Capco Announces Availability of Operational Risk Tool Suite -ORTOS- in U.S.

Business Editors

NEW YORK--(BUSINESS WIRE)--Feb. 4, 2004

First modular technology solution enables banks to

meet Sarbanes Oxley Act and Basle II requirements and benefit from

25-35 percent reduction in capital charges

Capco announced today the U.S. availability of its recently acquired Operational Risk Tool Suite (ORTOS) software from Dresdner Bank, which remains a prominent ORTOS customer. In addition, Capco has recently enlisted Volkswagen Bank and Fiat Bank as customers. Based on client analysis, Capco estimates its customers have experienced a 25 to 35 percent reduction in capital charges through the ORTOS solution.

ORTOS is a solution that provides regulatory and managerial reports for senior executives to analyze operational risks inherent in the current industry climate. ORTOS is distinguished by modules that can be customized to satisfy sections 302 and 404 of the U.S. Sarbanes Oxley Act and fulfill Basle II mandates on the identification, collection and evaluation of operational risk in financial institutions.

The ORTOS modules are:

-- STORM - Support Tool for Operational Risk Mapping (risk

identification)

-- TESSA - Technical Structured Self-Assessment (scenario-based)

-- GOLD - Global Operational Risk Loss Database (workflow-based)

-- KORIS - Key Operational Risk Indicator System (daily

monitoring)

-- OREC - Operational Risk Economic Capital (potential loss

evaluation)

-- ORMIS - Operational Risk Management Information System

(executive level reporting)

"Financial institutions face greater reputational and other operational risks in an environment characterized by unprecedented disclosure requirements and increased operational complexity," said Deborah Williams, Group Vice President, Capital Markets and Corporate Banking, Financial Insights. "While the U.S. Sarbanes Oxley Act and Basle II require financial institutions to improve their operational risk exposure tracking and management, as well as control procedures, few commercial products exist today that meet the need for the full breadth of approaches an organization demands for operational risk."

"Operational risk has quickly become a business and regulatory priority rather than a routine compliance issue, and now requires a complete end to end solution for meticulous and assertive management by senior executives," said Bill Irving, President and U.S. Market Leader, Capco. "ORTOS is the only fully integrated, modular operational risk solution that can help clients reduce their capital charges 25 to 35 percent and meet Advanced Measurement Approach (AMA) requirements mandating a minimum of three years of loss data by December 2006."

ORTOS is offered to clients as a license-based solution or an application service provider (ASP) subscription service. Clients can choose module combinations or the full system, depending on their readiness and strategic focus. Capco provides full global support and regular software upgrades. ORTOS is programmed using state-of-the-art web technologies, such as Microsoft, with an Oracle database. This system has proven to be an optimal solution to meet the requirements of a majority of banks.

Dresdner Bank invested more than 20 years of technical and business expertise in developing ORTOS and is now running the third software generation. ORTOS and its various modules are also employed by several other international banks, in which Capco has managed delivery.

"We have spent a lot of time and money in developing the ORTOS software into a pragmatic and proven solution leveraging our in-house expertise and deep involvement in the industry associations focusing on operational risk," said Ulrich Anders, Head of Operational Risk at Dresdner Bank. "After exploring options to bring ORTOS to the market with various solutions providers, we concluded that Capco is the right solutions company to take the product to the next level to meet the multiple client demands created by Basle II and the U.S. Sarbanes Oxley Act. Their professionalism, skills and focus are the reasons why Dresdner Bank will remain an important client, active feedback provider, and industry reference for ORTOS."

About Capco

Capco is the only leading strategist focused exclusively on modernizing business models and architectures in the financial services industry. The Company provides advice and managed services to top tier clients from offices in North America, Europe and Asia. For more information, or to learn about Capco's services and solutions, please visit www.capco.com.

Capco is a registered trademark of The Capital Markets Company N.V.