Algorithmics, Cicada and Investors Guaranty™ Form Alliance To Deliver A Packaged, Risk Data Solution

Toronto, ON – April 9, 2003 – Algorithmics Incorporated, Cicada Corporation, and Investors Guaranty GmbH announced today the signing of a memorandum of understanding to form an alliance to develop and provide multi-source clean, structured data and managed risk solutions to users of Algorithmics’ industry
leading Algo Suite of products.

Recent regulatory mandates around the world and the Bank for International Settlement’s Basel II initiative require banks, insurance companies and other financial institutions to initiate or accelerate their efforts to create credible and transparent enterprise risk systems. An organization’s success in achieving compliance with these emerging risk management regulations is dependent on a successful implementation and integration of clean, licensed and proprietary content to feed their enterprise risk systems.

"For large financial institutions, managing risk throughout the enterprise is a complex, but critical, task in today’s global financial environment," said Debbie Williams, Group VP, Capital Markets & Corporate Banking at Financial Insights, an IDC Company. "We believe that data is the single most important
component of risk management, the lifeblood of the robust risk data architecture required for successful enterprise risk management systems."

The alliance between Algorithmics, Cicada and Investors Guarantyâ„¢ is focused on offering a managed data and risk service that makes compliance with Basel II and other risk management regulations fast, cost-effective, reliable and transparent. Algorithmics Incorporated is a world leader in enterprise risk management solutions. Cicada Corporation is a leading global provider of reference data integration and data management technology for financial
institutions. Investors Guaranty GmbH’s affiliated companies provide capital and integrated administrative, business and technology services.

"To reap the rewards of sophisticated enterprise-wide risk management solutions in today’s volatile markets while concurrently preparing for emerging Basel II requirements, clean consistent data is absolutely fundamental," said Ron Dembo, Founder and Chief Executive Officer of Algorithmics. "Our goal through this alliance is to revolutionize standards for data quality and delivery within the financial services industry, leveraging Cicada’s experience in data cleansing and Investors Guaranty’s business support to produce industry leading risk data services."

The alliance will be exploring the integration, management and cleansing of licensed content, the customer’s proprietary content and critical calculated Mark-to-Future data vital to enterprise risk management and compliance with Basel II. Coverage could include all instrument types, corporate actions,
instrument pricing/valuations, corporate hierarchies, position information and all other relevant content. The managed service is planned to be available on an outsourced and insourced basis and designed to be "plug and play" with Algo Suite, sharply reducing implementation time.

Data within financial organizations typically comes from a myriad of disparate sources. As a result, data cleansing is a critical first step in any Algo Suite implementation, often requiring significant efforts to locate, validate, and derive risk oriented data within a financial institution. The challenges of data cleansing and implementation efficiencies will be directly addressed as a result of the packaged, clean risk data solutions being produced for Algo Suite users.

"The new clean, structured risk data solutions created by this alliance will be optimised to the Algo Suite," said Gregory Smith, President and CEO Cicada Corporation. "This new risk data solution integrated with the Algo Suite will be a one-stop solution to current enterprise risk needs and Basel II requirements. The alliance represents the perfect marriage of Algorithmics’ global market-leading risk analytics technology and Cicada’s data integration and cleansing technology and its data cleansing outsourcing services".

"Innovative ventures that add value to established industry leading solutions within the financial sector make excellent business sense as an investment," remarked Douglas L. King, Chairman and Chief Executive Officer, Investors Guaranty, GmbH. "We are pleased to be a significant player in this alliance
involving these two respected industry leaders." Investors Guarantyâ„¢ companies will be instrumental in providing initial capital to support the venture and will facilitate the provision of various business services through members of the Investors Guarantyâ„¢ Global Alliance.

"AIG is a major client of both Algorithmics’ Algo Suite and Cicada’s clean risk data solution. We are excited to see these two firms combining their core competencies in a venture to provide better solutions to firms’ risk management needs. " said Robert Lewis, VP and Chief Credit Officer of American International Group

Media Inquiries:
Algorithmics Media Contact:
Kevin Ellis
416-217-4321
Cicada Media Contact:
Laura Perdue
972-385-9658
Investors Guarantyâ„¢ Media Contact:
George Arzt
George Arzt Communications, Inc.
212-608-0333

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