, initiation, completion, renewal, extension or early termination of client projects; the Company's ability to realize revenues from its business development opportunities; and unanticipated claims as a result of project performance, including due to the failure of software providers or subcontractors to satisfactorily complete engagements.

For a discussion of these and other factors which may cause our actual events or results to differ from those projected, please refer to the Company's annual report on Form 10-K for the year ended Sept. 30, 2003, our most recent Form 10-Q, as well as other filings with the SEC.