IBM Awarded 'Smart Tolling' Project by Queensland Government

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ARMONK, NY and BRISBANE, AUSTRALIA - 19 Mar 2008: Queensland Motorways has awarded IBM (NYSE: IBM) a technology and services contract to introduce automated free-flow tolling across south east Queensland's toll roads. The 'smart' system will use the latest traffic management and business intelligence technologies to initially provide drivers with a variety of cashless billing options -- via transponder, license plate recognition or post-toll payments -- that will expedite auto travel, reduce green house gas emissions and decrease traffic congestion for motorists.

Queensland Motorways owns and operates critical road and bridge infrastructure in Queensland including the Gateway Bridge, the Logan Motorway, the Gateway Extension and the Port of Brisbane Motorway.

IBM has been appointed as the systems integrator responsible for the solution design and infrastructure development of the Central System. The company will provide consulting services, IT infrastructure and software.

The initial design and infrastructure development phase of the project -- valued at A$9M -- will commence in early 2008, with plans for the final build stage to be contracted in 2009. In total, the project is a A$22 M program, over a period of 18 months.

The Brisbane road tolling project is part of a growing trend among major global cities where 'smart transportation' initiatives are being deployed using new models and technologies to address the impacts of mass urbanization.

"Queensland's motorists will gain substantial benefits in time savings, reliability and improved safety with the planned technological improvements to our toll road network," said Mr. Phil Mumford, Chief Executive Officer, Queensland Motorways Limited.

"Queensland Motorways is working with IBM to deliver the best technology and services for motorists, and to make the transition smooth, reliable and user friendly. Our objective is a cost effective system that will meet current and future needs."

"IBM is pleased to be selected for this important transportation project," said Sarah Adam-Gedge, Partner, IBM Global Business Services, Australia & New Zealand. "We believe that innovative intelligent transportation solutions are playing a significant role in helping cities reduce congestion, improve their environments and enhance the quality of life for citizens."

IBM is currently working with a number of cities -- including London, Stockholm and Singapore -- to address multi-modal traffic management and congestion challenges using automated tolling, congestion charging, real-time traffic prediction and intelligent route planning. In addition to a global team of IT services professionals, the company has dedicated a team of 150 research scientists, across multiple labs, to work on intelligent transportation technologies and solutions, including researching, testing and developing new traffic information management capabilities.

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