11 May 2006

Peguform, a Leading Automotive Supplier, Expands Use of UGS Tecnomatix for Digital Manufacturing Planning

FOR RELEASE Thursday, May 11, 2006

PLANO, Texas and COLOGNE, Germany – UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced that Peguform, a leading global supplier of plastic components and interior systems for the automotive industry, has expanded its use of Tecnomatix™ software, UGS’ digital manufacturing portfolio, for manufacturing planning, simulation and processes.

Peguform, which initially selected UGS following an extensive evaluation process, currently uses Tecnomatix to plan new facilities and production lines and optimize plant operations.

“Following our decision in June 2005 to implement UGS’ Tecnomatix solutions, Peguform realized significant savings from process improvements in the first three months that were greater than our investments,” said Thorsten Wunsch, manager Process Layout – Automation – Factory Planning at Peguform.  “Our decision to expand the use of Tecnomatix solutions for simulation and time management is based on Tecnomatix solutions’ superior capabilities and innovation, and UGS’ competence and commitment to support us as a Tier1 supplier.”

“UGS is pleased that Peguform has realized fast return on investment and has decided to expand its use of Tecnomatix,” said Paul Vogel, senior vice president and managing director for UGS for Europe, Middle East & Africa.  “Mid-size suppliers, like Peguform, are under constant pressure to find new and innovative ways to improve their manufacturing planning processes to deliver more innovative products in order to compete in the global market.  Peguform has been very successful in using new and innovative technology to deliver better products faster.”

Tecnomatix, UGS’ digital manufacturing portfolio, provides the widest domain coverage from part planning all the way through production management and feedback to product design. Tecnomatix is the only digital manufacturing solution of its kind that covers the depth and breadth of digital manufacturing requirements and is used by more industry leaders in more industry verticals than any other comparable digital manufacturing solution.  For more information visit: www.ugs.com/tecnomatix

About Peguform
Belonging to Cerberus the Peguform Group, headquarted in Bötzingen, is a global full-service-supplier with six plants in Germany, seven in Spain and additional ones in Mexico, Brazil and Portugal.  The company designs, manufactures and supplies single plastic components, systems and complete modules for automobiles world-wide. The products are good in shape: from the interior to the exterior body shell! More than 7,000 employees world-wide contribute every day to the success of leading automotive OEMs.  In 2004, Peguform achieved total sales of more than 1.4 billion Euro. 

About UGS
UGS is a leading global provider of product lifecycle management (PLM) software and services with nearly 4 million licensed seats and 46,000 customers worldwide.  Headquartered in Plano, Texas, UGS’ vision is to enable a world where organizations and their partners collaborate through global innovation networks to deliver world-class products and services while leveraging UGS’ open enterprise solutions, fulfilling the mission of enabling them to transform their process of innovation. 

Note:  UGS, Tecnomatix and Transforming the process of innovation are trademarks or registered trademarks of UGS Corp. or its subsidiaries in the United States and in other countries.  All other trademarks, registered trademarks or service marks belong to their respective holders.

The statements in this news release that are not historical statements, including statements regarding the expected benefits of the customer relationship, the successfulness of the implementation and other statements identified by forward looking terms such as "may," "will," "expect," "plan," "anticipate" or "project," are forward-looking statements. These statements are subject to numerous risks and uncertainties which could cause actual results to differ materially from such statements, including, among others, risks relating to loss or downsizing of customers, competition, international operations and exchange rate fluctuations, changes in pricing models, and intellectual property. UGS has included a discussion of these and other pertinent risk factors in its annual report on Form 10-K most recently filed with the SEC.  UGS disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.