SEGU Segue Software (MM)

Demonstrates Market Acceptance of Software Quality Optimization Strategy Segue Software, Inc., (NASDAQ-SCM: SEGU) the leader in Software Quality Optimization(TM) (SQO(TM)), today announced that it closed several hundred enterprise deals in the first half of 2005. This solid pace occurred during the execution of Segue's SQO vision and strategy, announced by the Company last year. The old approach to software quality--that of a stand-alone, post-development, pre-deployment process--is not adequate to ensure high quality applications; as a result of this inefficient approach, businesses are continually plagued with costly software quality issues. However, SQO is a new approach to software quality that views quality holistically--throughout the entire software application lifecycle. The goal of Segue's SQO offering is to help customers achieve zero-defect software delivered on time, eliminating the costs and business risks associated with the delivery and release of new or updated applications. To support this new approach, Segue(R) has transitioned its advanced testing solutions into a comprehensive platform to support quality throughout the application lifecycle. As a result, Segue's SQO vision has become the catalyst for producing higher quality software and a logical next step for organizations that understand the critical role quality software applications play in meeting strategic business objectives. Organizations throughout the United States including, Alcatel, Arizona Public Service Company, Blackboard, Cisco Systems, U.S. Department of Consumer and Business Services, Discovery Communications, EarthLink, Genentech, Great Lakes Educational Loan Services, Houghton Mifflin Company, Macromedia, Manhattan Associates, McAfee, NCS Pearson, Pacific Gas & Electric Company, ScanSoft, Scholastic Book Fairs, Staples, the State of California EDD, Teradyne, Thomson Prometric, TJX Companies, Verizon, Walmart.com, Washington Post, Yahoo! and Zoll Data Systems have each adopted Segue's SQO solutions. "The unique ability Segue offers to support quality across the entire application lifecycle is one of the reasons we selected SilkTest for our functional and regression testing needs. We have been well-supported via both the technical support and training services provided to us by Segue," said Jackie Favis, QA Automation Engineer, ScanSoft, Inc., a global leader of speech and imaging solutions. "SilkTest will provide a strong value proposition to ScanSoft by enabling us to thoroughly test our applications throughout the software development process, shorten cycle times and decrease time to market." Segue also made solid gains internationally, closing deals with leading organizations including Adobe Systems Canada, Deutsche Vermoegensberatungs, HUK-Coburg, HypoVereinsbank, InPs Enterprise Solutions, Mediametrie, Mueller, o2, Siemens, T-Systems and Telefonica. "We are strong believers in a lifecycle approach to optimizing software quality and see Segue as a visionary in embracing this concept," said Peter Gitt, director of information technology at Frankfurt-based Deutsche Vermoegensberatung AG, the largest stand-alone financial services distributor worldwide, with some 32,400 financial consultants and 3.8 million private clients. "Managing quality holistically, from a lifecycle perspective, is the only way to produce higher quality software and realize value from application investments. Segue's SilkCentral platform enables us to continually improve software quality throughout the entire application lifecycle - from early testing through to production." Segue's integrated suite of products include the industry's most powerful and easy-to-use automated solutions for testing, tuning and monitoring enterprise applications. Segue's SilkCentral(TM) Quality Optimization Platform defines, measures, manages and improves software quality from development through deployment and into production. It incorporates all of the existing Silk family of products, as well as those from other companies, into one, cohesive software quality platform. SilkCentral's quality dashboard provides project teams and management with full visibility into all quality-related activities and quality metrics. Collectively, Segue's solutions address the full range of reliability and performance challenges across the entire lifecycle of an application. "Businesses are tired of the high costs associated with poor quality software applications," said Andre Pino, chief marketing officer, Segue Software. "Our vision for managing software quality throughout the application lifecycle has been resonating well as businesses around the world continue to adopt our SilkCentral quality platform and technologies for their software quality needs. As we enter the second half of 2005, we will continue our efforts to deliver innovative solutions to help our customers as they strive to reach the goal of defect-free software and realize the business value derived from Software Quality Optimization." About Segue Software Segue Software, Inc. 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, Europe and Asia, 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, SQO and SilkCentral are trademarks of Segue Software, Inc. All other marks are the property of their respective owners. This Press Release may contain statements that are "forward-looking" statements under the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by the use of the words "believe", "expect", "anticipate", "intend", "estimate", "assume", "outlook", "will", "should", and other expressions which predict or indicate future events and trends and which do not relate to historical matters. You should not rely on forward-looking statements, because they involve known and unknown risks, uncertainties and other factors, some of which are beyond the control of Segue. These risks, uncertainties and other factors may cause the actual results, performance or achievements of Segue to be materially different from the anticipated future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements were based on information, plans and estimates at the date of this press release, and we do not promise to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes.