Media Contacts:

Glenn R. Boyet

Scot Hoffman

Micro Focus

Financial Dynamics

(301) 838-5218

(212) 850-5600

Glenn.Boyet@microfocus.com

shoffman@fd-us.com

SPARDA-Datenverarbeitung SELECTS MICRO FOCUS COMPONENT GENERATOR TO UNLOCK THE POWER OF LEGACY

-- Sparda chooses Micro Focus for efficient and cost effective method of modernizing critical bank application with new Java-based front end --

ROCKVILLE, Md. and ISMANING, Germany, June 2, 2004 - Micro Focus International Ltd. (Micro Focus®), the leading provider of COBOL application development and deployment software, announced today that Sparda-DatenverarbeitungeG has selected Micro Focus Component Generator® to deliver new Web-based composite applications that reuse existing legacy assets. Sparda-DatenverarbeitungeG is the IT service provider of Sparda-Bank, PSD Bank and NetBank in Germany. By using this innovative technology, Sparda is unlocking valuable mainframe COBOL applications to improve service to its branch customers while laying the groundwork for use of newer technologies such as Web services.

Sparda-Bank uses a terminal-based mainframe application for customer and account management, which has been in production for many years and drives their business. To remain competitive with other financial institutions, Sparda needed to offer new products and services to their customer base, such as internet banking. Their primary challenge was to find a way to quickly and easily integrate the existing business processes locked within their mainframe COBOL applications with browser-based e-business systems written in Java - and doing this with low risk and no impact to their existing day-to-day business.

Using Micro Focus Component Generator, Sparda's COBOL developers will be able to save time and money by identifying the mainframe transactions that represent complete business processes and generate industry-standard EJBs that provide access to them without coding in Java, or altering the mainframe applications. The COBOL developers, who understand the mainframe applications but don't have Java skills, will be able to deliver working, tested EJBs to the Java development teams for presentation assembly quickly and efficiently.

"By reusing and unlocking the inherent value of our legacy applications, we can more quickly provide new products and technical innovations for our customers," said Michael Schlag, head of application development at Sparda-Datenverarbeitung. "Partnering with Micro Focus will allow us to take a new approach to delivering the latest solutions with low cost and risk."

Component Generator allows the capture of complete legacy application business process and automatically generates reusable, industry standard components in the form of JavaBeans, EJBs, COM and XML for use throughout the enterprise. It delivers an open standard solution that ensures future flexibility with respect to technology options and doesn't require specialized Java or middleware expertise.

"It is not surprising that industry leaders like Sparda are looking for solutions that create further value from legacy technologies," said Ian Archbell, vice president for product management at Micro Focus. "We are delighted that Sparda shares our vision of the critical importance legacy systems and applications play in today's enterprise, and we are committed to the success of its composite application initiatives."

About Micro Focus

Micro Focus is the leading provider of COBOL application development and deployment software for contemporary platforms and architectures. Micro Focus enables organizations to unlock the value of their legacy by reusing their business-critical assets, resulting in reduced costs, increased agility and minimal risk. Founded in 1976, Micro Focus is a global company with principal offices in the United Kingdom, United States and Japan. For more information, visit www.microfocus.com.

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Micro Focus is a registered trademark of Micro Focus International Ltd. All non-Micro Focus products mentioned in this announcement are property of their respective owners.