Pegasystems Targets Further European Growth Following Record 2005

Reading, Berks, 20 April 2006: Pegasystems Inc. (Nasdaq: PEGA), the leading provider of smart business process management (BPM) software, is poised for continued success in the UK and Europe, following a record year in 2005.

"Our success has been based on a highly targeted industry and account approach," confirms Peter Morris, vice president of sales, EMEA. "Over the past twelve months we have secured some major new clients, including Deutsche Telecom and Helphire Group plc, agreed a major enterprise workflow project with HSBC and completed go-live implementations with Nordea.

"With notable expansion across the financial services, insurance and telecom markets, as well as consolidation of our UK public sector business, Europe plays a significant role in the success of our company globally," he adds.

As recently as 2002, Pegasystems Europe accounted for just 16 per cent of the company's total revenues and by the end of 2005 this had grown to 29 per cent. "We are pleased with the success of our European operations," says Morris "and, as part of our long-term plan, we aim to build on recent successes by continuing to invest heavily in Europe, to capitalise on the growth opportunities which the BPM market offers."

Local support

Much of Pegasystems' success reflects the company's increasing commitment to local markets. "In addition to our Reading, UK-based European headquarters, we have, for example, appointed a Brussels-based BPM professional in Jean-Pierre Phillips, to drive growth across the French-speaking territories including France and Benelux," says Morris.

"Similarly, Madrid-based Maria Cox heads up our Southern European sales operation. In addition, we have built a strong partnership with end-to-end IT services specialist, Steria, in developing our business in Central Europe — in particular the German-speaking territories. Looking ahead, we plan further recruitment in Germany in particular as part of our continuing expansion plan."

Bringing IT and business together

Critically, unlike many competitors, Pegasystems takes a highly pragmatic approach to BPM development in its target markets. "We have a unique ability to bring together IT and the broader business very early in the development process," believes vice president and managing director, EMEA, David Wells.

"Our goal for 2006 is to make a real strategic impact across our existing enterprise customer base, adding value by improving their cost base, revenues and compliance capability," he confirms. "We also plan to extend our portfolio of customers for BPM and Business Rules throughout our target markets and geographies."

To reinforce the commitment to its European customers, Pegasystems once again plans to hold its BPM Conference in London in May 2006. "We hope to build on our success last year, when more than 200 delegates attended," says Wells. "This is a very exciting time for Pegasystems as we develop our market presence as the leader in BPM."

Morris agrees and adds: "Whatever the business driver for improving an organisation's systems — whether operational efficiency, cost reduction, revenue growth or customer satisfaction — our integrated, single platform approach combined with rich sector-specific experience enables Pegasystems' clients to use BPM to unlock real value within their business."

"In short," he concludes, "Pegasystems continuing success in what is a highly fragmented sector is based on our recognised ability to bring clarity to the BPM market."

Notes to Editors

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

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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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