AIG Edison Life Replaces Siebel With Onyx; Leading Japan-based Insurance Company Replaces Siebel With More Cost-effective Solution.

BELLEVUE, Wash. -- Onyx(R) Software Corporation (Nasdaq:ONXS), a worldwide leader in customer management solutions for the enterprise, today announced that AIG Edison Life Insurance, a Tokyo-based division of American International Group, Inc. (NYSE:AIG), world leaders in insurance and financial services, has selected Onyx to support its ongoing Customer Relationship Management (CRM) strategy and business growth. AIG Edison Life is leveraging the Onyx Migration program, announced September 28, 2005, to replace a Siebel (Nasdaq:SEBL) implementation that had proven extremely costly to maintain.

"After considering our options, it was clear that AIG Edison had to re-address our CRM strategy. Our current CRM environment with our current vendor was requiring a lot of maintenance for every AIG Edison product change, and an upgrade to the latest supported web-based version was going to cost over one million dollars," said Tohru Futami, chief information officer of AIG Edison Life. "Thus, AIG Edison wanted to be able to leverage work being done by other projects in AIG Japan since Onyx was chosen as the standard in June 2004," continued Futami.

AIG Edison determined that an Onyx solution would provide the best integration with their current systems, a strong analytical tool set, and an architecture that would allow them to scale as they grow, at a cost effective price. "The Onyx solution will be seamlessly deployed into our existing architecture and require minimum resources to maintain. That's a very important consideration to AIG Edison Life as our CRM software needs to enable us to scale up to support our growing business. Onyx stood clearly above its competitors for AIG Edison Life -- it's the ideal solution for our needs," concluded Futami.

"Enterprise CRM customers like AIG Edison are naturally concerned with the future and ongoing costs of their existing CRM infrastructure in light of recent market events," said Todd Chambers, chief marketing officer of Onyx Software. "AIG Edison understands that Onyx provides them with an enterprise solution that will support them as they continue to grow."

About AIG

American International Group, Inc. (AIG), world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed in the U.S. on the New York Stock Exchange and ArcaEx, as well as the stock exchanges in London, Paris, Switzerland and Tokyo. For more information visit www.aig.com.

About Onyx Software

Onyx Software Corporation (Nasdaq:ONXS) is a worldwide leader in customer management and process software for mid and large size enterprises. Onyx provides flexible solutions that enable organizations to automate, manage, and evolve their customer processes quickly and cost-effectively for strategic advantage. By providing an integrated suite of customer process automation applications encompassing customer management, process management, and analytics capabilities, Onyx enables enterprises to reduce costs, increase productivity and grow revenue. Major companies are aligning their customer-facing departments and managing their customer processes with Onyx software -- companies such as Amway Corporation, Mellon Financial Corporation, The Regence Group and State Street Corporation. More information can be found at 888-ASK-ONYX, [e-mail] or http://www.onyx.com.

Forward-Looking Statement 

This press release contains forward-looking statements, including statements about the potential reaction by customers and prospects to industry consolidation and our expectations for future financial performance. Forward-looking statements are based on the opinions and estimates of management at the time the statements are made and are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. The words "predict," "believe," "expect," "intend," "anticipate," variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Factors that could affect Onyx's actual results include, but are not limited to our ability to attract new customers, our ability to close opportunities currently in our sales pipeline, the market adoption of, and customer satisfaction with, our product offerings, our ability to achieve the benefits from the investments we are making in our business, our ability to retain customers on our maintenance and product support program, the expansion of our partner network and the ability of these partners to effectively sell our products and the "Important Factors That May Affect Our Business, Our Results of Operations and Our Stock Price" described in our annual report on form 10-K and our quarterly report on form 10-Q and other filings with the Securities and Exchange Commission which are available on our investor relations home page at www.onyx.com/investors. Readers are cautioned not to place undue reliance upon these forward-looking statements that speak only as to the date of this release. Onyx undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

Onyx is a registered trademark of Onyx Software Corporation in the United States and other countries. Other product or service names mentioned herein are the trademarks of their respective owners.