MICRO FOCUS, CRATOS AND MICROSOFT HELP LOMBARD CANADA LTD. MIGRATE ITS MAINFRAME SYSTEMS TO WINDOWS PLATFORM

-Leading insurance provider estimates it will save more than $1 million a year by moving its applications and data store onto Windows-based server -

May 18, 2005 - Micro Focus, a leading provider of legacy application development and deployment software for enterprise platforms, Cratos, a software solutions company specializing in international banking and financial transaction processing, and Microsoft, today announced that they will work with Lombard Canada Ltd. to migrate its mainframe systems to a Microsoft® software platform. Over the next 24 months, Lombard will move all its applications onto a single platform, earning the company an anticipated significant return on investment.

"We estimate this project will save us in excess of $1 million a year, but more importantly, it will enable us to become more competitive in our industry both today and in the future," said Peter Howling, vice president of IT, Lombard Canada Ltd. "Part of Lombard’s competitive advantage is directly related to technology, and this migration will help us attract and retain the most talented IT people, who are looking to work with the latest technology."

Lombard’s mission-critical applications were residing on mainframe systems. With continuing decline on the ROI of these systems, the company needed a cost-effective alternative to replace its aging system.

Following an extensive analysis and evaluation process, Lombard chose to move all its core applications, including financials, off the mainframe and onto Windows Server™ 2003 operating system and SQL Server™. Lombard selected Micro Focus Studio and Micro Focus Server to facilitate a rapid and low-risk re-hosting of mainframe applications. Recognized migration specialist Cratos was chosen to provide the necessary technical expertise, and will continue to work closely with Lombard to ensure the successful migration of the mainframe applications, data, processes and people.

"Lombard is among a leading group of companies that want to derive further value from their COBOL, CICS and JCL based legacy systems by migrating from the mainframe to the low cost, high performance Windows platform," said Ian Archbell, vice president of product management, Micro Focus. "We are pleased that our collaboration with Cratos and Microsoft will deliver a rapid migration solution for Lombard, lowering its IT hardware and software costs, while increasing its business agility."

"We are delighted to be leading the ‘Lift and Shift’ migration of Lombard’s mainframe systems," said Andrew P. Wickett, chief executive officer, Cratos Technology Solutions. "By migrating to the new platform and running Micro Focus and Microsoft technology solutions, Lombard will enjoy the same end-user functionality with anticipated reduced development and deployment costs, and achieve an expected return of investment within less than 18 months."

"Mainframe customers are facing several challenges, including a decrease in available technical skills, shortage of innovation in the ISV ecosystem, and a need for increased flexibility. Migrating to newer technologies delivers the agility they need to adapt to continuously changing business requirements at a lower cost, without sacrificing the scalability, reliability and security they have come to expect from the mainframe," said Randy Lenaghan, director of financial services, Microsoft Canada. "We are working with services partners like Cratos, and Mainframe Migration Alliance partners like Micro Focus, to provide the resources, tools and education customers need to achieve a successful migration."

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