Seagull Software Positioned in Leader Quadrant in Analyst Firm's 2005 Magic Quadrant for Programmatic Integration Servers

ATLANTA, GA – 17 March 2005

Seagull Software (AEX: SEAGULL), announced today that it has been positioned by Gartner, Inc., an independent research and advisory firm for the IT sector, in the leader quadrant of the "Magic Quadrant for Programmatic Integration Servers, 2005," which describes software solutions that focus on the non-invasive, programmatic integration of legacy applications to construct composite applications, increasingly through a service-oriented architecture (SOA).¹

Seagull Software has been evaluated based on the development and deployment characteristics of the company's products, as well as Ability to Execute, which includes criteria such as product worthiness, corporate viability, partnerships and completeness of functionality.²

According to Gartner, Inc., leaders are vendors that are performing well today, have a clear vision of market direction and are actively building competencies to sustain their leadership position in the market. "Seagull Software is proud to be positioned in the leader quadrant in the Magic Quadrant for Programmatic Integration Servers," said Don Addington, Seagull Software CEO and President.

"Seagull Software's Transidiom^® was one of the first programmatic integration solutions available on the market, and has been embraced by large enterprises around the world such as Inland Revenue, Prudential Relocation, Fifth Third Bank and Cox Communications to rapidly SOA-enable enterprise business applications. We will continue to strengthen our position in the market by innovating and adding new features based on customer requirements."

Footnotes:

1. Gartner "Magic Quadrant for Programmatic Integration Servers" by D. Vecchio. 25 February 2005, G00125176.

2. Gartner "Magic Quadrant Evaluation Criteria for the Programmatic Integration Server Market" by D. Vecchio. 25 February 2005, G00125176.

Magic Quadrant Disclaimer

The Magic Quadrant is copyrighted 2005 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About Seagull Software

Seagull Software specializes in technology that transforms "legacy" applications into SOA-compliant Web services, helping enterprises achieve exponentially faster IT support for business change, governance and compliance. Our LegaSuite^® software platform includes integration, GUI, BPM and terminal emulation technology. With LegaSuite, customers connect legacy applications on IBM mainframe, ICL mainframe, iSeries, UNIX/VT and Windows client/server platforms to the Web, to other middleware and to newer-generations of applications such as portals, CRM and SCM. LegaSuite is based on open standards including Web services, XML, J2EE and .NET. Powerful and innovative tools require no coding, which means rapid results, reduced risk and no maintenance burden. Committed to providing the best customer experience in the industry, Seagull SoftwareÕs technology is in use in more than 8,000 business and government organizations worldwide, and by millions of end users. Seagull Software has direct operations in the United States, the Netherlands, UK, France, Germany and Australia, supplemented by distributors serving approximately 30 additional countries. For more information, visit www.seagullsoftware.com.

NOTE TO EDITORS: The correct usage of our company name is Seagull Software.

Forward-Looking Information: All statements in this press release which address operating performance, events or developments that we expect or anticipate will occur in the future, including statements expressing general optimism about future operating results and non-historical information, are forward-looking statements. These forward-looking statements are, and will be, based on management's then-current views and assumptions regarding future events and operating performance. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially, including, but not necessarily limited to management's ability to manage growth, and hire and retain qualified employees; unpredictable customer demand; intense competition; rapid technological change; unpredictable market acceptance of new products; and market instability and/or reduction in software purchasing caused by exceptional circumstances.