PNC Financial Services Expands Relationship with Ariba; Leading Diversified Financial Services Company Continues to Leverage Ariba Spend Management Solutions for Savings, Efficiencies and Competitive Advantage

Business Wire, August 1, 2006

SUNNYVALE, Calif. -- Ariba(R), Inc. (Nasdaq:ARBA), the leading spend management solutions provider, today announced that it has extended its relationship with The PNC Financial Services Group, Inc. (NYSE:PNC), one of the nation's largest diversified financial services organizations. PNC has been using Ariba as its platform for procurement since 2001. Under the terms of a newly-signed agreement, PNC will further leverage the Ariba Sourcing(TM) solution to drive savings and process efficiencies that can enhance its competitive advantage and drive future growth.

"At PNC, we recognized early on that implementing innovative technology and best practices allows us to effectively manage our spend and firmly establish ourselves as a best-in-class provider in the competitive financial services industry," said James Vespoli, Chief Purchasing Officer, PNC. "By leveraging Ariba's technology, commodity expertise and integrated services, we have been able to streamline our sourcing process and generate dramatic savings that improve our operating leverage and drive our growth."

The Ariba Sourcing solution combines industry-leading technology with deep commodity knowledge and services in a single, integrated offering to help companies make more efficient and strategic sourcing decisions. Through advanced RFX, real-time optimization, and auction capabilities, companies can be smarter and faster in their sourcing of the most complex categories of goods and services. And with Ariba's on-demand access to a wide variety of sourcing and category specialists, companies can generate sustainable, demonstrable bottom-line results.

"As we continue our efforts to drive excellence in procurement, we are implementing a category approach to sourcing that will allow us to deliver greater value for our organization," Vespoli said. "The Ariba Sourcing solution provides us with all of the tools we need to define and implement this strategy and accelerate the results we achieve."

"PNC was an early adopter of spend management solutions and is a terrific example of what can be accomplished with the right people, processes and technology in place," said Kevin Costello, Chief Commercial Officer, Ariba. "By expanding how it leverages Ariba Sourcing, PNC not only generates measurable savings but drives operational excellence to maintain its edge in the marketplace."

About The PNC Financial Services Group

The PNC Financial Services Group, Inc. (http://www.pnc.com) is one of the nation's largest diversified financial services organizations providing retail and business banking; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management; asset management and global fund services.

About Ariba, Inc.

Ariba, Inc. is the leading provider of Spend Management solutions to help companies realize rapid and sustainable bottom line results. Successful companies around the world in every industry use Ariba Spend Management software and services. Ariba can be contacted in the U.S. at 1.650.390.1000 or at www.ariba.com.

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Safe Harbor Statement under the Private Securities Litigation Reform Act 1995: Information and announcements in this release involve Ariba's expectations, beliefs, hopes, plans, intentions or strategies regarding the future and are forward-looking statements that involve risks and uncertainties. All forward-looking statements included in this release are based upon information available to Ariba as of the date of the release, and we assume no obligation to update any such forward-looking statements. These statements are not guarantees of future performance and actual results could differ materially from our current expectations. Factors that could cause or contribute to Ariba's operating and financial results to differ materially from its current expectations include, but are not limited to: delays in development or shipment of new versions of Ariba's products and services; lack of market acceptance of Ariba's existing or future products or services; inability to continue to develop competitive new products and services on a timely basis; introduction of new products or services by major competitors; the ability to attract and retain qualified employees; difficulties in assimilating acquired companies; long and unpredictable sales cycles and the deferrals of anticipated orders; declining economic conditions; inability to control costs; changes in the company's pricing or compensation policies; significant fluctuations in our stock price; the outcome of and costs associated with pending or potential future regulatory or legal proceedings; the impact of our acquisitions, including the disruption or loss of customer, business partner, supplier or employee relationships; and the level of costs and expenses incurred by Ariba as a result of such transactions. Factors and risks associated with its business, including a number of the factors and risks described above, are discussed in Ariba's Form 10-K filed December 7, 2005 and in its Form 10-Q filed May 15, 2006.