alfabet Bucks Economic Trend and Continues to Post Record Results

EBITDA at 19% for Second Quarter; Revenue Up 15% vs. Same Period Last Year

CAMBRIDGE, Mass. — August 18, 2009 — alfabet, a leading software provider in strategic IT planning and enterprise architecture management, today announced another consecutive quarter of record results.

alfabet enables companies to strategically plan and manage information technology to realize business goals. Its planningIT software is unique in tightly coupling business priorities and IT deliverables with current and future initiatives while giving transparency to the associated change impacts.

Revenue was up 15% for the second quarter vs. the same period in 2008. In addition, the company posted EBITDA of 19% for the second quarter. Strong positive cash flow this quarter rounded off alfabet’s excellent performance.

“We are delighted with our continued growth and market response,” said Erik Masing, CEO and founder of alfabet. “Companies from all over the world, even those that are hard hit by the downturn are investing with us. This is due to our expertise in driving business transformation with strategic management of IT coupled with our unique ability to deliver fast and sustainable results. We are looking forward to excellent performance throughout the rest of the year, as we continue to expand our customer base, partner network and solidify our leadership position in the Business IT Management space.”

Other company highlights for the year to date included the following:

• Completed transactions with 52 new and existing customers including the leading US software company, the world's largest mail and logistics group and the largest telecommunications company in the European Union.
• Well received customer response to planningIT 5.0 for Business IT Management released in April. This release added several significant new capabilities aimed at enhancing user experience and addressing critical issues such as risk management and IT management integration.
• Launched two new fixed price service packages that deliver fast, focused, actionable results. The first in the series, Control IT & Save, shows management within eights weeks where to cut hidden costs and the expected impact to business. This has been met with huge success since its launch in June. The second, Cut Risk & Save, also released today (See today’s other announcement: alfabet Introduces “Cut Risk and Save” Service That Demonstrates to Corporate Management Within Two Eight Weeks How to Improve Risk Posture), helps companies expose risk and take the appropriate protective measures.
• alfabet’s Customer Executive Council held its inaugural meeting in July. The council, with founding members from major international corporations, is chartered to support alfabet leadership by determining a strategic and innovative roadmap for alfabet’s planningIT and ensuring representation of customer needs from discrete vertical industries.

About alfabet (www.alfabet.com)

enables companies to see, analyze, control and align IT initiatives with business priorities continuously. Its planningIT® software is unique in tightly coupling business priorities and IT returns with current and future initiatives. Competitive point solutions offer modeling or repository functions with a static view of priorities, architecture and infrastructure. alfabet provides a holistic, integrated and collaborative approach that offers continuous transparency into how IT and business information, processes and roles are changing and need to be managed over time.

The company serves a global user community of 25,000 IT professionals in over 40 countries in a variety of industries, including automotive, financial services, telecommunications, logistics, high-tech and others. Its customers include international corporations such as Credit Suisse, Munich Reinsurance, BMW, AXA Winterthur, Deutsche Bahn, OCBC and T-Systems. Founded in 1997, alfabet is based in Berlin with U.S. headquarters in Cambridge, Mass.

All companies and products listed herein are trademarks or registered trademarks of their respective holders.

For further information please contact:
Elyse Familant
GCC, Inc.
978-725-3637
ElyseF@gccpr.com

Anna Cleary
alfabet Inc.
One Broadway Cambridge Innovation Center 14th Floor
Cambridge MA 02142
617-401 2320

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