SAP and Customers Showcase Success of Utilities Industry-Leading Solutions at 6th SAP International Utilities Conference 2007

SAP CEO Henning Kagermann Highlights Continuing Utilities Industry Leadership and New Enterprise SOA Technology at SAP’s Premier Event for the Utilities Sector

AMSTERDAM, Netherlands - February 28, 2007 - SAP AG (NYSE: SAP) today outlined the continuing customer successes and ongoing product innovations that are extending its leadership as the enterprise software provider of choice for the utilities industry. Joined by more than 1,500 attendees—from market-leading utility companies including Centrica plc in the United Kingdom; Chongqing Power and CLP in China; E.ON AG in Germany; and Southern California Edison in the United States; and from 45 solution and implementation partners, including Itron, Meridium, PROLOGA and Streamserve—SAP is showing the next generation of innovative solutions at the 6th SAP International Utilities Conference (IUC) 2007, the world’s largest IT event for utilities industry hosted by a single vendor, being held at the RAI Exhibition and Congress Centre, Amsterdam, Netherlands, February 28 to March 2, 2007.

The conference features keynotes, plenary sessions and product demos that address major trends and business topics impacting today’s utilities industry, including compliance with legal and regulatory requirements and the changing business models and roles of utility enterprises. Furthermore, speakers are discussing distribution system reliability and the innovative processes and technologies that are helping utility companies better serve customers and focus on efficiency.

Innovative Solutions to Better Serve Customers
Participants registered to attend IUC will learn first-hand how SAP continues to expand its SAP for Utilities business process platform and deliver solutions, based on the input of the industry’s largest user groups. (See February 22, 2005 announcement, titled “SAP Unveils Road Map to Next-Generation, Services-Oriented Utilities Solutions.”)

The event features demos of new applications in the product pipeline, including enhancements in SAP’s market-leading customer relationship and billing software tailored to the distinct needs of utilities retailers, slated for market launch in 2007. Furthermore, SAP is demonstrating applications for advanced meter infrastructure (AMI), which paves the way for new energy products and demand-response programs. Leveraging the business-driven blueprint of enterprise service-oriented architecture (enterprise SOA) to enable the seamless integration between technical and commercial processes, AMI-enabling services and technology are planned for availability with the second enhancement package for mySAP™ ERP. (For further information on SAP’s evolutionary product enhancement delivery model, see the December 4, 2006 announcement, titled “SAP Continues to Deliver on the Value of Enterprise SOA”)

“Some companies claim leadership in industry segments, while SAP’s leadership in utilities comes from a consistent commitment to our customers, from midsize and municipality utilities to global enterprises,” said Henning Kagermann, CEO, SAP AG, who delivered the event’s opening keynote. “The speed of change in the utilities sector makes it ever more important to deploy information technology to better balance efficiency and effectiveness.”

Expanding Its Leadership and Customer Base Building on SAP’s more than 30 years of business-process expertise in the utilities industry, SAP for Utilities is the world’s leading utilities solution portfolio. In fact, more than 1,100 utilities customers, including 32 out of the top 50 utilities worldwide, run SAP. In 2006, SAP experienced tremendous license revenue growth in utilities worldwide, the strongest regions being North America and EMEA, with U.S. operations experiencing the greatest growth. A total of 560 customer agreements were signed (of these, 90 new customer contracts worldwide), including AGL in Australia, Federal Grid Company of Russia (FSK), Neoenergia in Brazil, and NTPC in India).

In his keynote, Kagermann announced that:

* SAP has launched the “SAP for Utilities Liberalization Competency Center,” tasked to work closely with customers in deregulated markets around the world to customize the existing regulatory compliance capabilities in SAP for Utilities to support local market rules for specific customer needs.
* SAP will launch a new Web client-based customer interaction center for its CRM and billing software. This new functionality will simplify call center process for both deregulated retailers and regulated full-service utilities.

The conference will feature five keynotes and plenary discussions on global trends in utilities given by senior executives from industry leaders including Edison International and Southern California Edison, E.ON AG and Centrica plc.

For more information on the SAP International Utilities Conference 2007, visit www.sap.com/sapiuc2007.

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About SAP for Utilities
Continually addressing the evolving needs of electric, gas, water and waste companies, SAP offers solutions for all core processes of the utilities industry, including enterprise asset management, customer service and billing, and energy capital management. Leveraging enterprise service oriented architecture and the SAP NetWeaver platform, the SAP for Utilities solution set offers customers a utility-specific and services-enabled business process platform that provides end-to-end integration of the core process solutions and ERP according to industry-specific roles within the utilities value chain. With more than 1,100 customers in 70 countries, SAP for Utilities enables best-practice processes for all enterprise roles in deregulated markets, including energy retailers, distribution system operators, meter operators and generation companies, and for full service utilities in regulated markets. For more information, visit www.sap.com/utilities.

About SAP
SAP is the world’s leading provider of business software*. Today, more than 38,000 customers in more than 120 countries run SAP® applications—from distinct solutions addressing the needs of small businesses and midsize companies to suite offerings for global organizations. Powered by the SAP NetWeaver® platform to drive innovation and enable business change, SAP software helps enterprises of all sizes around the world improve customer relationships, enhance partner collaboration and create efficiencies across their supply chains and business operations. SAP solution portfolios support the unique business processes of more than 25 industries, including high tech, retail, financial services, healthcare and the public sector. With subsidiaries in more than 50 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE under the symbol “SAP.” (Additional information at www.sap.com)

(*) SAP defines business software as comprising enterprise resource planning and related applications such as supply chain management, customer relationship management, product life-cycle management and supplier relationship management.

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Evan Welsh

SAP AG

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