Sage Software Enters ASP Agreement With IBM; Company States That Resellers to be Integral in Providing MAS 90, MAS 200 and Sage Enterprise Suite to Customers Through Proven ASP Model

Business Wire, July 10, 2000

Business Editors and High-Tech Writers

IRVINE, Calif.--(BUSINESS WIRE)--July 10, 2000

Sage Software, Inc., a leading provider of business management and accounting software, Monday announced that it will offer its Sage MAS 90 and MAS 200 product lines, along with Sage Enterprise Suite, via the Internet through an Application Service Provider (ASP) agreement with IBM.

The new service, which will be available for MAS 200 after the completion of a pilot program to be launched early next month, will be offered through Sage's existing reseller network and will include all current module offerings, including e-Business Manager, financial and distribution software suites.

"In this rapidly changing marketplace, we're in a position to help our customers maximize the benefits of the Internet, lower their own costs and provide more flexible solutions to their end-users," said David R. Butler, president and chief operating officer of Sage Software.

"Our resellers will play an integral role in the process as they are the best equipped to help their customers identify and implement the most cost-effective solutions for their businesses."

Under this agreement, IBM will host Sage's products in its hosting facility in Rochester, N.Y. By using MAS 90, MAS 200 or Sage Enterprise Suite as an Internet-based service, Sage customers will avoid the cost and complexity of implementing stand-alone systems on their own. Sage will create and maintain its ASP infrastructure and utilize its reseller network to provide its solutions to customers.

The ASP model will be fully engineered and developed by Sage Software with the needs of the company's resellers in mind.

"As the number of companies embracing the ASP model rises, a growing number of businesses will now be able to take advantage of the Internet and other e-business solutions," said Kathy Dodsworth-Rugani, director of IBM Hosting Services. "We are pleased about our new relationship with Sage and will work to help the company deliver the benefits of e-business to its customers as an ASP."

The timing and availability of support for Sage Enterprise Suite under this program will be announced later. Availability will be introduced first for financial and distribution modules, eventually encompassing all products within Enterprise Suite.

About Sage MAS 90 and MAS 200

Sage MAS 90 is an industry-leading accounting, distribution, manufacturing and e-business management software solution for medium-sized companies. Recommended by more CPAs than any other application in its class, this product suite offers a broad selection of feature-rich modules that empower customers with the ability to manage and grow their businesses more effectively.

A larger, more powerful addition to the product line is Sage MAS 200. This client/server application incorporates thin-client technology, resulting in more efficient distributed processing, high performance, enhanced data integrity and reliability, remote access support, and scalability. MAS 200 offers a version available on the Microsoft SQL Server 7.0 database management platform.

About Sage Enterprise Suite

Sage Enterprise Suite is the new name for the powerful combination of Sage's Acuity and Best Imperativ software product lines. Sage Enterprise Suite is optimized to meet the needs of enterprise companies with typically $25 million to more than $250 million in annual revenue.

It is a highly reliable, robust and integrated suite of applications covering all areas of enterprise e-business, including accounting, budgeting, distribution, human resources, payroll, enterprise financial reporting, and electronic commerce.

Natively created on Microsoft-compatible tools, technology and architecture, Sage Enterprise Suite is flexible, scalable and full-featured to represent a total business management solution.

About Sage Software, Inc.

With headquarters in Irvine, Sage Software (www.us.sage.com) is a wholly owned subsidiary of The Sage Group plc, the world's leading e-business management and accounting software solution provider with more than 2 million customers.

In order to provide all-encompassing e-business management solutions, Sage offers software from Sage Software and its sister companies Best Software, Inc. and Peachtree Software, Inc. Peachtree, Sage DacEasy and Sage BusinessWorks are just a few of the easy-to-use products offered with full accounting features needed by most small businesses of up to 50 employees.

Sage MAS 90 and client/server-based Sage MAS 200 are the leading accounting and e-business management software packages for medium-sized businesses with up to 500 employees, and are recommended by more CPAs than any other mid-range accounting product. Sage Enterprise Suite is the name for the powerful software combination of Acuity and Best Imperativ.

Sage Enterprise is perfect for larger businesses of 500 or more employees. Sage Enterprise is the integration leader with existing line-of-business applications, exemplified by three-time recognition for Best Technology Integration at the Microsoft Industry Solution Awards.