Gensym Releases Business Process Rule Engine; G2 Platform Adds BPEL with Version 8.1

Business Wire, May 26, 2005

BURLINGTON, Mass. -- Gensym Corporation (OTC Bulletin Board: GNSM), a leading provider of rule engine software for mission-critical solutions, today announced the immediate availability of version 8.1 of its flagship G2(R) real-time rule engine platform. G2 8.1 adds support for the widely adopted Business Process Execution Language standard, or BPEL, to enable the rapid creation and real-time execution of rule-driven business processes. With G2 8.1's addition of BPEL and other new capabilities, Gensym is extending the leadership position of G2 for automating mission-critical decisions in real time for such industries as manufacturing, telecommunications, military, transportation, aerospace, and finance.

"G2 8.1 expands the rule engine capabilities of our award-winning, next-generation release of G2, version 8.0, in 2004," said Kim Mayyasi, Gensym's president and CEO. "We are especially excited about G2 8.1's support for BPEL through a new high-performance graphical language that models and executes sequential business logic. With the addition of BPEL, G2 users can readily combine real-time rule logic and business process flows within their mission-critical solutions. We expect that this important new capability will be valuable for the growing number of G2 users that are automating the real-time coordination of business and work flow processes."

"Beyond the addition of BPEL, G2 8.1 delivers major new capabilities that enhance usability for end users and increase productivity for application builders," said Philippe Printz, Gensym's vice president of engineering. "For example, users will better visualize information important to real-time decision making through a rich set of new 2D and 3D graphing options. And application builders will save valuable time and effort through new interactive debugging features."

Partners Adopt G2 8.1

"Partners are central to Gensym's business strategy," added Printz. "We worked very closely with our partners in designing and testing G2 8.1's new capabilities. Partner feedback has been very positive about G2 8.1 and the potential for BPEL. For example, G2 8.1's new BPEL capability will become a foundation for one partner's solution that coordinates manufacturing material and work flows in real time."

"We are introducing a G2 solution that supports time-critical financial trading decisions," said Guillermo Abadia, president of Lumitec, Inc., a U.S. based Gensym partner that provides software tools for securities traders. "Even very small improvements in these types of decisions can yield large paybacks. Our solution takes advantage of G2's rule-engine platform to enable trading specialists to rapidly develop, test and then deploy better decision logic and algorithms for automated trading. We have been working to embed G2 8.1's new capabilities, including BPEL, into our solution. These capabilities are speeding up development versus using traditional programming and will differentiate our solution in the financial trading marketplace."

G2 8.1 Capabilities

G2 8.1's new capabilities include:

--Standards-based business process modeling: G2 8.1 supports the BPEL standard through a powerful new graphical language that represents sequential logic and automates the execution of rule-driven business and work processes. BPEL-defined processes can be imported from and exported to other systems via XML.

--Enhanced usability: G2 8.1 incorporates many new features that greatly enhance usability for both end users and application developers. These include redesigned 2-D and 3-D charting, configurable tree views of application contents, flexible grid views of application data, a calendar display, additional connection display options, embeddable HTML views, and more.

--Greater developer productivity: G2 8.1 cuts development time and effort with the addition of new interactive debugging features and a new function for simplifying modeling and reasoning about the physical distances between objects.

About Gensym Corporation

Gensym Corporation (www.gensym.com) is a leading provider of rule engine software and services for mission-critical solutions that automate decisions in real time. Gensym's flagship G2 software applies real-time rule technology for decisions that optimize operations and that detect, diagnose, and resolve costly problems. With G2, the world's largest organizations in manufacturing, utilities, communications, transportation, aerospace, finance, and government maximize the agility of their businesses and achieve greater levels of performance. Gensym and its numerous partners deliver a range of services throughout the world, including training, software support, application consulting, and complete solutions.

Gensym and G2 are registered trademarks of Gensym Corporation. All other trademarks are property of their respective owners.

This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any statements contained in this news release that relate to prospective events or developments are deemed to be forward-looking statements. These forward-looking statements are subject to important risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such risks and uncertainties include, but are not limited to, the acceptance of G2 version 8.1 by users, the impact of intense competition, the effectiveness of our indirect distribution channel and strategic relationships and the ability of our partners to effectively market and deliver their Gensym-based solutions, fluctuations in demand for our products, and the other risks and factors discussed in our most recent quarterly report filed with the Securities and Exchange Commission. Although we believe the expectations reflected in the forward-looking statements are based on reasonable assumptions, we can give no assurance that our expectations will be attained. We disclaim any intent or obligation to update any forward- looking statement as a result of developments occurring after the date of this news release.