Leading PLM Industry Analyst Names UGS as the Market Leader in Computer-aided Manufacturing (CAM)

CIMdata Cites UGS’ CAM Leadership Based on Vendor Revenue for Fifth Straight Year

Tuesday, August 1, 2006, PLANO, Texas – UGS Corp., a leading global provider of product lifecycle management (PLM) software and services, today announced leading PLM industry analyst firm CIMdata, Inc. has named UGS as the leading vendor in the computer-aided manufacturing (CAM) software market for the fifth consecutive year based on vendor revenue.

CIMdata includes this ranking information in its recently released Version 15 edition of the CIMdata Numerical Control (NC) Software and Services Market Assessment Report. This annual report measures and segments the CAM software market, ranks NC software suppliers based on CIMdata estimates, and identifies and discusses market and technology trends.

“CIMdata considers the overall NX CAM offering, including Teamcenter Manufacturing and the new NX CAM Express, to be among the strongest product offerings in the industry,” said Alan Christman, chairman, CIMdata. “UGS has been the largest CAM supplier on the basis of revenue received for the past five years and they are projected to maintain that position in 2006. UGS’ overall strengths include market presence, CAM reputation, design through manufacturing integration, product breadth and depth, knowledge-based orientation, and industry leadership in mold base design, progressive die design, high-speed machining, and 5-axis machining. In addition, the integration under Teamcenter Manufacturing provides information management capabilities that are unrivaled by any CAM-centric vendor.”

The CIMdata report cites:

* UGS is one of the 10 most rapidly-growing vendors.
* … provides a comprehensive, distinctive, and industry-leading manufacturing offering that is unmatched in the industry.
* The breadth of applications, depth of functionality, data integration, and consulting resources provided within the UGS® CAM program is impressive.
* (The acquisition of Tecnomatix) was a strategic milestone for UGS as it further demonstrates its commitment to manufacturing and expands its product offering.
* UGS is viewed as one of the industry leaders in support of high-speed milling…UGS considers all aspects of milling, not just NC programming.
* CIMdata is favorably struck by the structure, operations, and execution of the UGS NX™ 4 tooling program. It is a comprehensive, distinctive, and industry-leading offering.
* Teamcenter® Manufacturing is a powerful and unique product. No other vendor offers such extensive and distinctive information management functionality focused on manufacturing.

“We appreciate CIMdata’s recognition of our manufacturing breadth and depth,” said Dave Shirk, executive vice president, Global Marketing, UGS. “Many of the world’s leading manufacturing companies use our manufacturing solutions. Their feedback drives our research and development to provide industry-leading solutions.”
UGS will showcase its industry leading manufacturing solutions at the International Manufacturing Technology Show (IMTS), September 6-13, 2006, McCormick Place, Chicago.

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, Teamcenter, NX, and Transforming the process of innovation are trademarks or registered 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 expected benefits of the product, adoption by customers, continued innovation 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 developments in the PLM industry, competition, failure to innovate 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

Dora Smith

UGS Corp.

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