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IBM and Peregrine Systems® Sign Strategic Alliance Agreement To Help Organizations Better Manage Their Business and IT Infrastructure

Alliance Accelerates Customer ROI By Delivering Peregrine's Infrastructure Management Applications Optimized On IBM e-business Infrastructure Technology

White Plains, NY & San Diego - 24 Apr 2002: -- IBM and Peregrine Systems, Inc. (NASDAQ: PRGN) today announced a strategic alliance agreement to jointly deliver infrastructure resource management (IRM) solutions to customers in the public sector, telecommunications and financial services industries. IRM enables customers to automate the process of identifying, managing, tracking and servicing their business and IT infrastructure -- resulting in increased service levels and improved employee productivity.

According to multiple industry analyst estimates, the composite IRM marketplace in 2002 is estimated to be worth more than $4 billion and is expected to gain momentum in the coming years as the benefits of an integrated approach to IRM become better understood. IRM software and services encourage organizations to break down traditional barriers in order to improve operational efficiencies and reduce total cost of ownership.

"This agreement represents a milestone in our relationship with Peregrine as we look to expand into new high growth solution areas and brings even greater value to our customers," said Gary Bullard, general manager, Global Solutions, IBM. "As a leader in infrastructure management technology, Peregrine solutions represent an important addition to IBM's offerings."

Under the terms of the strategic alliance agreement, IBM and Peregrine commit to worldwide joint marketing, collaborative selling, implementation services, software integration and performance optimization. IBM will incorporate Peregrine solutions in their industry solution maps and promote Peregrine as a leading Infrastructure Management solution in the public sector, financial services and telecommunications industries. IBM Global Services (IGS) IRM global practice will provide consulting, customization and integration services that leverage Peregrine applications.

Peregrine's AssetCenter, ServiceCenter and Get-It software applications will be optimized for IBM DB2* database software running on IBM eServer* pSeries*, xSeries* and zSeries* computing platforms. In addition, Peregrine's applications will integrate with the WebSphere* MQ family of products and be optimized for WebSphere Application Server. Peregrine's Get-It application will integrate with WebSphere Portal Server and integration capabilities for Lotus and Tivoli software will be further optimized.

"Our customers want integrated infrastructure management solutions that address their specific business needs and are optimized for their IT environments," said Steve Gardner, Peregrine's chairman and CEO. "IBM's deepened commitment to infrastructure management and Peregrine's commitment to the IBM platform demonstrate how we will work together to provide mutual benefits to our global customers."

This strategic alliance is a natural expansion of the current relationship between IBM Global Services and Peregrine. Since August 2001, IBM Global Services and Peregrine have worked together to implement infrastructure management solutions at more than 100 customer sites including Amtrak, Carrefour, Halliburton, Panasonic and UPM Kymmene.

"IBM and Peregrine are a great fit together," said Jim Flanagan, senior director of the Enterprise Operations and Engineering Division at Amtrak. "As Amtrak moves into the future, we expect the Infrastructure Management solution they have jointly provided Amtrak will help us better manage costs, enhance our infrastructure security and more effectively manage our resources."

The Peregrine strategic alliance is another example of IBM's commitment to go-to-market with leading independent software vendors (ISVs) through the PartnerWorld* for Developers program ( www.developer.ibm.com). Under this initiative, IBM has signed agreements with recognized software leaders. These alliances target industries such as financial services, retail, manufacturing, and solution segments including enterprise resource planning, supply chain management, customer relationship management and business intelligence. The goal is to provide developers with access to new customers and revenue opportunities through IBM's marketing, sales, and solutions resources. In return, developers commit to lead with IBM's middleware, server platforms, and services in offerings to customers. More news and information on IBM's Strategic Alliance Initiative and the PartnerWorld for Developers program will be available at developerWorks Live! ( www-3.ibm.com/events/ibmdeveloperworkslive), IBM's technical conference for software developers, May 7-10 in San Francisco.

Contact(s) information

Leigh Ann Fowler
IBM Media Relations
(512) 286-3251
lafowler@us.ibm.com

Susan Mirialakis
IBM Media Relations
(914) 642-5407
suemiri@us.ibm.com

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