AD HOC DISCLOSURE ACCORDING TO § 15 WPHG

Software AG Acquires SPL Software of Israel

Darmstadt – 21.3.2007 – As per April 1st, 2007 Software AG (Reuters: SOWGn.F, WKN: 330400) will acquire an 80.08% share in its Israeli distributor SPL Software Ltd., based in Tel Aviv. Software AG’s supervisory board agreed today to the transaction; the purchase price of US$ 61.6 million (€46.3 million) will be paid fully in cash. SPL Software currently is wholly owned by Silverboim Holdings Ltd., Tel Aviv, which will continue to hold the remaining shares in SPL Software.

SPL Software generates 93% of its revenue with Software AG products in the banking and insurance industries and the public sector. SPL Software currently has 296 employees (full time equivalents) of which 257 are IT consultants developing industry specific solutions based on Software AG’s product portfolio. The company is one of the market leaders in its sector in Israel.

Due to the acquisition, Software AG expects incremental revenue of approximately €20 million for fiscal 2007. Therefore, the forecasted growth in revenue for 2007 is raised from 10% to 14% (net of currency effects). The expected increase in EPS is estimated to be €0.10. Based on this increase, the EPS of Software AG for fiscal 2007 is now expected to be in the range of €3.00 to €3.20.

End of announcement

Contact:

Otmar Winzig <press@softwareag.com>
Vice President, Head of Investor Relations and Compliance
Telefon +49 (0) 6151 92-0   Fax +49 (0) 6151 92-1191

Norbert Eder <press@softwareag.com>
Vice President Corporate Communications
Telefon +49 (0) 6151 92-1146   Fax +49 (0) 6151 92-1444