10 February 2006

Lockheed Martin Aeronautics Company to Deploy UGS’ Teamcenter 2005 PLM Software for the F-35 Joint Strike Fighter Program

FOR RELEASE, Friday, February 10, 2006

PLANO, Texas– UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced Lockheed Martin Aeronautics Co. will deploy UGS’ Teamcenter® software 2005, the latest version of the world’s most widely used PLM software portfolio, to manage all product data for its entire, multi-national F-35 Joint Strike Fighter (JSF) program.

Lockheed Martin, the world’s number one defense contractor, has relied on Teamcenter for more than eight years as the digital backbone for its JSF program, the largest defense contract ever awarded by the U.S. Department of Defense. As the prime contractor for a global coalition of leading aerospace and defense companies, Lockheed Martin plans to migrate all 7,000 of its Teamcenter licenses to Teamcenter 2005, the latest version launched by UGS in June of last year.  Teamcenter is also used by more than 5,000 JSF partner users and 1,500 supplier users at more than 130 sites worldwide.

Teamcenter is used throughout the JSF program to coordinate a global collaboration network that includes three primary industrial partners plus more than 1,000 suppliers in 30 countries who are designing and building up to 5,000 aircraft with at least three major variations. Teamcenter manages the complete technical definition of each model and serial number aircraft which produces a massive amount of data that is expected to grow to more than 20 terabytes.

Lockheed Martin’s Teamcenter-enabled network has allowed the JSF program partners to set program goals of achieving cycle time reductions of 35 percent in product design and 67 percent in manufacturing the F-35, reducing spare parts by 50 percent and tooling by 90 percent. Teamcenter is also the exclusive tool used on the JSF Program to manage product data and configurations, as well as enable product visualization and global real-time collaboration that fully supports ITAR (International Traffic in Arms Regulations.)

Functional superiority, unmatched scalability, unique open architecture

Lockheed Martin selected Teamcenter in 1997 as the best-of-breed solution to manage the scope and complexity of the F-35 development effort. As a result of its constantly expanding functionality, scalability, open architecture and proven success, Teamcenter is now the central data management hub responsible for controlling, organizing and securely distributing multiple bills-of-materials, parts catalogs, material specifications and a wide variety of additional product data including detailed product geometry created by multiple computer-aided design (CAD) systems. Lockheed Martin relies on Teamcenter to perform all these functions and to provide support for its full regulatory compliance with ITAR and all other pertinent domestic and international regulations.

“UGS is proud to play such a key role in the vitally important F-35 Program,” said Tony Affuso, chairman, CEO and president, UGS. “The success of the superb multi-national team led by Lockheed Martin is one of the many examples of why more and more of the world’s largest and most complex PLM implementations rely on Teamcenter to manage their process of innovation.”

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, Teamcenter 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 registration statement on Form S-4 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.



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