LANCASTER, CA, June 29, 2005 – Simulations Plus, Inc.

(AMEX: SLP), the leading provider of ADMET absorption simulation and neural net structure-to-property prediction software for pharmaceutical discovery and development, announced today that, by mutual agreement, the product support obligations of SAM Communications, LLC and the royalty payments to SAM Communications, LLC have been terminated effective June 30, 2005.

Jeff Dahlen, President of the Company’s Words+, Inc. subsidiary, said: “At the request of the principal of SAM Communications, LLC, who has developed other business interests and wishes to be freed from the product support obligations of our December 2003 agreement, we have agreed to terminate that agreement effective June 30. Our own engineering staff is now fully capable of supporting and further developing the software and hardware technologies we acquired under the agreement. We believe it was in our best interests to agree to the termination and we expect that this will result in a savings to the Company because royalty payments to SAM Communications, LLC are discontinued as well. Over the past 12 months, royalty payments to SAM Communications, LLC have totaled approximately $70,000. Although we cannot provide an exact estimate for the future, we would expect future savings to be as much or more, as we continue to see improving sales of our Say-it! SAM and SAM Tablet products.”

Walt Woltosz, chairman and chief executive officer of Simulations Plus, said, “We have enjoyed an excellent working relationship with SAM Communications, LLC, and the technology we acquired has been part of the reason that Words+ has turned around so nicely over the past year. We appreciate the willingness of the principal of SAM Communications LLC, who is also a Simulations Plus shareholder, to release us from the royalty payments in return for freeing up his time to devote to other interests."

About Simulations Plus, Inc.
Simulations Plus, Inc., is a premier developer of groundbreaking drug discovery and development simulation software, which is licensed to and used in the conduct of drug research by major pharmaceutical and biotechnology companies worldwide. The Company’s Words+ subsidiary produces assistive technology and communication devices for persons with disabilities. The Company also produces a line of educational simulation software under the umbrella name FutureLab, which is based on its proprietary software technologies. Simulations Plus, Inc., is headquartered in Southern California. For more information, visit our Web sites at and

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. The actual future results of the Company could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: the ability of the Company to continue to book revenues and earnings in accordance with existing accounting standards, the ability of the Company to maintain its competitive advantage, the general economics of the disability and pharmaceutical industries, the ability of the Company to attract and maintain sufficient scientific and technical staff to sustain its R&D and customer support functions, and a sustainable market. Further information on the Company’s risk factors is contained in the Company’s quarterly and annual reports as filed with the Securities and Exchange Commission.

For further information:
Simulations Plus, Inc.
42505 10th Street West
Lancaster, CA
93534-7059 USA
CONTACT: investor relations:
Contact: Renee Bouche