Principles of Corporate Governance

1. The principal duty of the Board of Directors and management of AXS-One is to assure that the Company is well-managed in the interests of its shareholders. AXS-One seeks to protect and preserve the quality, independence and integrity of its products and services on which the Company's long-term prosperity and public mission depend.

2. AXS-One is owned by its shareholders; the shareholders, in turn, elect the Company's Board of Directors. The Board plays the central role in the Company's governance; it is the Company's decision-making authority on all matters except those reserved to the shareholders or delegated to management. The Board, in turn, selects the Company's Chief Executive Officer and approves the appointment of other members of senior management; senior management is charged with the conduct of the Company's business.

• review and, where appropriate, approval of the financial objectives, major strategies and plans, and major corporate actions of Dow Jones;
• selection and evaluation of AXS-Ones' Chairman and Chief Executive Officer;
• determining senior management compensation;
• periodic review of management succession plans;
• selection and recommendation to shareholders for election of appropriate candidates for service on the Board;
• review of the adequacy of the Company's systems for compliance with all applicable laws and regulations, for safeguarding the Company's assets and for managing the major risks it faces; and
• provision of advice and counsel to senior management.