Endeca Announces Record Second Quarter, New Corporate Headquarters.

CAMBRIDGE, Mass. -- Endeca, a next-generation information access company, today announced that it achieved record revenues on 116 percent year-over-year revenue growth in the second quarter. Endeca is among New England's fastest growing technology companies, with a compound annual growth rate (CAGR) for revenue exceeding 100 percent over the past four years. To accommodate the rapid pace of continued growth, Endeca also announced plans to open its new worldwide corporate headquarters at 101 Main Street, Cambridge, Massachusetts, in the heart of Kendall Square. E[acute accent]"Endeca continues to play a pivotal roll pushing out the boundaries of established content and data access markets - solving high-value problems in ways not possible with legacy search, database and business intelligence technologies," said Dan Demmer, president and COO of Endeca. "While we're extremely happy with the ever growing levels of new business, we're even more excited by the increasing number of Endeca customers who are deploying multiple applications built on the Endeca Information Access Platform to address a wide variety of business problems and initiatives. This combination is fueling growth at levels that exceed our most optimistic forecasts - enabling us to reset an already ambitious bar." E[acute accent]The opening of the new headquarters, planned for the fourth quarter of the year, comes after several years of office and geographical expansion. Kendall Square, home to the Massachusetts Institute of Technology (MIT), and a few blocks from Harvard University, is among the most desired locations for technology businesses in the United States. E[acute accent]"When we considered all of our options for building out our new headquarters, we wanted an area that is as committed to investing in innovation as we are," added Demmer. "Cambridge offers the unparalleled talent pool and vibrant culture of innovation we need to fuel our future growth."

E[acute accent]Second quarter highlights

E[acute accent]--Major new customer wins and expanded platform deployments: New wins and expanded licenses at F500 businesses, market leaders, and federal law enforcement and intelligence agencies, including key transactions with Banc of America Investment Services, Barnes & Noble, BMG, IBM, Kohl's, PerkinElmer, and the United States Department of Justice 

E[acute accent]--Awarded two pioneering information access patents by USPTO: The patents cover the company's hierarchical data-driven navigation system and method for information retrieval, widely known in the information access market as the Guided Navigation(R) experience (see: http://endeca.com/_assets/pdf/demo.html), as well as key extensions of this approach

E[acute accent]--Michael Porter and Edwin Gillis appointed as independent members of the company's Board of Directors: Appointments provide foundation for governance excellence; Porter to lead newly established strategy committee; Gillis to lead newly established audit committee

E[acute accent]--Record attendance at the fourth annual worldwide Endeca user conference (Discover 2006) in Boston: Event attracted more than 300 senior IT and business executives from market leaders around the world; key partner sponsors included platinum sponsor IBM, systems integrator partners Business Innovation, Framfab, and Molecular, as well as technology partners Bazaarvoice, Coremetrics, Omniture, and Silver Creek Systems

E[acute accent]--Announced further geographical expansion: New Australian operations expand Asia-Pacific presence, establishing localized sales, services and support operations

E[acute accent]--Named leader in Forrester Report: Forrester Research, Inc. recognized Endeca as a leader in enterprise search platforms, according to the new Forrester Wave(TM): Enterprise Search Platforms, Q2 2006; Forrester ranked Endeca as a leader based on its current offering, the Endeca Information Access Platform (IAP), as well as company strategy, and market presence(1)

E[acute accent]About Endeca

E[acute accent]Endeca is a next-generation information access company. Combining patented intellectual property, breakthrough science and a deep focus on user experience, the Endeca Information Access Platform helps people find, analyze and understand information in ways never before possible. Leading global organizations like ABN AMRO, Bank of America, Boeing, Costco, Cox Newspapers, The (US) Defense Intelligence Agency, The Home Depot, Hyatt, IBM, John Deere, The Library of Congress, Texas Instruments, and Walmart.com rely on Endeca to power business-critical applications that increase revenue, reduce costs and streamline operations. E[acute accent]Headquartered in Cambridge, MA, Endeca is a private company with operations in North America, Europe and Asia. For more information: www.endeca.com or [e-mail].

E[acute accent](1)The Forrester Wave(TM): Enterprise Search Platforms, Q2 2006, Forrester Research Inc., June 13, 2006