UGS Demonstrates Support of Microsoft's Peak Performance Initiative at the Global Automotive Summit

UGS Products Utilize Microsoft Platform to Deliver Customer Value Today in All Areas of Peak Performance

DEARBORN, Mich. and PLANO, Texas, April 29 -- UGS, a leading global provider of product lifecycle management (PLM) software and services, today announced its support of Microsoft's Peak Performance Initiative at the 2005 Global Automotive Summit. The Peak Performance Initiative identifies four core areas that Microsoft and its industry partners are focused on driving insight and innovation throughout the automotive community.

UGS delivers solutions today that are driving customer success in each of the four core areas, by increasing innovation during product development cycles, reducing complexity on the shop floor, increasing supply chain visibility and leveraging design and manufacturing data for service.

"UGS and Microsoft have had a long standing relationship to deliver solutions focused on the four key areas highlighted as part of the Peak Performance Initiative. We utilize Microsoft platform technologies such as Microsoft SQL Server and Windows SharePoint Services to deliver Teamcenter- based PLM Solutions that are both easy to implement with a low total cost of ownership and enable customers to develop, deliver and maintain category- killer products," said UGS Chairman, CEO and President Tony Affuso while addressing the audience at the Global Automotive Summit. "The combination of UGS' applications on the Microsoft platform continue to gain acceptance as the best in breed PLM solutions."

The Microsoft Peak Performance Initiative is designed to help the automotive community accelerate insight through advanced analysis services, drive innovation by allowing teams to better collaborate, and impact performance via increased visibility into operations across the manufacturing value chain. Based on extensive research and feedback from partners, customers and industry experts, Microsoft's Peak Performance Initiative provides an innovative and cost effective approach that allows automotive customers to take full advantage of their legacy investments while connecting key systems, people and organizations across the automotive supply chain to remove the barriers that stifle innovation and competitiveness.

"The automotive community comprises a diverse array of partners and suppliers that must cost-effectively collaborate to bring the latest innovations to market," said Kyle Solomon, Worldwide Industry Manager, Automotive, Microsoft Corp. "One of the original pioneers in the PLM category, UGS has built an exceptional reputation in the automotive marketplace by connecting people with the processes that drive the product development process and consequently enable them to achieve peak performance."

About UGS

UGS is a leading global provider of product lifecycle management (PLM) software and services with nearly 4 million licensed seats and 42,000 clients worldwide. Headquartered in Plano, Texas, the company promotes openness and standardization and works collaboratively with its clients in creating enterprise solutions enabling them to transform their process of innovation and thus begin to capture the value of PLM. For more information on UGS products and services, visit http://www.ugs.com/ .

Note: UGS is a registered trademark of UGS Corp. or its subsidiaries in the United States and in other countries. Microsoft is a registered trademark of Microsoft Corporation. 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 product distribution, success and capabilities 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, and intellectual property. UGS has included a discussion of these and other pertinent risk factors in its registration statement on Form S-4 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.

   CONTACTS:
   Salim Rahimi - UGS
   972-987-3206
   salim.rahimi@ugs.com