Segue Software and Shunra Software Align to Provide Comprehensive Performance Test Environment.

LEXINGTON, Mass. & NEW YORK -- Segue Software, Inc. (NASDAQ-SCM: SEGU), the leader in Software Quality Optimization(TM) (SQO(TM)), and Shunra Software, the leading provider of application and network performance optimization solutions, today announced the signing of a worldwide integration and reselling agreement. Under the terms of the agreement, Shunra(R) will resell SilkPerformer(R), an enterprise load and performance testing solution from Segue(R), to complement the capabilities provided by Shunra Virtual Enterprise (Shunra VE), a powerful production network environment emulation solution. This agreement builds on the relationship already established between the two companies as a result of integration previously developed between SilkPerformer and Shunra VE. Through the technical integration, SilkPerformer load tests can be automatically initiated and run from within the Shunra VE console.

Shunra VE is a highly flexible solution that creates an accurate replica of any production network environment including the network, remote locations and network traffic. With Shunra VE, users can safely test applications and infrastructure under a near limitless variety of network scenarios and discover and resolve problems before they impact critical business processes in the production environment.

SilkPerformer is a powerful, yet easy to use, enterprise-class performance testing solution for optimizing the performance of mission-critical applications. SilkPerformer complements the functionality provided by Shunra VE by placing load on the application and IT infrastructure from any geographic location, accurately modeling end-user behavior and software usage patterns.

Together, SilkPerformer and Shunra VE provide a comprehensive end-to-end environment for accurately testing the functionality, scalability and performance of applications and infrastructure under real-life conditions. The accuracy achieved through this combined approach creates an environment that is as close to the production environment as possible, thereby eliminating the guesswork--and business risk--of deployment to the live environment. Performance issues--whether in the network, system infrastructure or application--can be identified and resolved proactively, ensuring business success from day one of operation.

"Segue and Shunra offer a comprehensive solution that enables organizations to optimize system performance before the system is actually in production. This offering is very attractive for any organization needing to validate performance expectations of business-critical applications and systems in a 'safe' environment, prior to deployment," said Andre Pino, Chief Marketing Officer, Segue Software. "Our alliance with Shunra underscores Segue's vision of software quality as a holistic process infused throughout the entire application lifecycle."

"Shunra and Segue are both clearly committed to helping customers take the risk out of application rollouts. Therefore this partnership will be very beneficial to customers who want to ensure service level compliance, before deployment into production," said Tom Vyrostek, Director of Strategic Alliances for Shunra Software. "Our partnership with Segue further expands our end-user automation capabilities, and enables us to offer joint customers a unique testing solution that provides the most accurate way to expose distributed applications to life-like production conditions and identify and resolve performance problems quickly--before they impact the business."

About Segue Software

Segue Software, Inc. (NASDAQ-SCM: SEGU) is a global expert in delivering solutions to define, measure, manage and improve software quality throughout the entire software application lifecycle. Segue's Quality Optimization(TM) (SQO(TM)) solutions help companies reduce business risk, ensure the deployment of high quality software and increase return on investment. Leading businesses around the world, including many of the Fortune 500, rely on Segue's innovative Silk family of products to protect their business service levels, competitive edge and brand reputation. Headquartered in Lexington, Mass., with offices across North America and Europe, Segue can be reached at +1.781.402.1000 or http://www.segue.com.

About Shunra

Shunra's solutions empower organizations to address service level and performance concerns before rollout. The Shunra VE solution creates an exact replica of the production network environment, enabling IT professionals to safely develop, test and experiment with applications and infrastructure before deployment, and effectively plan for growth and change. Tailored for networking, performance and testing professionals, and software developers, Shunra VE facilitates collaboration across IT disciplines so IT organizations can quickly and more efficiently uncover and resolve problems before they impact the business. Over 1,500 leading enterprises and technology vendors worldwide are using Shunra's award-winning solutions including 3M, Boeing, Cisco, Dow Chemical, EMC, FedEx, General Electric, General Motors, JPMorgan Chase, Kelly Services, Merrill Lynch, Motorola, Nestle, Pitney Bowes, and Vodafone. Shunra's headquarters is located in New York City, with a major development center in Israel, and additional worldwide offices in the UK, Sweden and India. Shunra is also supported through a global network of channel partners. For more information, please visit www.shunra.com.

Segue, the Segue logo, SilkTest and SilkPerformer are registered trademarks and Software Quality Optimization, SQO and SilkCentral are trademarks of Segue Software, Inc. Shunra is a registered trademark of Shunra Software. All other marks are the property of their respective owners.

This Press Release may contain statements that are "forward-looking" statements under the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by the use of the words "believe", "expect", "anticipate", "intend", "estimate", "assume", "outlook", "will", "should", and other expressions which predict or indicate future events and trends and which do not relate to historical matters. You should not rely on forward-looking statements, because they involve known and unknown risks, uncertainties and other factors, some of which are beyond the control of Segue. These risks, uncertainties and other factors may cause the actual results, performance or achievements of Segue to be materially different from the anticipated future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements were based on information, plans and estimates at the date of this press release, and we do not promise to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes.