PeopleSoft Extends Market Lead With New Release of Enterprise Service Automation; Advanced Capabilities and Global Functionality Fuel Momentum.

Business Editors/High-Tech Writers

PLEASANTON, Calif.--(BUSINESS WIRE)--May 14, 2002

PeopleSoft Inc. (Nasdaq:PSFT) today announced the general availability of PeopleSoft Enterprise Service Automation (ESA) 8.4. PeopleSoft ESA continues to gain strong market acceptance, with more than 180 customers licensing the product since its introduction in Q3 2001. The release of PeopleSoft ESA 8.4 includes new functionality designed to meet the unique requirements of global customers and customers in the public sector.

PeopleSoft ESA provides real-time visibility and control to manage spending on services as well as internal projects. The industry-leading solution has gained rapid market acceptance by enabling companies to reduce costs associated with securing contractors and managing resources, and streamlining the execution of projects across the enterprise.

Education and Government Customers Control Service Spend and Gain Efficiencies

PeopleSoft ESA 8.4 introduces key functionality to meet the specific needs of the Education and Government sector, including commitment control, fund accounting and services procurement. New Education and Government customers include Texas Education Agency, Internal Revenue Service (IRS) and the State of Connecticut.

The Texas Education Agency (TEA), a $35 billion education and funding source for Texas schools, recently deployed PeopleSoft ESA to manage its $50 million annual spend on the procurement of contract workers. "We are starting to have more control of the contract services we manage and are capable of making smarter decisions," said Bill Monroe, TEA's Chief of Operations. "Our goal, one we expect to beat, is to save $1 million per year. That's money that will go back into education, for targeted programs. PeopleSoft had tremendous vision to come up with a solution that spans multiple business areas. This is exactly what all organizations need to focus on."

Global Customers Benefit from Country-Specific Functionality

PeopleSoft ESA 8.4 introduces European country-specific functionality. The solution now supports Value Added Tax (VAT) in Contracts and European Expenses, including Per Diem, Mileage Reimbursement, and VAT configuration by expense type and country. This new functionality can increase efficiencies for global organizations that operate and manage projects across multiple countries.

"PeopleSoft ESA has revolutionized the way the Office of the Auditor-General of South Africa does business," says Kariem Hoosain, executive manager for Finance and IT at the South African public agency. "Before ESA, our management team received data that was 45 to 60 days old and our 2500 projects each year were managed via paper. Out-dated systems and our semi-manual contract and expense process delayed client billing by up to 60 days. Now with ESA, we have a pure Internet solution that will give us one source of data for all of our projects and resources. We also have an opportunity to expand into a truly real-time environment. ESA was a great fit with our business processes --almost right out of the box."

"At a time when companies are scrutinizing every dollar spent, PeopleSoft ESA can reduce operational costs by bringing key business processes online and providing real-time information to make informed decisions," said Renee Lorton, senior vice president and general manager of PeopleSoft Financial Management and ESA solutions. "PeopleSoft ESA's success illustrates that this industry-leading solution provides all customers -- both public and private sectors alike -- with untapped opportunities to reduce costs and improve performance."

In addition, PeopleSoft ESA 8.4 delivers expanded integration with Microsoft Project 2002 to provide enhanced project control functionality that includes project level budgeting, work breakdown structure support and activity level integration.

PeopleSoft ESA includes the following applications: Services Procurement; Resource Management; Contracts; Projects; Expenses; Mobile Time and Expense; Mobile Time and Expense -- Palm and Travel.

About PeopleSoft

PeopleSoft (Nasdaq:PSFT) is the world's leading provider of application software for the real-time enterprise. PeopleSoft pure Internet software enables organizations to reduce costs and increase productivity by directly connecting customers, suppliers, partners and employees to business processes on-line, in real time. PeopleSoft's integrated, best-in-class applications include Customer Relationship Management, Supply Chain Management, Human Capital Management and Financial Management. More than 4,700 organizations in 107 countries run on PeopleSoft software. For more information, visit us at www.peoplesoft.com.

Note to Editors: PeopleSoft and the PeopleSoft logo are registered trademarks. All other company and product names may be trademarks of their respective owners. Copyright (c) 2002 PeopleSoft, Inc. All rights reserved.