I-Logix Inc. Announces Record Sales Growth For 2004.

ANDOVER, Mass. -- Embedded Systems and Software Development Tool Rhapsody(R) Drives Demand for I-Logix Products, Profitability

I-Logix Inc., announced today that demand for the company's flagship UML(TM) 2.0 Model-Driven Development (MDD) solution Rhapsody has resulted in record 4th quarter growth and the most profitable year in the firm's 17 year history. Rhapsody is the world's leading embedded systems and software solution environment for the design and development of aerospace, defense, telecommunications, transportation, industrial automation, medical and consumer electronics products.

Additionally, the 4th quarter was also the company's fifth consecutive quarter with "quarter-over-quarter" growth. I-Logix further noted that 2004 revenues from all I-Logix products and services grew by 20% over 2003 levels, and that the company ended 2004 profitable, cash positive and with a substantial gain in market share. Sales are expected to increase further with the release of Rhapsody 6.0, scheduled for March 2005. With Rhapsody 6.0, Rhapsody expands from the most powerful to also the most user-friendly system design and software development environment in the industry.

The record customer retention rates, coupled with a strong demand for I-Logix products, reinforces the fact that Rhapsody is being aggressively embraced by the industry for its ability to accelerate time-to-market cycles, while increasing design quality and the competitiveness of companies that deploy it.

The highest growth market segments for Q4 was in the aerospace/ defense, transportation, and industrial automation market segments with accelerating momentum in the telecommunications market. The company credits customers such as Raytheon, Northrup Grumman, EADS, Lockheed Martin, Infineon Technologies, Blaupunkt, Harris Corporation, Saab, Thales, Robert Bosch, Airbus, Daewoo, Nokia, Qualcomm, Nissan, General Motors, Daimler Chrysler, Motorola, Raritan, Boeing and Bose for driving the recent growth spurt.

"The momentum that we have seen this year in terms of sheer market acceptance of Rhapsody is tremendous," said I-Logix CEO Gene Robinson. "I-Logix is able to deliver a solution that offers a compelling return on investment even in today's demanding economic climate. This is what is fueling the tremendous growth of Rhapsody in the MDD marketplace. With the next major release of Rhapsody around the corner, we are looking forward to surpassing this achievement in 2005."

During Q4 I-Logix also introduced Rhapsody DoDAF Pack uniquely bringing UML standard notation to the development of system architectures compliant with Defense Architecture Framework (DoDAF) standard. Users now benefit from a standard UML based integrated design environment that allows "concept to code" capability for systems, software, hardware and test engineers facilitating communication and documentation between OEMs and suppliers.

About I-Logix

Founded in 1987, I-Logix is the worldwide leading provider of Collaborative Model-Driven Development (MDD) solutions for systems design through software development focused on real-time embedded applications. I-Logix is headquartered in Andover, Massachusetts and has sales and support centers throughout North America, Europe and the Far East. For more information, visit I-Logix at www.ilogix.com