UGS Grants $1 Billion in Software to Help the South Rebuild through Universities Across the Five States Directly Impacted by Last Year’s Hurricanes Katrina and Rita

Commitment to Historically Black Colleges and Universities (HBCUs) includes Partnerships with 100 Percent of the ABET Accredited HBCU Engineering Programs in Alabama, Florida, Louisiana, Mississippi and Texas

Friday, August 11, 2006, BATON ROUGE, La. and PLANO, Texas – UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced in-kind software grants with a list price commercial value of $1 billion to 50 colleges and universities in the five states directly impacted by last year’s Hurricanes Katrina and Rita – Alabama, Florida, Louisiana, Mississippi and Texas – in an effort to train skilled workers through world-class technology.

As a result of these grants, 7,000 undergraduate and graduate college and university students in the aforementioned states will now have direct access to UGS’ world-class PLM software, annually. The software helps students and faculty conceive, design, engineer and validate projects using the same tools that today’s leading global manufacturers employ. Technologists and engineers at leading companies such as Northrop Grumman and Oreck Corporation already use UGS’ PLM software in their product innovation efforts, joining global leaders like Procter & Gamble, Boeing, FMC Technologies, Ford, General Dynamics, General Motors, Hitachi, Lockheed Martin, Nissan and Pratt & Whitney.

“We are so grateful to those companies who have made a commitment to help us in our rebuilding efforts and today’s grant announcement, in particular, is exceptionally valuable because it helps us rebuild now and in the future - we’re training students for tomorrow’s jobs on the best engineering design software available,” said Senator Mary L. Landrieu, D-La.

“While most of the focus of the efforts to rebuild the South after last year’s storms has rightfully been infrastructure, today’s announcement sheds light on the critical effort to train a more skilled workforce in order to attract more business to the South - which will help rebuild and strengthen the region,” said Dave Shirk, executive vice president, Global Marketing, UGS. “Schools with access to UGS’ state-of-the-art engineering software are better able to recruit and retain top-notch engineering students, engage in community redevelopment projects and ultimately rebuild neighborhoods.”

UGS’ Commitment to Historically Black Colleges and Universities (HBCUs)
A disproportionate number of the communities impacted by last year’s storms were predominantly African American populations. UGS made a commitment to partnering with Historically Black Colleges and Universities (HBCUs) and currently has partnerships with all of the ABET (Accreditation Board for Engineering and Technology) accredited HBCUs in the five aforementioned states, donating $225 million worth of software from the beginning of 2005 until today.

“The advances our region can make by bringing together our bright students with inspired faculty and corporate friends such as UGS, strongly enhances the value of student experience and supports the economic rebuilding efforts of this area,” said Dr. Habib Mohamadian, Dean, Southern University College of Engineering. “UGS’ ongoing support enables students at Southern University and other schools across the South gain valuable hands-on experience using leading industrial software. We invite our government and corporate friends to provide similar support to the universities in the region.”

UGS made the grants through its Global Opportunities in Product Lifecycle Management (GO PLM™) initiative, which leads the PLM industry in the commercial value of in-kind grants it provides at more than $4 billion annually. UGS’ GO PLM initiative brings together five complementary programs focused on academic partnerships; community relations; regional productivity; youth and displaced worker development; and the Partners for the Advancement of Collaborative Engineering Education (PACE) program. The initiative provides PLM technology to more than 860,000 students annually at nearly 8,400 global institutions, where it is used at every academic level – from middle schools to graduate engineering research programs.

About UGS
UGS is a leading global provider of product lifecycle management (PLM) software and services with nearly 4 million licensed seats and 46,000 customers worldwide. Headquartered in Plano, Texas, UGS’ vision is to enable a world where organizations and their partners collaborate through global innovation networks to deliver world-class products and services while leveraging UGS’ open enterprise solutions, fulfilling the mission of enabling them to transform their process of innovation.

Note: UGS, GO PLM and Transforming the process of innovation are registered trademarks or trademarks of UGS Corp. or its subsidiaries in the United States and in other countries. All other trademarks, registered trademarks or service marks belong to their respective holders.

The statements in this news release that are not historical statements, including statements regarding the expected benefits of the academic relationship, the successfulness of the implementation and other statements identified by forward looking terms such as “may,” “will,” “expect,” “plan,” “anticipate” or “project,” are forward-looking statements. These statements are subject to numerous risks and uncertainties which could cause actual results to differ materially from such statements, including, among others, risks relating to loss or downsizing of customers, competition, international operations and exchange rate fluctuations, changes in pricing models, and intellectual property. UGS has included a discussion of these and other pertinent risk factors in its annual report on Form 10-K most recently filed with the SEC. UGS disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

Mendi Paschal

UGS Corp.

Contact via E-mail