Application Security, Inc. Reaffirms Database Security Leadership with 1000th Customer, New Product, Industry Recognition

Business Wire, April 8, 2008

Company More Than Triples Database Activity Monitoring Business

NEW YORK & SAN FRANCISCO -- Application Security, Inc., the leading provider of database security solutions for the enterprise, today announced significant customer, product and industry milestones. First, the company has passed the 1,000 customer mark -- evidence that leading enterprises are taking decisive steps to ground their security and compliance efforts in the databases where sensitive information lives. Demand for the firm's activity monitoring capabilities was particularly strong: Revenue for this component of the DbProtect[TM] suite increased by more than 300% in 2007.

"While customers turn to us for a complete database security solution, the explosive growth in activity monitoring was particularly gratifying for us and is attributable to our product innovation in that area combined with our commitment to integration with our industry-leading vulnerability assessment functionality," said Toby Weiss, president and CEO, Application Security, Inc. "In 2007, we started to deliver on the synergy between database scanning and monitoring, helping customers more simply extend their control framework to include their databases, thereby bolstering security and compliance initiatives. The new capabilities of DbProtect 2008.2, combined with our numerous partnerships, will expand on these synergies, giving customers greater control with less effort."

New Release of DbProtect:

The second major milestone for Application Security, Inc. is the launch of DbProtect 2008.2, which is being unveiled at RSA. DbProtect 2008.2, the newest version of the leading database security suite, has greatly enhanced reporting and dashboard capabilities. This new customizable reporting functionality is based on the Cognos infrastructure and features 100 report templates for trending, progress, privileged activity, patch-gap analysis and compliance.

"With the vast number of threats to sensitive data rapidly increasing, DbProtect helps organizations mitigate risks and detect increasingly malicious attacks. We selected DbProtect, the best-of-breed database security solution, for major DOD customer deployments, including the USAF," said Ron Dorman, vice president of Xacta Information Assurance Solutions, Telos Corporation. "DbProtect safeguards sensitive, enterprise-level database applications in sophisticated and sometimes hostile computing environments. Through its native regulatory compliance templates and easy-to-use reporting module, Application Security, Inc. has developed a comprehensive data protection solution that effectively builds compliance into the database."

Enhanced ArcSight Partnership:

Finally, the company will announce an expanded integration partnership with ArcSight to complete a strategic integration initiative around user and sensitive data monitoring. The integration of Application Security, Inc.'s DbProtect database security suite with ArcSight Common Event Format (CEF) Connectors provides ArcSight Enterprise Security Manager (ESM) with insight into database activity, ultimately enabling strengthened correlation capabilities for user and sensitive data monitoring across the entire security stack.

According to Gartner, "IT security organizations have made substantial investments in technologies and processes that are effective in protecting the IT infrastructure from broad external attacks. There is now a need to improve protection from today's more-damaging targeted attacks. The IT security organization is also under pressure to reduce the possibility of sensitive data loss and to help the business satisfy the demands of internal and external auditors for multiple regulations...This threat shift -- which will certainly continue -- is driving a need for improved data protection and activity-monitoring capabilities, as well as more-effective approaches to eliminate infrastructure and application security weaknesses."1

Please see our press releases on DbProtect 2008.2 and our enhanced ArcSight partnership for more information on those announcements.

Company and Product Milestones:

* Revenue for the database activity monitoring component of the DbProtect suite increased by more than 300% in 2007.

* The company has now surpassed the 1000-customer mark, cementing DbProtect as the No. 1 database security solution in the industry.

* In 2007, Application Security, Inc. achieved unprecedented revenue and industry sector growth:

[TABLE OMITTED]

* Application Security, Inc. announced in 2007 a partnership with IBM Global Services, the world's largest technology services and consulting provider, to deliver an integrated data security solution - IBM Data Security Services. Coupled with other leading security solutions, DbProtect will provide database security. At RSA, key members of the AppSec team will present in the IBM booth, demonstrating the critical nature of database security for the enterprise. A joint national roadshow is planned for the spring.

Industry Recognition:

* In 2007, Application Security, Inc. was recognized by Inc. magazine as being one of the fastest-growing companies in America, the only database security firm to make the prestigious Inc. 500 List.