SEGU Segue Software (MM)

Segue Software, Inc. (NASDAQ-SCM: SEGU), a leader in Software Quality Optimization(TM) (SQO(TM)), today announced that Michael Sullivan has been promoted from Vice President of Finance to Chief Financial Officer, effective August 15, 2005. Douglas Zaccaro, who has served as Segue's Chief Financial Officer since 2000, will become Senior Vice President and Treasurer, responsible for legal affairs, investor relations and the treasury function. "Mike Sullivan's financial skills and in-depth company knowledge will enable us to effectively manage the Company's financial resources as we work to achieve our long-term goals and objectives. Doug Zaccaro has done an admirable job as our Chief Financial Officer, working with me and the senior management of Segue to turn the Company's operations around and stabilize our financial footing," said Joseph Krivickas, president and chief executive officer. "We are very pleased that our organization can continue to count on Doug's expertise in his new role with the Company." Mr. Sullivan, 40, joined Segue Software in 2000 as North American Controller. He was promoted to Corporate Controller in 2002 and, in 2004, to Vice President of Finance. Mr. Sullivan brings 17 years of accounting and financial management experience within several different industries, serving in increasingly responsible roles such as controller, corporate controller and CFO. Mr. Sullivan has a BA degree in economics from Dartmouth College and an MBA from Northeastern University. About Segue Software Segue Software, Inc. (NASDAQ-SCM: SEGU) is a global expert in delivering solutions to define, measure, manage and improve software quality throughout the entire software application lifecycle. Segue's Software Quality Optimization(TM) (SQO(TM)) solutions help companies reduce business risk, ensure the deployment of high quality software and increase return on investment. Leading businesses around the world, including many of the Fortune 500, rely on Segue's innovative Silk family of products to protect their business service levels, competitive edge and brand reputation. Headquartered in Lexington, Mass., with offices across North America and Europe, Segue can be reached at +1-781-402-1000 or www.segue.com. Segue and the Segue logo are registered trademarks and Software Quality Optimization and SQO are trademarks of Segue Software, Inc. All other company names and products are either trademarks or registered trademarks of their respective owners. This press release may contain forward-looking statements, such as our financial projections for 2005 and beyond. Forward-looking statements are statements that contain predictions or projections of future events or performance, and often contain words such as "anticipates", "can", "estimates", "believe", "expects", "projects", "will", "might", or other words indicating a statement about the future. The Company notes that any such forward-looking statements are subject to change and are not guarantees of future performance, and that actual results may differ materially from any such predictions or projections, based on various important factors and including, without limitation, the ability of the Company to continue to achieve positive cash flow and sustain profitability in this difficult economic and business climate; the ability of the Company to close large enterprise orders; the Company's transition to a new management team; the timing and success of introductions of our new products; market acceptance of recently-introduced products (including SilkCentral Test Manager 8.0) and updated releases; the effectiveness of our additional distributors and resellers; continued growth in license revenue; new products and announcements from other companies; the Company's continued access to capital; and changes in technology and industry standards. Additional information on the factors that could affect the Company's business and financial results is included in the Company's periodic reports filed with the Securities and Exchange Commission.