January 17, 2001

Paris - France

Cap Gemini Ernst & Young and PTC (Nasdaq: PMTC), the product development company , today announced they have signed an agreement to offer manufacturers worldwide the ability to collaborate with key partners, suppliers and customers throughout all phases of a product's lifecycle including the design, prototype and review processes.

The major industries targeted by this include aerospace and defense, electronics, automotive, high-technology, telecommunications, network equipment, industrial equipment and utilities.

"We have been working closely with both Cap Gemini Ernst & Young and PTC in the deployment of our Windchill solutions in a multi-partner environment," said Dr Carsten Thomas, Project Manager Systems Engineering Tools and Processes, EADS Airbus GmbH. "We are very enthusiastic about such a strong and synergistic alliance and expect this to bring many benefits, particularly optimizing our future deployments and operations."

The fundamental business concept behind CPC (Collaborative Product Commerce) is that innovation and new product development is vital to profitable and sustainable growth for manufacturers. This significant advantage is achieved by creating better products in less time, at lower cost, and with fewer defects than the competition. CPC is an architecture that helps manufacturers meet buyers’ increasing demand for custom-tailored products. Through Internet-based collaboration, effective real-time communication occurs among partners, suppliers and customers involved in a product life cycle.

"As the trend toward customization in product development increases and time-to-market competition intensifies, manufacturers need consistent, real-time design specifications, cost structure control and production capabilities across the entire product life cycle," said Marc Peran, vice president and head of the Cap Gemini Ernst & Young global service offering--new products and services development. "PTC’s Windchill CPC solution collapses time and distance throughout the entire product development cycle, from the idea to end user."

Cap Gemini Ernst &Young and PTC together have already been awarded several major ongoing projects within the CPC arena. Cap Gemini Ernst & Young has established a dedicated team of professionals to market, deliver and support PTC’s Windchill solutions for manufacturers. "One major goal of the alliance is to create more capacity to globally connect trading partners for real-time product design, development, manufacturing and life-cycle support," added Jean-Pierre Carsalade, vice president of Cap Gemini Ernst & Young, member of the Aerospace Group and managing the alliance with PTC.

"PTC’s Windchill is recognized as one of the most powerful collaboration solutions available today," said Mark Hauser, group vice president in charge of service lines and alliances, Cap Gemini Ernst & Young.

Trenton H. Brown, executive vice president, international sales, PTC, added: "We are excited about this agreement with Cap Gemini Ernst & Young which further underscores the importance of the worldwide CPC marketplace. PTC will leverage Cap Gemini Ernst & Young’s global presence and deep industry knowledge, while Cap Gemini Ernst & Young can take full advantage of PTC’s technology leadership."

About Cap Gemini Ernst & Young

Cap Gemini Ernst & Young is one of the largest management and IT consulting firms in the world. The company offers management and IT consulting services, systems integration, and technology development, design and outsourcing capabilities on a global scale to help traditional businesses and "dot companies" continue to implement growth strategies and leverage technology in the new economy. The organization employs more than 58,000 people worldwide and reports global revenues of about 7.7 billion euros (1999 pro forma).

More information about individual service lines, offices and research is available at http://www.cgey.com.

About PTC

PTC (Nasdaq: PMTC) develops, markets, and supports software solutions that help manufacturers get superior products to market before their competitors. PTC is the world’s largest software company with a total commitment to product development and servicing more than 30,000 customers worldwide. Further information on PTC is available at http://www.ptc.com.

Press contact:
Roberta Carlton
rcarlton@ptc.com
+1 (781)-370-5479