Business Engine Software Acquires BayPointe Software.

Business Editors/High-Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--Dec. 20, 1999

Business Engine(R) Software Acquisition Strengthens

Professional Service Automation Offering

Business Engine Software Corporation, a leading provider of Internet-based solutions for professional service automation (PSA) at global IT and R&D organizations, announced today it has completed its acquisition of BayPointe Software. Business Engine is combining BayPointe's architecture and features with its flagship application, Business Engine, to provide a powerful business-to-business application for buyers and sellers of professional services. To that end, BayPointe Software provides integrated collaboration and financial management software solutions for PSA that automate essential processes, including virtual team collaboration, project administration, budgeting and planning, risk management, costing, revenue and billing, and personalized reporting. Additionally, BayPointe's leading edge thin-client, web and portal architecture easily extends Business Engine Software's offering to large, globally dispersed IT and R&D teams. Terms of the deal were not disclosed.

The transaction culminates a joint effort that began this summer to combine key product technology from both companies to produce a scalable, web-based application supporting virtual service teams regardless of their time, location or organizational affiliation. The combined solution, to be called the Business Engine Network, incorporates resource, financial, time/expense, knowledge and opportunity management applications with powerful business-to-business tools for work collaboration and e-commerce between buyers and sellers of professional services. The combined offering streamlines the end-to-end processes of the service supply chain by:

-    Matching buyers and sellers of professional services more
     efficiently;

-    Enhancing collaboration between geographically dispersed, virtual
     project team members to expedite services and project
     deliverables;

-    Streamlining management of internal and third-party projects,
     enabling leadership to focus more attention on cost, quality and
     time to market;

-    Extending PSA beyond the internal product development
     organizations to every member of the service supply chain.

"Business Engine has been helping our customers manage service organizations since 1996," said John O'Neil, chief executive officer, Business Engine Software. "The combination of BayPointe and Business Engine enables us to broaden our solution to address collaboration, project accounting and knowledge management. The most significant added value, however, is our combined ability to extend our solutions for business-to-business across the entire service supply chain."

"Bay Pointe and Business Engine share a common vision regarding the best possible way to manage large, highly dispersed professional service initiatives," said Robert McKimmey, president of BayPointe Software. "Now, we can more effectively fulfill our vision by combining our world-class product development, products and technologies to better meet the needs of our global customers."

The Business Engine Network is due in the first quarter of 2000.

About BayPointe Software

Virginia Beach-based BayPointe Software was founded in 1997 by industry veterans who previously founded SQL Financials, now Clarus Corp. (NASDAQ: CLRS) - to respond to the explosive growth in and specialized needs of the services industry. BayPointe developed a project-oriented accounting, management and collaboration system that provides independent service organizations a set of comprehensive and flexible, web-based tools and services utilizing a leading edge, repository-driven architecture. BayPointe was privately held.

About Business Engine Software Corporation

Business Engine Software Corporation has been delivered professional service automation applications to over 100 project-driven, Fortune 1000 companies for over three years from offices in North America and Europe. Global 1000 banking, pharmaceuticals and other IT and R&D organizations are using Business Engine Software products to improve the management of their projects and initiatives and utilization of internal and external resources.

For more information on Business Engine Software Corporation or the company's products, please call 800/235-4142 in the U.S., 415/616-4000 from outside the U.S., or visit the company's Web site at http://www.businessengine.net.

Business Engine is a registered trademark of Business Engine Software Corporation. All other products and services referenced herein are trademarks of their respective companies.