Engineous Software to Provide Its FIPER Solution for the US Army's Integrated Performance and Cost Model Program.

Business Editors/High-Tech Writers

CARY, N.C.--(BUSINESS WIRE)--May 11, 2004

Engineous Software, Inc. announced today that LMI Government Consulting - using Engineous Software's FIPER solution - has been selected as the award winner for the Phase III implementation of the US Army's Integrated Performance and Cost Model (IPCM) program. The IPCM program addresses one of the 13 transformation initiatives set forth by the United States Department of Defense, and meets the stated goals of the Army's SMART costing initiative. The award is the result of the LMI/Engineous collaboration on a contract with the Office of the Deputy Assistant Secretary of the Army - Cost and Economic (ODASA-CE) under the Future Technology Systems and General Research lot.

The goal of the Army's SMART costing initiative is to develop a performance-based cost estimation capability linked to engineering designs and effectiveness models that will enable cost-performance trade-offs early in the life cycle of a system. IPCM will connect cost analysis methodologies, engineering design tools, system requirements, and effectiveness analyses. The modeling system must be able to allow analysts to develop cost estimates and perform cost-performance trade-offs at the system level with the limited amount of data that is available early in a program's lifecycle. The model will also allow analysts and engineers to perform Cost as an Independent Variable (CAIV) analysis at the component level, which will address details such as manufacturing processes, materials, and support concepts. The IPCM will also be able to interface with web-based, collaborative environments, such as PTC's Windchill(TM), as utilized within the Army's Future Combat Systems program.

LMI selected Engineous Software and its Federated Intelligent Product Environment (FIPER) solution as its core architecture to support the deliverables of the IPCM program. FIPER is a commercial, enterprise-class architecture that specializes in providing a rapid component development and analysis environment and a distributed computing runtime capability, well suited to take advantage of current GRID technologies. Built on a Java(TM)2 Platform, Enterprise Edition (J2EE) and web services standards, FIPER can support programs like the Army's Future Combat Systems by scaling across the extended Army enterprise and bridging complementary integrations with other J2EE applications like PTC's Windchill.

"We are proud that our FIPER solution was selected by LMI for this important Army program," said Glenn Reis, Vice President of Business Development for Engineous Software. "We believe FIPER provided LMI with a distinct competitive advantage in winning this award and we look forward to contributing to the advancement of other DOD programs with these new analysis capabilities."

"FIPER provided a key component to our solution for the Army's IPCM program," said Peter F. Kostiuk, LMI Program Director for Technology Assessment and Resource Allocation. "The latest advances incorporated into FIPER enabled our development team to focus on meeting the challenging analysis needs of the Army, knowing that FIPER solved the integration framework issues."

About Engineous Software, Inc.

Founded in 1996, Engineous began operations after securing major clients in the aerospace and automotive markets as well as several awards from the Defense Advance Research Projects Agency (DARPA). These contracts facilitated the commercialization of the company's flagship product iSIGHT, which enables organizations to explore more design alternatives in less time, dramatically reduce production costs, decrease time-to-market, and create innovative design alternatives.

The company's newest technology, FIPER (Federated Intelligent Product Environment), was developed through a $21.5M cost-share award from the National Institute of Standards and Technology (NIST). FIPER, a next generation, web-based, distributed engineering analysis infrastructure, was developed by Engineous Software along with organizations like GE, Goodrich, Parker Hannifin, Ohio University, Stanford University, and key business partners such as ITI Transcendata, UGS PLM, and Engineering Intent. The technology allows organizations to access, integrate, execute, and reuse design and cost estimating tools to perform near real-time, multi-domain analysis. FIPER enables its desktop environment to be securely extended to an enterprise-class application for collaborative analysis.

Engineous was selected as a Premier Automotive Supplier in the 2002 PACE awards, and is recognized by top analysts as the worldwide market leader in the Process Integration and Design Optimization market. Customers include leading Fortune 500 companies such as General Electric, General Motors, UTC/Pratt & Whitney, Honeywell, Lockheed Martin, Boeing, Ford Motor Company, DaimlerChrysler US, Toyota, Nissan, Renault, Hitachi, Peugeot, MTU Aero Engines, TRW, BMW, Rolls Royce, and York International. Additional information can be found at www.engineous.com.