28 June 2006

UGS Teams with SAIC to Launch PLM (product lifecycle management) Center of Excellence

FOR RELEASE Wednesday, June 28, 2006

BEIJING –UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced it has opened a PLM Center of Excellence in cooperation with Shanghai Automotive Industrial Corp (SAIC), China’s largest automotive company. The center is located at SAIC’s Shanghai facility, and is intended to showcase best practices in PLM that have been developed by SAIC and other companies using solutions from UGS.

“China’s automotive manufacturing sector has made great strides in the past few years, yet companies throughout the industry clearly need to continue to innovate more effectively and efficiently to compete and win in foreign and domestic markets,” said Chuck Yuan, vice president and managing director of Greater China Operations, UGS. “At this new Center of Excellence, companies with limited or no PLM implementation experience can come and evaluate a working state-of-the-art example of PLM, at one of China’s industrial leaders. They will be able to learn first hand how PLM software enables its users to increase design and manufacturing efficiency and reduce time to market and see for themselves the return on investment that results.”

The SAIC Center of Excellence features software from UGS and hardware provided by Intel and HP. UGS’ Teamcenter™, NX™ and Tecnomatix™ solutions, as well as the UGS Velocity Series™ portfolio which includes Solid Edge®, Femap™, Teamcenter™ Express, and NX CAM Express will run on Intel™ Xeon DP processor powered HP™ xw8200 workstations and DL380 server. The Center of Excellence also features demonstrations of PLM software in use in a variety of situations and industries, encompassing product design and development, manufacturing and sales support. This center occupies more than 120 sq m, and is staffed by a team of 10, drawn from UGS and SAIC’s engineering teams. It is expected to host to up to 150 enterprises per year. This is the first in a series of centers UGS plans to open. 

“As a leader in China’s industrial development, we at SAIC take on the responsibility of helping other Chinese enterprises learn from our example. We are delighted to work with UGS, Intel and HP to make this vision a reality,” said Zhang Chuan Hong, vice general manager at SAIC. “We hope that our partners and suppliers in particular will come and learn about how they can transform their processes of innovation, so that we can pass the benefits to our customers at home and compete more vigorously in export markets.”

“UGS expects China, as the world’s leading workshop, to be at the forefront of continued PLM adoption,” said Ron Close, vice president of Asia Pacific Marketing, UGS. “Our Center of Excellence at SAIC will showcase solutions for the automotive industry and will demonstrate the viability of PLM implementation for mid-market enterprises in a variety of industries. Collaboration is at the core of effective product lifecycle management. UGS is proud to be working with SAIC and our partners, Intel and HP, to further propel the growth of enterprises in China.”

Since the announcement of the alliance between UGS and HP in February 2005, UGS and HP have created application competency centers such as this one at SAIC to allow companies to review their entire system environments so that they are optimized to run HP and UGS™ joint solutions.  This collaboration provides users with reliable, easy solutions and breakthrough technology that leverage IT in the PLM environment so that it delivers real business value to the enterprise.

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, Femap, Tecnomatix, Teamcenter, Solid Edge, NX and Transforming the process of innovation are trademarks or registered trademark of UGS Corp. or its subsidiaries in the United States and in other countries.  Intel is a trademark or registered mark of Intel Corporation or its subsidiaries in the United States and in other countries.  HP is a trademark or registered mark of Hewlett-Packard Development Company, L.P. 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 expected benefits of the product, adoption by customers, continued innovation 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 developments in the PLM industry, competition, failure to innovate 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.