U.S. Patent Award Recognizes Integral's Technology Innovation in Web-Based Capital Markets Transactions.

Business & High Tech Editors

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Sept. 24, 2002

Integral Development Corp. announced that the US Patent & Trademark Office (USPTO) has recognized its innovative technology as unique.

The company has been awarded a patent for its system and method for conducting web-based financial transactions in capital markets. The patent will offer protection to Integral, its customers and their online business models in what has become a highly competitive environment. Integral filed the patent application in June 1999.

The technology was developed for the Integral Direct FX, Direct Derivatives, AutoDealer and Integral Financial Server products currently in use by banks and other financial institutions. The Integral patent protects the processes and online communication required for the negotiation, transaction, and settlement of over-the-counter (OTC) foreign exchange products, interest rate derivatives and money market instruments.

"This patent award is definitive validation of the ground-breaking innovation we have delivered to the financial markets over the past decade. This $100 million-plus technology investment is now protected for our customers and technology partners," said Harpal Sandhu, President and CEO, Integral. "Our customers have told us that intellectual property protection of their business models and their technology investments is a primary source of vendor risk and this official recognition of ownership reassures and gives them the green light to increase their investments in our technology."

Integral is in active conversation with a number of technology and financial service companies who intend to embed the technology in their eCommerce offerings. The company is also expanding its business partnering investment to train and certify technology partners who will be releasing products based on Integral technology.

In granting the patent to Integral, the USPTO states: "The present (Integral) invention provides a system and method that enables users to engage in capital markets transactions, including the trading of OTC financial products, via the Internet. The system includes a variety of servers, applications and interfaces that enable users to interactively communicate and trade financial instruments among one another and to manage their portfolios."

Mr. Sandhu, who is listed as an inventor with Integral's co-founder Viral Tolat, added that this patent was one of a series of applications that included the use of XML to represent financial instruments and the Internet as a medium for negotiating, transacting and processing financial products.

"A grant of patent is an indication of innovation," said Robert Iati, Research Director for TowerGroup. "Technology firms that consistently provide new, cutting edge ideas are the ones that financial service institutions seek out in their efforts to distinguish themselves from the competition."

The Integral patent #6,347,307 B1 is available for review at the USPTO or online at www.integral.com/patent6347307.htm.

About Integral

Integral's decade of innovation in capital markets technology has revolutionized financial services software development. The Integral Financial Server (IFS) represents the industry's most complete, open platform for the rapid development and deployment of capital markets applications globally using Enterprise Java (J2EE) and related web technologies. The Integral suite of applications includes: Integral Direct FX, Direct Derivatives, MarginMan and AutoDealer. Integral serves 40 of the world's leading financial market participants including: CitiFX, Citigroup Private Bank, Deutsche Bank, BNP Paribas, Mizuho Group, ABN/AMRO, JP Morgan, Hypovereinsbank, Westpac and Royal Bank of Canada. Integral is privately held. Investors include: Accel Partners, ABN/AMRO, AIG International, Bain Capital, Bank of America, CDB Webtech, Ignite Group, Nassau Capital and Pivotal Asset Management. Headquartered in Mountain View, California, Integral maintains sales and services offices in New York, London, Tokyo, Dublin, Singapore and Toronto. For more information, visit www.integral.com