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14 February 2005

UGS Announces Major Contract Win with Volvo and Strategic Alliance with Autodesk; Names Siemens New Member of JT Open Program

FOR RELEASE Monday, February 14, 2005

DARATECH SUMMIT 2005, CAMBRIDGE, Mass. – UGS, a leading global provider of product lifecycle management (PLM) software and services, today issued a series of announcements in conjunction with the Daratech Summit 2005, a leading PLM industry conference:

·        Volvo Group selected UGS as a strategic partner for virtual manufacturing tools for deployment at the company’s manufacturing divisions worldwide.

·        UGS and Autodesk announceda strategic alliance to enable complex product and process information to be widely and quickly shared, without the obstacle of format incompatibility.

·        Siemens has joined JT Open, adding its global manufacturing leadership to the growing momentum of the PLM industry-standard JT 3D data format.

“On the heels of our strong fourth quarter and full year 2004 performance, today’s announcements underscore a company on the move in a dynamic and growing market,” said UGS Chairman, CEO and President Tony Affuso, who is scheduled to highlight UGS leadership in the PLM industry in a keynote address today at the Daratech Summit 2005 conference.  “We are pleased to have become the first company in the new PLM industry to report reaching the $1 billion mark in revenue, and we continue to increase our market share and profitably grow while always focusing on our customers’ success as our number one priority.”

UGS Fourth Quarter 2004 Highlights

UGS announced its fourth quarter 2004 earnings on Tuesday, February 8.

Financial highlights from UGS’ fourth quarter 2004 included:

  • Revenue of US$294.2 million, or 11 percent growth over the same period a year earlier – marking UGS’ sixth consecutive quarter of year-over-year revenue growth.
  • cPDm revenue growth of 39 percent, including cPDm software revenue growth of 38 percent, over the same period a year earlier – marking the cPDm segment’s highest-ever contribution to the company’s revenue.
  • Operating income of US$68.8 million, or a 10 percent increase over the same period a year earlier.
  • The signing of 14 enterprise agreements each at a total contract value of US$1 million or greater – reflecting UGS’ continued success with large enterprise engagements.

Business highlights from UGS’ fourth quarter 2004 included:

·        Announced that international furniture manufacturer, Vitra, selected UGS’ NX™ and Teamcenter® software and services to simplify its data exchange and optimize the use of all product-related information.  Based on results from pilot programs, Vitra expects to save US$3.6 million within the next 5 years and significantly simplify the design process for the company.

·        Anounced that AMF, a leading supplier of integrated, automated solutions for the baking industry, is standardizing on UGS’ Solid Edge® for 3D computer-aided design – a displacement for UGS’ competition.

·        Announced the release of a full PLM solution built on the Microsoft platform in which Teamcenter and NX solutions extend Microsoft’s program for collaborative product development to provide broader PLM support for manufacturers on the Microsoft platform.

·        Also, with Microsoft, UGS Announced Teamcenter Support for Microsoft SQL Server 2000 that provides UGS customers a choice for IT platforms for Teamcenter’s product knowledge management and collaboration solutions.

·        Announced that UGS and HP launched a new family of pre-configured, pre-tested solutions that significantly enhance the total customer experience relative to acquisition, implementation and ongoing support of a PLM deployment.  Each solution, known as a PLM Appliance, includes UGS’ Teamcenter PLM software, built on Microsoft Windows Server System running on HP ProLiant servers or  HP-UX running on HP 9000 servers along with HP OpenView software, storage, networking switches, HA capabilities bundled with planning, implementation and support services from UGS and HP.

·        Announced American Axle & Manufacturing, Inc. -- a world leader in the design, engineering and manufacture of driveline systems, chassis systems and metal-formed products and services for light trucks, sport utility vehicles and passenger cars -- deployed the second phase of UGS’ E-factory™ digital manufacturing data management and process planning system.

·        Announced that Japan’s Landmark Technology Corporation, a provider of world class 3D graphics and simulation solutions, joined the fast-growing JT Open Initiative, extending the initiative’s strong momentum to unite global manufacturers and PLM industry leaders behind a common data format for visual collaboration and interoperability.

·        Announced that Lockheed Martin’s Engineering Process Improvement (EPI) Center selected NX Nastran as its preferred solution for finite?element analysis software.  Lockheed Martin relies on NX Nastran for accurate evaluations of the structural performance of a wide range of its products, from launch vehicles to satellites.  The scalability, openness and high-performance capabilities of NX Nastran allow Lockheed Martin engineers to perform standard product evaluations as well as challenging complex simulations of large systems with efficiency and confidence.

·        Announced that SensAble Technologies, Inc. the leading provider of 3D touch-enabled digital solutions for commercial software development, academic and commercial research, product design, and digital content creation, has incorporated UGS’ industry-leading Parasolid® geometric modeling component software into version 8.0 of its FreeForm® Modeling Plus™ system, establishing the first 3D touch-enabled Parasolid-based application.

·        Based on the industry-leading E-factory Jack, a human simulation and ergonomics analysis software, UGS announced the introduction of NX Human Modeling a new software application that allows users to build virtual product design environments with digital humans to simulate ergonomics and conduct posture positioning.

About UGS
UGS is a leading global provider of product lifecycle management (PLM) software and services with nearly 4 million licensed seats and 42,000 clients worldwide.   Headquartered in Plano, Texas, the company promotes openness and standardization and works collaboratively with its clients in creating enterprise solutions enabling them to transform their process of innovation and thus begin to capture the value of PLM. 

Note:  UGS, Teamcenter, Solid Edge, Parasolid, NX and E-factory are registered trademark or 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.