Goodwill

As of June 30, 2007, Software AG had accrued goodwill of €453,147 thousand. Thereof, €174,591 thousand were due to the acquisition of the Software AG USA Group effective February 1, 2001; €6,401 thousand were due to the acquisition of the two Sabratec companies in Israel and in the USA effective February 3, 2005; €3,131 thousand were due to the acquisition of the APS Group effective June 29, 2005; and €1,878 thousand were due to the acquisition of Casabac Technologies GmbH, Bammental near Heidelberg. Goodwill related to the Software AG USA Group had been fully amortized over ten years by December 31, 2002 in accordance with the HGB accounting regulations applicable at that time. Additions and disposals during the fiscal year reflect the acquisition of SPL Software Ltd., Israel, effective April 1, 2007 (€37,966 thousand), the acquisition of webMethods, Inc., USA effective May 25, 2007 (€229,180 thousand), and subsequent changes in the acquisition cost of goodwill related to the acquisitions of Sabratec, the APS Group, and Casabac in 2005.