PeopleSupport Provides Additional Information Concerning Operating Margin Targets in 2008

Business Wire, August 8, 2007

LOS ANGELES -- PeopleSupport, Inc. (Nasdaq:PSPT), a leading offshore business process outsourcing (BPO) provider, announced that it wished to clarify remarks made during its second quarter 2007 earnings call regarding anticipated operating margins in 2008. Consistent with its past practice, PeopleSupport plans to perform its formal review and forecast for 2008 in connection with its fourth quarter 2007 earnings release, and to issue formal 2008 annual guidance at that time. PeopleSupport's current estimate, based on available information, is that 2008 operating margins are targeted to be in the range of 1% to 5%, but these estimates are subject to change due to a number of factors until the annual budgeting process is complete.

About PeopleSupport

PeopleSupport, Inc. (Nasdaq: PSPT), is a leading offshore business process outsourcing (BPO) provider that offers customer management, transcription and captioning and additional BPO services from its centers in the Philippines, Costa Rica and the United States. PeopleSupport's services are designed to reduce costs, improve performance and increase revenues by delivering high quality, value-added, multilingual voice and text services. A majority of PeopleSupport's services are performed in the Philippines, where PeopleSupport is one of the largest outsourcing companies, employing approximately 8,600 college-educated, fluent English speaking personnel. Headquartered in Los Angeles, California, with approximately 9,300 employees worldwide, PeopleSupport serves clients in a variety of industries, such as travel, consumer, financial services, healthcare, insurance, technology, telecommunications, entertainment and education. For more information, visit www.peoplesupport.com.

Forward Looking Statements

Certain statements in this press release, including without limitation, those related to anticipated operating margins are forward looking. The company bases these statements on management's beliefs as well as assumptions using information currently available. Risks and uncertainties exist that may cause the company's performance to vary. Factors that could cause variations include: the company's dependence on a limited number of clients; foreign currency exchange risk; negative public reaction to offshore outsourcing; unanticipated technological changes and requirements, including changes that reduce the demand for the company's services; competitive conditions in the markets the company serves; the company's ability to manage growth, including integration of acquired companies; risks associated with operations in the Philippines and Costa Rica; changes in government regulations; and other risks identified from time-to-time in the company's filings with the Securities and Exchange Commission. These forward-looking statements represent estimates and assumptions only as of the date they are made. The company undertakes no obligation to update or revise these forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements were made. You should review the risk factors described in reports and registration statements that the company files from time to time with the Securities and Exchange Commission.