Exhibit 99.1

Monotype Imaging Announces First Quarter 2011 Results

Company Reports Record Revenue

WOBURN, Mass.--(BUSINESS WIRE)--May 3, 2011--Monotype Imaging Holdings Inc. (Nasdaq: TYPE), a leading global provider of text imaging solutions, today announced financial results for the first quarter ended March 31, 2011.

First quarter 2011 highlights:

• First quarter revenue was $29.7 million, a 22 percent increase year-over-year.
• Operating income for the first quarter increased 45 percent to $9.5 million, a 32 percent operating margin.
• Non-GAAP net adjusted EBITDA for the first quarter increased 31 percent to $13.4 million, or 45 percent of revenue.
• First quarter non-GAAP earnings per diluted share were $0.21.

“We’re off to a strong start, with both our OEM and Creative Professional businesses reporting double-digit, year-over-year growth,” said Doug Shaw, president and chief executive officer. “Our OEM results reflect a positive impact from new design wins and our expansion across a diverse range of consumer electronics devices. Our Creative Professional business has benefited from increased brand investment by our customers in digital media.”

Scott Landers, senior vice president and chief financial officer, said, “We are pleased with our ability to generate a 45 percent net adjusted EBITDA margin, and our top line demonstrates the continued execution against our growth plan.”

First quarter operating results

Revenue for the first quarter of 2011 was $29.7 million, up 22 percent compared to $24.5 million in the first quarter of 2010. OEM revenue for the quarter was $21.9 million, increasing 24 percent from the first quarter of 2010. Creative Professional revenue for the quarter was $7.8 million, increasing 14 percent from the first quarter of 2010.

Net income for the first quarter of 2011 was $5.4 million, compared to $3.3 million in the first quarter of 2010. Earnings per diluted share for the first quarter of 2011 were $0.15, compared to $0.09 in the same period last year.

Non-GAAP net income for the first quarter of 2011, which excludes the amortization of intangible assets and stock-based compensation expense, net of taxes, was $7.8 million, compared to $5.4 million in the first quarter of 2010. Non-GAAP earnings per diluted share for the first quarter of 2011 were $0.21, compared to $0.15 in the same period last year.

In the first quarter of 2011, non-GAAP net adjusted EBITDA was $13.4 million or 45 percent of revenue, compared to $10.2 million or 42 percent of revenue in the first quarter of 2010.

A reconciliation of GAAP measures to non-GAAP measures for the three months ended March 31, 2011 and 2010 is provided in the financial tables that accompany this release.

Cash, cash flow and debt balances

Monotype Imaging had cash and cash equivalents of $48.9 million as of March 31, 2011, an increase from $42.8 million as of Dec. 31, 2010. Monotype Imaging generated $7.0 million of cash from operations in the first quarter of 2011.

The company's outstanding debt was $64.4 million as of March 31, 2011, a decrease from $65.9 million as of Dec. 31, 2010 and a decrease from $83.8 million as of March 31, 2010.

Net debt, defined as outstanding debt less cash and cash equivalents, was $15.5 million as of March 31, 2011, a decrease from $23.1 million as of Dec. 31, 2010 and a decrease from $45.6 million as of March 31, 2010.

Financial outlook

For the second quarter of 2011, Monotype Imaging expects revenue in the range of $30.5 million to $32.0 million. The company expects second quarter 2011 non-GAAP net adjusted EBITDA in the range of $13.5 million to $14.5 million, GAAP earnings per diluted share in the range of $0.14 to $0.16 and non-GAAP earnings per diluted share in the range of $0.20 to $0.22.

For full year 2011, Monotype Imaging expects revenue in the range of $119.0 million to $123.0 million. The company expects full year 2011 non-GAAP net adjusted EBITDA in the range of $52.0 million to $55.0 million and GAAP earnings per diluted share in the range of $0.55 to $0.60 and non-GAAP earnings per diluted share in the range of $0.80 to $0.85.

Conference call details

Monotype Imaging will host a conference call on Tuesday, May 3, 2011, at 8:30 a.m. EDT to discuss the company's first quarter 2011 results and business outlook for 2011. Individuals who are interested in listening to the audio webcast should log on to the “Investor Relations” portion of the “About Us” section of Monotype Imaging’s website at www.monotypeimaging.com. The live call can also be accessed by dialing (877) 941-2333 (domestic) or (480) 629-9723 (international) using passcode 4431998. If individuals are unable to listen to the live call, the audio webcast will be archived in the “Investor Relations” portion of the company's website for one year.

Non-GAAP financial measures

This press release contains non-GAAP financial measures under the rules of the U.S. Securities and Exchange Commission. This non-GAAP information supplements and is not intended to represent a measure of performance in accordance with disclosures required by generally accepted accounting principles. Non-GAAP financial measures are used internally to manage the business, such as in establishing an annual operating budget and in reporting to lenders. Non-GAAP financial measures are used by Monotype Imaging management in its operating and financial decision-making because management believes these measures reflect ongoing business in a manner that allows meaningful period-to-period comparisons. Accordingly, Monotype Imaging believes it is useful for investors and others to review both GAAP and non-GAAP measures in order to (a) understand and evaluate current operating performance and future prospects in the same manner as management does and (b) compare in a consistent manner the company’s current financial results with past financial results. The primary limitations associated with the use of non-GAAP financial measures are that these measures may not be directly comparable to the amounts reported by other companies and they do not include all items of income and expense that affect operations. Monotype Imaging management compensates for these limitations by considering the company’s financial results and outlook as determined in accordance with GAAP and by providing a detailed reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures in the tables attached to this press release.

Forward-looking statements

This press release may contain forward-looking statements including those related to future revenues and operating results, the growth of the company’s OEM business and Creative Professional business, the execution of the company’s growth strategy and anticipated business momentum that involve risks and uncertainties that could cause the company’s actual results to differ materially. Factors that might cause or contribute to such differences include, but are not limited to: risks associated with changes in the economic climate, including decreased demand for fonts or products that incorporate the company’s text imaging solutions; risks associated with changes in the financial markets, including the availability of credit; risks associated with increased competition, which may result in the company losing customers or force it to reduce prices; risks associated with the development and market acceptance of new products or product features; risks associated with the company’s ability to adapt its products to new markets and to anticipate and quickly respond to evolving technologies and customer requirements; and risks associated with the ownership and enforcement of the company’s intellectual property. Additional disclosure regarding these and other risks faced by the company is available in the company’s public filings with the Securities and Exchange Commission, including the risk factors included in the company’s Annual Report on Form 10-K for the year ended Dec. 31, 2010 and subsequent filings. The forward-looking financial information set forth in this press release reflects estimates based on information available at this time. These amounts could differ from actual reported amounts stated in the company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2011. While Monotype Imaging may elect to update forward-looking statements at some point in the future, the company specifically disclaims any obligation to do so, even if an estimate changes.

About Monotype Imaging

Monotype Imaging combines technology with design to help the world communicate. Based in Woburn, Mass. with offices in the U.S., Europe and Asia, Monotype Imaging brings text imaging and graphical user interface capabilities to consumer electronics devices such as laser printers, copiers, mobile phones, navigation devices, digital cameras, e-book readers, digital televisions, set-top boxes and consumer appliances. The company also provides printer drivers and color imaging solutions to printer manufacturers and OEMs (original equipment manufacturers). Monotype Imaging technologies are combined with access to more than 14,000 typefaces from the Monotype^®, Linotype^® and ITC^® typeface libraries – home to some of the world’s most widely used designs, including the Times New Roman^®, Helvetica^® and ITC Franklin Gothic^™ typefaces. Fonts are licensed to creative, business and Web professionals through e-commerce portals, direct and indirect sales and custom design services. Monotype Imaging offers industry-standard font solutions that support all of the world’s major languages. Information about Monotype Imaging can be found at www.monotypeimaging.com.

Monotype is a trademark of Monotype Imaging Inc. registered in the U.S. Patent and Trademark Office and may be registered in certain jurisdictions. Times New Roman is a trademark of The Monotype Corp. registered in the U.S. Patent and Trademark Office and may be registered in certain other jurisdictions. Linotype is a trademark of Linotype GmbH registered in the U.S. Patent and Trademark Office and may be registered in certain jurisdictions. Helvetica is a trademark of Linotype Corp. registered in the U.S. Patent and Trademark Office and may be registered in certain jurisdictions in the name of Linotype Corp. or its licensee Linotype GmbH. ITC is a trademark of International Typeface Corp. registered in the U.S. Patent and Trademark Office and may be registered in certain jurisdictions. ITC Franklin Gothic is a trademark of International Typeface Corp. and may be registered in certain jurisdictions. All other trademarks are the property of their respective owners. © 2011 Monotype Imaging Holdings Inc. All rights reserved.

MONOTYPE IMAGING HOLDINGS INC.
OTHER INFORMATION
(Unaudited and in thousands, except per share data)

MONOTYPE IMAGING HOLDINGS INC.
OTHER INFORMATION
(Unaudited and in thousands, except share and per share data)

RECONCILIATION OF FORECAST GAAP EARNINGS PER DILUTED SHARE TO FORECAST NON-GAAP EARNINGS PER DILUTED SHARE

MONOTYPE IMAGING HOLDINGS INC.
OTHER INFORMATION
(Undautidted and in thousands)

RECONCILIATION OF FORECAST GAAP OPERATING INCOME TO FORECAST NON-GAAP NET ADJUSTED EBITDA

CONTACT:
ICR
Staci Mortenson, 781-970-6120
ir@monotypeimaging.com