Network Engines Signs BUI To Expand Market Reach; Partnership Strengthens Position in Growing Microsoft Application Security Market.

CANTON, Mass. -- Network Engines, Inc. (NASDAQ: NENG), a leading appliance partner for Microsoft(R) security solutions has appointed BUI, a Microsoft Certified Gold Partner in Advanced Infrastructure Solutions and South Africa's first Microsoft Certified Gold Partner in Security Solutions, as a Premier Partner within the Network Engines ENGAGE(TM) Partner Program. The appointment will enable further expansion of Network Engines' geographical reach in South Africa and to meet the growing demand for its NS Series(TM) of security appliances powered by Microsoft ISA Server 2004.

"Network Engines is committed to delivering its NS Series Security Appliances through channel partners. The signing of BUI is a clear indication of our continued drive in expanding our market reach and accelerating the delivery of our products to customers across South Africa. BUI have a highly qualified team of consultants with core Microsoft competencies in Security and Advanced Infrastructure, and an acute understanding of the wide range of technologies around Microsoft infrastructures," said Gareth Green, General Manager, EMEA & APAC, Network Engines.

Network Engines' reseller partners are unanimous in their support of the company and its products. Ryan Roseveare, Director, BUI, said, "The NS Series is a key component for those enterprises that rely on core Microsoft business applications. It delivers a solution that solves our customer's needs in enabling and securing their networks. By helping companies better manage security threats inside the traditional perimeter firewall the NS Series is an obvious choice when you consider the benefits that it offers to IT organisations both large and small."

The Network Engines ENGAGE Partner Program is designed to facilitate a close working relationship that adds value to both parties. As a Premier Partner, BUI receive full support from Network Engines including ongoing sales and technical training, discounted products and access to marketing funds and resources.

The NS Series, powered by Microsoft Internet Security and Acceleration Server 2004, is a family of multifunction application security appliances designed for small and large enterprises. NS Series Security Appliances are developed to add "defense-in-depth" protection and provide unparalleled application-layer filtering inside the traditional perimeter firewall.

Network Engines - THE Appliance Company

Network Engines appliances are designed to ease the deployment, enhance manageability, and increase security of mission critical software applications.

Our heritage of providing technology products and services tailored supporting to the entire lifecycle of our customers appliances has made us the appliance partner of choice for software market leaders.

Founded in 1997, Network Engines is headquartered in Canton, Massachusetts and trades on the NASDAQ exchange under the symbol NENG. For more information about the Company's products and services visit: www.networkengines.com.

About BUI

BUI is the leading Microsoft Gold Certified Partner focussing on the design and implementation of security and infrastructure solutions for customers in South Africa.

The combination of our expert consultants, engineers and strong partnerships with leading international providers of security products makes BUI the partner of choice for secure infrastructure design and deployment.

BUI was founded in 2001 and are based in Bryanston, Johannesburg. For more info please visit the website www.bui.co.za

Safe Harbor for Forward-Looking Statements 

Statements in this press release regarding Network Engines' (the "Company") future financial performance and any other statements about Network Engines' management's future expectations, beliefs, goals, plans or prospects constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including those factors contained in the Company's most recent annual report on Form 10-K for the year ended September 30, 2005 and the most recent Form 10-Q for the quarter ended December 31, 2005 under the section "Risk Factors " as well as other documents that may be filed by the Company from time to time with the Securities and Exchange Commission. Forward-looking statements include statements regarding the Company's expectations, beliefs, intentions or strategies regarding the future and can be identified by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," and "would" or similar words. The Company assumes no obligations to update the information included in this press release.

Network Engines and the Network Engines logo are trademarks of Network Engines, Inc. All other registered and unregistered trademarks in this document are the sole property of their respective owners.