SM&A, Inc. has acquired Performance Management Associates, Inc. (PMA).

September 17, 2007

Venture Management, Inc. announced that its client, SM&A, Inc. (NASDAQ: WINS), the world's leading provider of business strategy and proposal development services and a leading provider of program management services, has acquired privately held Performance Management Associates, Inc. (PMA). PMA, based in West Palm Beach, Florida, is a leading provider of Earned Value Management Systems (EVMS) implementation, analysis and training for enterprise project management solutions. Venture Management initiated this transaction and was the exclusive financial advisor to SM&A.

Cathy McCarthy, CEO of SM&A, noted that “This acquisition is a significant step in our goal to grow SM&A into an internationally recognized consulting firm that helps its clients win and perform on complex programs with superior end-to-end solutions. The transaction will help SM&A to build stronger client relationships, by providing a range of value-added services that closely support our clients’ needs.”

Kevin Reiners, Executive Vice President of Operations for SM&A added that “PMA has a strong and expanding book of business, serving a very similar client base to SM&A as well as additional governmental agencies and large corporations. The combination of EVMS consulting and high value program planning will provide SM&A with a powerful program start-up capability to offer clients.”

Mark Shappee, Managing Principal of Venture Management, provided the additional background that “This transaction is the second step in the implementation of a plan that was developed in 2006 with the SM&A Board and management team to accelerate the growth of the company’s core capabilities in program services; additional initiatives are planned which will leverage SM&A’s business model and financial strength while continuing to extend the company’s service offering and market coverage.”

Founded in 1988, PMA has a team of nearly 20 professionals. The firm generated approximately $5 million in revenue in 2006. Jim Wrisley, the President of PMA, will remain with the Company serving in the position of President of PMA, a division of SM&A. The terms of the transaction were not announced. SM&A is the world's foremost management consulting firm providing leadership and mentoring solutions to plan for business capture, win competitive procurements and profitably perform on the projects and programs won. SM&A’s proven processes, people and tools have delivered significant top-line and bottom-line growth across markets, products and services.