Carraro Drives Product Lifecycle Management with MatrixOne; Automotive Supplier Deploys MatrixOne PLM to Speed Innovation and Gain a Competitive Edge

WESTFORD, Mass.--Dec. 5, 2005--MatrixOne, Inc. , a leading provider of collaborative product lifecycle management (PLM) solutions for the value chain(TM), today announced that The Carraro Group, headquartered in Padua, Italy, has selected MatrixOne as its PLM platform. The Carraro Group designs, manufactures and sells drive train systems for earthmoving equipment, tractors, materials handling equipment, light commercial vehicles, cars and stationary applications, such as escalators. The MatrixOne solution will enable Carraro to manage all aspects of the product lifecycle process, including product requirements, development of the product within the design office, creation and management of the design bills of materials (BOM) and integration with the ERP and CAD systems currently installed.

Mario Carraro, the Group's President and CEO, said "the innovation we achieve through the use of PLM allows us to protect our competitive advantage by anticipating our customers' needs and providing high value-added products and services. For this reason, we are happy to have reached an agreement with MatrixOne to implement a PLM solution that will allow us to significantly improve the product development processes and effectively support the group's strategic and business objectives."

"As part of Carraro's overall growth strategy, the adoption of a PLM system allows us, first of all, to transform the management of complexity into a potential competitive advantage," said Marco Tecchio, the Carraro Group's Technical Director. "Secondly, the innovation will be placed at the center of all processes; integrating the fundamental aspects of product development from strategic marketing to post-sale services and from technical skills to system integration. This will allow us to strengthen the market's perception of Carraro as a reliable and competitive partner for developing successful and technologically advanced solutions."

According to Luigi Salerno, MatrixOne's Regional Sales Director for Northern and Southern Europe, "the agreement to implement the PLM project at Carraro is particularly satisfying because the Carraro Group is considered a leading example, both in Italy and internationally, of a company with global success that has focused on innovation as a strategic objective."

About the Carraro Group

Carraro is a multinational group that is a worldwide leader in the supply of transmissions for off-road, construction and materials handling vehicles, with consolidated sales of 514 million Euros in 2004. The Carraro Group designs, manufactures and sells drive train systems for earthmoving equipment, tractors, materials handling equipment, light commercial vehicles, cars and stationary applications (such as escalators). The Carraro Group offers itself as a supplier of advanced technological solutions and integrated systems, in an effective strategic partnership relationship with customers, supported by a constant dedication to maintain a high level of performance and quality of its products and services everywhere in the world. The group, whose holding company has been listed on the Italian Stock Exchange since 1995, is based in Campodarsego (Padua), employs over 2,200 people - 1,360 in Italy - and has production plants in Italy, Germany, Poland, Argentina, the United States, India and China, in addition to sales offices in Turkey and Japan.

About MatrixOne

MatrixOne, Inc. , a leading global provider of collaborative product lifecycle management (PLM) software and services, enables companies to accelerate product innovation to achieve top line revenue growth and improve bottom line profitability. With world-class PLM solutions and a commitment to customer success, MatrixOne is focused on helping companies across the automotive, aerospace & defense, consumer, machinery, medical device, semiconductor and high-tech industries solve their most challenging new product development and introduction problems. More than 800 companies use MatrixOne's solutions to drive business value and gain a competitive advantage, including industry leaders such as BAE Systems, Bosch, Comau, General Electric, Honda, Johnson Controls, Linde AG, NCR, Nokia, Philips, Porsche, Procter & Gamble, Sony Ericsson, STMicroelectronics and Toshiba. MatrixOne (www.matrixone.com) is headquartered in Westford, Massachusetts, with locations throughout North America, Europe and Asia-Pacific.

MatrixOne and the MatrixOne logo are registered trademarks and "a leading provider of collaborative product lifecycle management (PLM) solutions for the value chain" is a trademark of MatrixOne, Inc. All other trademarks and service marks are the property of their respective owners.

Forward-looking statements in this release are subject to risks and uncertainties that could cause our actual results to differ materially from those anticipated. Such statements may relate, among other things, to our plans, objectives and expected financial and operating results. The risks and uncertainties that may affect forward-looking statements include, among others: poor product sales, long sales cycles, difficulty developing new products, difficulty in relationships with vendors and partners, higher risk in international operations, difficulty assimilating future acquisitions, difficulty managing rapid growth, and increased competition. For more about the risks and uncertainties of our business, see our periodic and other S.E.C. filings.