Embarcadero Technologies Announces Settlement and Mutual Release of Outstanding Claim

1 June 2005

Embarcadero Technologies, Inc. (Nasdaq:EMBT), a leading provider of data lifecycle management solutions, today announced settlement of the lawsuit that had been filed against Embarcadero Technologies and other parties by The Client Server Factory (TCSF). The agreement also settles Embarcadero's cross-complaint against TCSF. The suit related to alleged activities associated with Engineering Performance, Inc., an entity Embarcadero acquired in November 2000. None of the parties made any admission regarding fault or liability, and the settlement agreement resolves all outstanding matters among the parties. Embarcadero expects that its share of this settlement will result in a charge of approximately $600,000, which is expected to occur in the current quarter.

In response, Stephen Wong, Embarcadero's president and chief executive officer, commented, "We are pleased that this settlement allows Embarcadero to avoid any further distraction and possible expense of continued litigation on this matter."

About Embarcadero Technologies

Embarcadero Technologies, Inc. (Nasdaq:EMBT), is a provider of data lifecycle management solutions that help leading companies build, optimize, test, and manage their critical data, database, and application infrastructure. Nearly 11,000 customers, including 97 of the Fortune 100, rely on Embarcadero Technologies products to manage the explosive growth in data and ensure optimal performance of their complex, multi-platform applications and systems. Embarcadero Technologies is headquartered in San Francisco, CA.

Source: dBusiness News

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