10 February 2006

Schelde Naval Shipbuilding, Member of the Damen Shipyards Group, Standardizes on UGS’ Teamcenter for Product Data Management (PDM)

S’-HERTOGENBOSCH, Benelux and PLANO, Texas – UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced that Schelde Naval Shipbuilding standardized on Teamcenter® software, UGS’ digital lifecycle management solution, the world’s most widely used PLM portfolio and winner of the IndustryWeek Technology of the Year Award for 2005. The company selected UGS as its Product Data Management (PDM) system following an extensive evaluation process which included the existing Agile® installation, which was displaced, and SSA Baan™.

The Schelde Naval Shipbuilding contract, valued at nearly US$1 million, represents the first phase in a phased project primarily focused on managing engineering data. Schelde Naval Shipbuilding (www.scheldeshipbuilding.com), a Dutch based shipbuilder, focuses on the design and construction of Naval surface vessels. The company, which has a history of more than 125 years, has built all the vessels for the Royal Dutch Navy and, since it is a part of the Damen Group, actively exports products to foreign countries.

“Shipbuilding is a highly complex task which involves hundreds of engineers designing more than hundreds of thousands of parts and components that must all fit and work together in unison. Schelde needed a solution to manage and control all product and process related data that could support the design process and enhance collaboration,” said Jan van Ameijden, managing director of Schelde Naval Shipbuilding. “Teamcenter’s unmatched PDM functionality which provides linkage of digital product development and product knowledge management collaboration coupled with the professionalism of the UGS organization were key factors in our decision to select UGS’ PLM technology.”

The fact that Schelde Naval Shipbuilding, a major player in the global shipbuilding industry, selected UGS for the critical task of PDM following an extensive evaluation process that displaced an existing solution proves the superiority of UGS technology and our professionals,” said Martien Merks, vice president and managing director of UGS Benelux. “UGS has been selected as the preferred PLM technology provider by numerous leading shipbuilding companies worldwide, and this selection further strengthens our leadership in the shipbuilding industry.”

The selection of UGS by Schelde Naval Shipbuilding reinforces UGS’ world leadership in the shipbuilding industry and adds another leading company to its existing customer base in the shipyard industry. Teamcenter, the de facto standard for PLM, is in use today with several of the world’s leading shipbuilders, including ThyssenKrupp Marine Systems (Blohm + Voss, Nordseewerke and Howaldtswerke-Deutsche Werft AG), the Lürssen Group and Feadship.

UGS Teamcenter powers innovation and productivity by connecting people and processes with knowledge. Teamcenter’s comprehensive portfolio of proven digital lifecycle management solutions is built on an open PLM foundation. Teamcenter, winner of the IndustryWeek Technology of the Year Award for 2005, is the de facto standard for PLM deployments, and is backed by UGS’ leadership in delivery.

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. Agile is a trademark or registered mark of Agile Corporation or its subsidiaries in the United States and in other countries. SSA BAAN is a trademark or registered mark of SSA Global 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.


Frans Adamowicz

Claudia Lanzinger
+49 1609045043