ILOG JRULES ACHIEVES “POWERED BY SAP NETWEAVER®” QUALIFICATION

Mountain View, CA. – 13 September 2006

Business Rules Can Be Managed from SAP NetWeaver Portal

ILOG® (NASDAQ: ILOG; Euronext: ILO, ISIN: FR0004042364) today announced that its ILOG JRules™, a key offering in ILOG’s business rule management system (BRMS) product line, has achieved “Powered by SAP NetWeaver®” status. ILOG JRules will allow business and technology managers to better manage their policy-intensive decision services and processes through integration with the SAP NetWeaver Portal component of the SAP NetWeaver platform. BRMS has emerged as a key technology that Global 2000 companies worldwide are using to automate their business policies, and it is increasingly used to provide the highest-level of agility for business process and management (BPM) and service-oriented architecture (SOA) initiatives. ILOG is a leader in BRMS with more than 700 customers worldwide.

ILOG JRules complements the enterprise service-oriented architecture (enterprise SOA) by providing flexibility and control for BPM applications. A compelling feature of the ILOG JRules integration with SAP NetWeaver is it allows business rules to be managed and edited from the SAP NetWeaver Portal, enabling organizations to take full advantage of the agility and total cost-of-ownership benefits of having their business users drive their own policy changes. ILOG can also provide back-end integration by way of SAP NetWeaver as it demonstrated during certification testing of an auto-insurance quoting scenario with ILOG JRules and the SAP NetWeaver Exchange Infrastructure. Customers further benefit from the ease-of-use features ILOG introduced in JRules 6 earlier this year that bring even more features to business users for controlling and managing policies – including a dedicated environment for business users. These new features complement the strong application development tools, ease of integration and high rule execution performance for which ILOG is known.

The SAP NetWeaver platform powers the mySAP™ Business Suite family of business applications, SAP® xApps™ packaged composite applications and partner solutions. SAP NetWeaver unifies integration technologies into a single platform and is pre-integrated with business applications, enabling change and reducing the need for custom integration.

ILOG JRules complements SAP NetWeaver by automating business policies and supporting enterprise-wide and centralized business rule management. In an enterprise SOA deployment, a BRMS enables the creation of “Transparent Decision Services” that are truly reusable, owned by business users, are easy to adapt and contribute to an enterprise compliance strategy. Decision processes and services targeted by the solution include pricing, welfare administration, insurance claims processing, loan and insurance underwriting, promotions and loyalty management, among others. These processes are defined by rapidly-changing business rules that drive decision-making for eligibility, risk assessment, pricing, validation and scoring.

Attaining Powered by SAP NetWeaver status for ILOG JRules is the latest milestone for ILOG in its long business and technical relationship with SAP.

ILOG has consistently built on its history of product innovation to make it the industry’s leading provider of business rule management system software. Gartner positioned ILOG in the leader’s quadrant of Gartner’s 2005 Magic Quadrant for Business Rule Engines, while Forrester Research has recognized ILOG as a rules platform market leader, including the leader in rules platforms for Java. Customers of ILOG’s award-winning BRMS products include eBay, Equifax, Grupo Santander, Harrah’s Entertainment, Visa, Vodafone, Zurich, and many other leading Global 2000 companies and governments worldwide. Currently, more than 60 Global 2000 organizations use ILOG’s BRMS products in combination with a BPM solution. ILOG also offers more comprehensive technical integrations with BPM vendors.

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