SAIC and PeerLogic Offer Mainframe Cost Reduction Solution to Federal Agencies.

Business/Technology Editors

SAN FRANCISCO--(BUSINESS WIRE)--May 4, 2000

PeerLogic(R), Inc., a leading supplier of enterprise-class business integration software, announced today that its LiveContent(TM) TRANS(TM) cost reduction software has been added to the General Services Administration (GSA) IT schedule by Science Applications International Corporation (SAIC). This makes the commercially proven middleware available to federal agencies for the first time.

LiveContent TRANS provides an IBM mainframe-compatible software environment on leading UNIX and Microsoft Windows NT servers, enabling organizations to re-host legacy applications on powerful, low-cost systems, resulting in substantial annual operational savings.

The GSA contracts with commercial firms such as SAIC to provide supplies and services to federal agencies. With LiveContent TRANS on SAIC's GSA IT schedule, any federal agency now can purchase the software. SAIC supplies products and services from many commercial companies to the GSA, Internal Revenue Service, Department of Defense, and other government agencies.

"With PeerLogic's LiveContent TRANS software on our GSA IT schedule, we can provide federal agencies with first-time access to a complete solution to reduce IT costs and preserve legacy investments in large mainframe applications," said Tony Fleury, program manager for SAIC's GSA IT schedule. "With our established mainframe skills and experience, and PeerLogic's software, we can help government agencies reduce IT costs."

LiveContent software contains the equivalent of all leading software used to run large mainframe applications, including CICS transaction processing, VSAM indexed sequential files, DB2 and other relational database support, MVS and DOS/VSE batch job processing and job control language, together with all required communications connections. LiveContent TRANS has been installed at nearly 700 commercial customer sites in 50 countries.

"With about 1400 mainframes installed in federal agencies, the use of TRANS software on UNIX or Windows NT systems will save taxpayer dollars, and improve performance and customer service," noted Jon Brody, vice president of product marketing at PeerLogic. "Our experience with commercial customers shows that TRANS can dramatically reduce costs for most applications."

The LiveContent TRANS and LiveContent BATCH(TM) products make it possible to easily move mainframe CICS, COBOL, PL/1, VSAM, DB2 and batch applications from mainframes to UNIX or Windows NT servers with little or no change to the code or data. This enables these applications to run directly on low-cost, powerful open systems, usually with significant performance improvements. LiveContent also includes products for real-time performance monitoring, access control list-based security, SNA network integration, and intersystem communication. Commercial installations of LiveContent TRANS include Sony, Lloyds of London, Ultramar Diamond Shamrock, Atlantic Blue Cross Care, Banque Nationale de Paris, Motorola and Volkswagen.

About SAIC

SAIC is the nation's largest employee-owned research and engineering company, providing information technology and systems integration products and services to government and commercial customers. SAIC scientists and engineers work to solve complex technical problems in telecommunications, national security, health care, transportation, energy, the environment, and financial services. With annual revenues of $5.4 billion, SAIC and its subsidiaries, including Telcordia Technologies (formerly Bellcore), have more than 39,000 employees at offices in more than 150 cities worldwide. More information about SAIC can be found on the Internet at SAIC (www.saic.com).

About PeerLogic

PeerLogic, Inc., The LiveContent Company(TM), is a leading international supplier of eBusiness software delivering Web-to-enterprise solutions to more than 2000 customers worldwide. LiveContent(TM) integrates information systems to deliver XML and Java-based "smart content" to Internet portals. Firms depend on LiveContent for complete B2B and B2C applications supporting thousands of simultaneous users 24 hours a day. Leading companies like Banque Nationale de Paris, Bell Atlantic, British Aerospace, British Telecom, Critical Path, EDS, Entrust, Express Scripts, General Electric, Swiss Post, Vodafone AirTouch and Volkswagen rely on PeerLogic to safely extend their IT investments to the Internet economy and gain easily measured business results. Visit www.peerlogic.com.

SAIC Statement:

Statements in this announcement other than historical data and information constitute forward-looking statements that involve risks and uncertainties. A number of factors could cause SAIC actual results, performance, achievements or industry results to be very different from the results, performance or achievements expressed or implied by such forward-looking statements. Some of these factors include, but are not limited to, the risk factors set forth in the Company's Annual Report on Form 10-K for the period ended January 31, 1999 and Quarterly Reports on Form 10-Q for the periods ended April 30, 1999, July 31, 1999 and October 31, 1999. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.

Note to Editors: PeerLogic and the PeerLogic logo are registered trademarks of PeerLogic, Inc. LiveContent, LiveContent BATCH, and LiveContent TRANS are trademarks of PeerLogic, Inc. All other product or service names mentioned herein are the trademarks or registered trademarks of their respective companies.