Centra Unveils Subscription-Based, Unlimited Use Pricing Model Designed to Meet Expected Growth in End-User Demand for Real-Time Collaboration.

LEXINGTON, Mass. -- New Enterprise Advantage Program Augments Current ASP and On-Premises Pricing Options with a Fixed Price Model to Foster Collaboration Throughout the Extended Enterprise

Centra (NASDAQ: CTRA), a leading provider of specialized application software and services for online business collaboration, today announced that it has augmented its current pricing models by introducing the Enterprise Advantage Subscription, a flat fee, volume licensing program designed to enable large organizations to meet increasing demand for online collaboration solutions. Today, high performance companies are looking for ways to implement collaboration applications to help them facilitate online meetings, train their sales force, introduce new products, and deploy new applications while reducing travel and telecommunications costs. Centra's Enterprise Advantage Subscription is designed to help these leaders expand their collaboration initiatives by overcoming buying challenges related to limited software licenses, usage forecasts, up-front capital expenditure justification, and overage charges for exceeding usage allowances.

"Online collaboration is poised to become an integral part of the everyday corporate fabric," said Andy Nilssen, senior analyst and partner at Wainhouse Research, which focuses on the rich media conferencing and communications industry. "To make this transition, users and managers cannot be concerned with resource constraints or incremental costs. While traditional seat licensing works well for routine meetings and scheduled events, everyday usage involving ad-hoc conferences and workflow-initiated conversations causes unpredictable and costly over-use or "bursts" of collaboration resources.. Centra's flat-fee based Enterprise Advantage Subscription eliminates this concern and puts collaboration tools in the hands of anyone at any time, empowering individuals and groups to increase productivity through better sharing of information."

In a recent survey of companies that currently use collaborative solutions, Centra found that:

--Ninety percent of the respondents said they expect their collaboration needs to climb within the next 12 to 24 months.

--Nearly 50 percent are expected to adopt mixed pricing strategies for all software purchases comprised of traditional perpetual license, unlimited term license, pay as you go via ASP and annual per seat pricing structures.

--More than 90 percent said they use online collaboration to avoid taking people out of the field.

Centra currently offers four solution sets specifically tailored to augment existing business processes - Centra for Enterprise Application Rollout, Centra for Sales Effectiveness, Centra for Customer Acquisition, and Centra for Collaborative Learning. All Centra offerings can be purchased as an ASP option or as an on-premises, behind the corporate firewall solution. Centra's portfolio of pricing models is designed for complete flexibility and can map to how customers wish to purchase, based on their planned use. Options include:

--Concurrent seats, either for perpetual-use licenses or ASP service subscriptions.

--Usage-based minutes for ASP service, where bulk minutes are pre-purchased at volume rates.

--Pay as you go model for ASP service with no upfront fees, but with higher per minute charges.

--Unlimited use, fixed pricing subscription model with tiered pricing based on the size of the enterprise, either for on-premises or ASP service deployments.

Offered as an alternative to traditional licensing models, the Enterprise Advantage Subscription is a multi-year plan with a fixed price per year for software and services, unlimited use by employees, no additional fees for use by customers, prospects, partners or other guests, and no per minute overage fees. Centra offers a unique mix of on-premises and ASP software. Customers who purchase an Enterprise Advantage Subscription and deploy Centra behind their firewall will also receive seats on Centra's ASP service to enable collaboration with external customers and partners.

Pricing for the Enterprise Advantage Subscription is determined by the end-user size of the purchasing company. The new model provides enterprises predictable subscription payments; simple, flexible licensing; and greater ROI through unlimited use. By bundling Professional Services and providing an ASP option, the new model also addresses a purchase trend toward "software as a service" for the convenience of a completely outsourced solution.

"This new pricing option was developed based on market trends and customer demand, much like the new solution sets we introduced earlier this year," said Paul Gudonis, Centra's CEO and president. "An Enterprise Advantage subscription will help administrators expand their online collaboration projects throughout the enterprise without having to continually request additional funds to increase the number of seat licenses. In addition, their expansion efforts will be facilitated by Centra's Professional Services organization, which specializes in deployment, change management, business process and project consulting, education, and support - all increasing a customer's success of enterprise collaboration adoption."

Centra's unique leadership approach was recently recognized by leading analyst firm, Gartner Group, within the report titled "Magic Quadrant for Web Conferencing," which evaluated Web conferencing vendors on their vision and their ability to execute on that vision.

Centra has leveraged its experience by compiling best practices from its customers and integrating business workflows with a complete technology platform that delivers end-to-end online management solutions and addresses the three key phases of any online business initiative: planning, execution and evaluation. All solutions include Centra's hallmark Voice-over-IP (VoIP) technology to realize significant savings over traditional teleconferencing services. For more information on Centra Solutions visit www.centra.com or call 1 781-994-1168.

About Centra

Online business collaboration solutions from Centra create workforce efficiencies and enable organizations to share and exchange business-critical information with geographically distributed customers, partners, prospects and employees. Centra's solutions integrate real-time collaboration and departmental business processes with specialized applications that increase sales effectiveness, improve collaborative learning and accelerate enterprise application rollouts and customer acquisition initiatives. Currently available in 12 languages, Centra solutions can be deployed as on-site software or through its ASP service and are supported by an active ecosystem of value-added partners, including Siebel, PeopleSoft, SAP and Deloitte Consulting. Organizations across every major industry and market sector choose Centra, including Wyndham International, Weyerhaeuser, Underwriters Laboratories, BMW and Stanford University. Headquartered in Lexington, Massachusetts, Centra serves a worldwide customer base throughout the Americas, Europe, Asia and Australia. For more information, visit www.centra.com.

Safe Harbor Statement Regarding Forward-Looking Statements

With the exception of the historical information contained in this release, the matters described herein contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements about the beliefs and expectations of management regarding the Company's future performance, the Company's strategic initiatives, its ability to achieve and maintain a leadership position in real-time conferencing and collaboration, demand for the Company's software services and management's goals and objectives regarding future results of operations and statements that involve risk and uncertainties that may individually or mutually impact the matters discussed herein, and cause actual results, events and performance to differ materially. These risk factors include, but are not limited to, risks associated with the Company's ability to successfully execute its strategic plan, uncertainty of market reaction to the Company's sales and marketing efforts, product demand for and market acceptance of the Centra 7 collaboration platform and the Company's other current and future products, the effect of economic conditions generally on the market for IT spending and for the Company's products, the results of future research and development activities, the impact of competitive products and pricing, technological difficulties and/or other factors outside the control of the Company, which are detailed from time to time in the Company's filings with the SEC, available at www.centra.com/investorrelations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements

Centra is a registered trademark of Centra Software, Inc. All other trademarks referenced herein are the property of their respective owners.