Highmark Life & Casualty Group Deploys Pegasystems Business Process Management; Five-Week Deployment Provides National Sales and Service Support

CAMBRIDGE, Mass., Oct. 11, 2005 — Pegasystems Inc. (Nasdaq: PEGA), the leader in smart business process management, today announced that Highmark Life & Casualty Group, a Pennsylvania-based provider of ancillary employee-benefit coverage and services, has deployed Pega Customer Process Manager solution framework to support the company's sales and service throughout the US. Selected only five weeks earlier, the rapid deployment demonstrates the accelerated development environment provided by Pegasystems SmartBPM.

Pegasystems SmartBPM, which integrates with legacy and other back-end systems, optimizes service to help companies meet customer needs. Pegasystems' customer-service solutions anticipate the needs of both the customer service representatives (CSR) and Highmark Life & Casualty members by providing the tools necessary to deliver unparalleled service across all information channels.

"We are committed to making it as easy as possible for our customers to do business with Highmark Life & Casualty and working with Pegasystems has enabled us to continue to enhance our services," said Matthew Piroch, CIO, Highmark Life & Casualty Group. "The rapid 'go live,' in only five weeks, was exactly what we needed, and Pegasystems delivered."

Pegasystems' rules-based solution provides the power to respond quickly to changes in organizational objectives, market opportunities, and industry regulations; and its fully integrated customer-service capability allows for higher levels of CSR productivity and increased member satisfaction.

Jay Sherry, vice president, Solutions and Marketing, Pegasystems, commented, "Pegasystems' Customer Process Manager continues to lead the market in automation, flexibility, and guided processing. We are delighted to add Highmark Life & Casualty to our roster of leading customers, and look forward to helping them continue to provide top-level service to their members."

About Pegasystems

Pegasystems (NASDAQ: PEGA) develops strategic applications for marketing, sales, service, and operations. Pega’s applications streamline critical business operations, connect enterprises to their customers seamlessly in real-time across channels, and adapt to meet rapidly changing requirements. Pega’s Global 3000 customers include many of the world’s most sophisticated and successful enterprises. Pega’s applications, available in the cloud or on-premises, are built on its unified Pega 7 platform, which uses visual tools to easily extend and change applications to meet clients’ strategic business needs. Pega’s clients report that Pega gives them the fastest time to value, extremely rapid deployment, efficient re-use, and global scale. For more information, please visit us at www.pega.com.

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The information contained in this press release is not a commitment, promise, or legal obligation to deliver any material, code or functionality. The development, release and timing of any features or functionality described remains at the sole discretion of Pegasystems, Pegasystems specifically disclaims any liability with respect to this information.


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