Adobe Highlights Progress Against Business Strategy at Annual Financial Analyst Meeting; Company Outlines Strategies and Financial Targets for Fiscal 2005.

SAN JOSE, Calif. -- Addressing investors and financial analysts at the company's annual Financial Analyst Meeting today in San Jose, executives of Adobe Systems Incorporated (Nasdaq:ADBE) are discussing progress against the company's platform strategy and outlined strategic goals and financial targets for fiscal 2005.

In addition to raising its financial targets for the fourth quarter of fiscal 2004, Adobe announced its fiscal 2005 annual revenue target of $1.85 to $1.9 billion. (See separate press release.)

"Fiscal 2004 continues to be a phenomenal year for Adobe," said Bruce Chizen, Adobe president and CEO. "We're executing extremely well against our platform strategy and remain on track for revenue growth of more than 25 percent year-over-year. We anticipate fiscal 2005 to be our third consecutive year of double-digit growth. Beyond 2005, we are well-positioned to leverage the strong market opportunities and positive trends we are seeing today."

Company Highlights Progress on Business Strategy

Adobe's core business strategy is to become a leading platform provider across its three major customer segments: creative professional, digital imaging/digital video and the enterprise. During the meeting, Chizen and other company executives are providing an overview of key fiscal 2004 milestones, including: strong adoption of Creative Suite, Adobe's platform for creative professionals; continued strength of Adobe's Photoshop brand among creative professionals and hobbyists; and rising deployment of Adobe's Acrobat and its intelligent document solutions within enterprises.

"Adobe is setting itself apart as one of the most diversified, large software companies in the industry based on geographical penetration, product breadth and customer reach," said Chizen. "As a result, we are in a strong position to continue investing in future growth opportunities while consistently meeting the needs of today's customers and delivering outstanding results to our stockholders."

Forward Looking Statements Disclosure

This press release contains forward looking statements, including those related to revenue, financial targets, growth, strategy and products, which involve risks and uncertainties that could cause actual results to differ materially. Factors that might cause or contribute to such differences include, but are not limited to: adverse changes in general economic or political conditions in any of the major countries in which we do business, delays in development or shipment of our new products or major new versions of existing products, introduction of new products by existing and new competitors, difficulties in transitions to new business models or markets, changes in demand for application software, computers and printers, intellectual property disputes and litigation, changes to our distribution channel, the impact of malicious code, such as worms and viruses, on our computer network and applications, interruptions or terminations in our relationships with our turnkey assemblers, fluctuations in foreign currency exchange rates, changes in accounting rules, unanticipated changes in tax rates, market risks associated with our equity investments, and our inability to attract and retain key personnel. For further discussion of these and other risks and uncertainties, individuals should refer to the Company's SEC filings, including the 2003 annual report on Form 10-K and quarterly reports on Form 10-Q filed in 2004. The Company does not undertake an obligation to update forward looking statements.

Webcast Information

The financial analyst meeting is being broadcast live from Adobe's Website (http://www.adobe.com/analystmeeting) beginning at 1:30 p.m. Pacific Time. For those unable to attend the meeting or watch the Webcast, an archive of the event will be available on Adobe.com for a limited time.

About Adobe Systems Incorporated

Adobe helps people and businesses communicate better through its world-leading digital imaging, design and document technology platforms for consumers, creative professionals and enterprises. Adobe's revenue in its last fiscal year exceeded $1.2 billion. For more information about Adobe, visit www.adobe.com.

(C) 2004 Adobe Systems Incorporated. All rights reserved. Adobe, the Adobe logo, Photoshop and Acrobat are either registered trademarks or trademarks of Adobe Systems Incorporated in the United States and/or other countries. All other trademarks are the property of their respective owners.