Intent of cooperation between Dassault Systemes, Matra Datavision and IBM to Offer Enhanced Engineering Solutions and Services

CATIA to be enriched with Matra Datavision's EUCLID STYLER and EUCLID MACHINIST Technology, Matra Datavision to capitalize on the growth in demand for engineering solutions and services, and to be appointed as a strategic IBM International Business Partner

Paris, France, December 8, 1998. Dassault Systemes, Matra Datavision and IBM(a) today announced their intent to form an innovative cooperation, which will be unique in the industry. It will capitalize on the excellence of each company by offering customers an enriched range of CAD/CAM/CAE and PDM II solutions and by significantly extending development, marketing and sales teams to provide enhanced support and services available worldwide.

This intended cooperation, subject to closing conditions, would lead to the following:

Dassault Systemes will acquire a Matra Datavision subsidiary which owns several key Matra Datavision software products, EUCLID STYLER(d), EUCLID MACHINIST(d), STRIM(d) and STRIMFLOW(d) and the associated expertise. These products, and the full licensed access to Matra Datavision CAS.CADE(d) technology, will enable Dassault Systemes to expand its offer specifically in surface and free-form modeling, numerical control machining (NC) and plastic injection simulation.

Matra Datavision will capitalize on the growth in customer demand for industry leading engineering solutions and services, and will continue to strengthen its proven expertise and recognized skills in areas such as Business Process Re-engineering. The company will protect its customers investments, notably by maintaining EUCLID 3(d), and by continued marketing and support of CAS.CADE, and other products complementary to the CATIA(b) and ENOVIA(c) product lines. The immediate availability of an extended range of Dassault Systemes Solutions provides Matra Datavision customers with an evolutionary path towards next generation solutions, specifically CATIA. In addition, Matra Datavision will sell and support Digital Manufacturing from Deneb. Matra Datavision is to be a wholly owned subsidiary of the new Aerospatiale - Matra Hautes Technologies group.

IBM will expand support and service to its customers by appointing Matra Datavision as an International Business Partner to market, sell and support its engineering solutions, including Dassault Systemes’ CATIA, CATWEB(c ) and ENOVIA, and IBM’s e-business solutions, and to provide dedicated services to support these solutions.

"This cooperation will accelerate Dassault Systemes’ ability to execute our vision of the Digital Enterprise, especially in the automotive, aerospace and defense industries and the consumer goods sector, " said Bernard Charlès, President of Dassault Systemes. "This alliance and acquisition strengthens our sales and services network and further reinforces our leadership position in surfacing and manufacturing NC machining."

"Matra Datavision’s position as a leading international supplier, with 700 employees focused on the deployment of engineering solutions and services, will be strengthened by this cooperation and by becoming an IBM International Business Partner, " Hugues Rougier, Chairman and Chief Executive Officer of Matra Datavision added. "The priority for all of us is investment protection and solution enhancement for our customers. We all share the commitment to an evolutionary path to Dassault Systemes’ next generation solution, bringing real competitive advantage to customers."

Frank Lerchenmueller, Vice President of IBM’s worldwide Engineering Solutions business said: "As our new strategic International Business Partner, Matra Datavision will be focusing a large sales force and highly skilled support team dedicated to helping customers achieve excellence, in the deployment of Engineering Solutions. They will bring the benefit of their significant expertise in industrial processes to enable us to support enterprises of all sizes with our complete range of engineering services and consulting capabilities and so help customers compete locally and globally."