SAP Names John Hanley as Senior Vice President in SAP Services Organization

Hanley to Oversee Delivery Services Including Hosting and BPO Powered by SAP

WALLDORF, Germany - October 04, 2006 - SAP AG (NYSE: SAP) today announced the appointment of John Hanley as senior vice president to lead two important lines of services within the SAP Services organization—Managed Services and Business Process Outsourcing (BPO). SAP Managed Services provides operations expertise to ensure high quality in application management and hosting services together with SAP’s extensive partner network. SAP Business Process Outsourcing enables BPO providers and their customers to achieve business process outsourcing excellence to help customers generate sustainable business value—by dramatically reducing risk, lowering cost and improving quality.

“SAP Services enables customers to take advantage of the next wave of IT innovation based on the enterprise service-oriented architecture,” said Gerhard Oswald, member of the executive board, SAP AG. “We welcome John to our leadership team and look forward to the contribution his experience will bring as we continue to enable service partners, adapt our offerings and processes to the demands of the midmarket and pursue our plans for growth.”

Hanley joins SAP after 11 years with Oracle, where he was growing high volume services businesses. John most recently was responsible for Oracle services, support and on-demand business development in a global capacity. Prior to that, he spent seven years at Accenture UK, where he was responsible for Accenture’s enterprise resource planning (ERP) applications. Within Accenture, he built his SAP practice and successfully engaged in joint business development with SAP.

Delivering on its vision for enterprise service-oriented architecture (enterprise SOA), SAP has designed its roadmap for services to optimize the offerings and processes to the demands of the midmarket and high volume businesses. Enabled by the SAP NetWeaver® platform, enterprise SOA makes it easier for companies to move business processes outside the enterprise while retaining full control of information and workflows in a seamless, tightly integrated fashion. SAP Managed Services offers customers access to the applications and infrastructure needed to make their businesses successful. Hosting offerings leverage mySAP™ Business Suite applications and services that enable customers, business partners and co-workers to work successfully across several companies wherever they are located. Customers can choose hosting options for individual components of mySAP Business Suite or for an entire SAP software landscape.

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Angelika Pfahler

SAP AG

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