SAP® Business One to Feature New Capabilities Through Acquisition of Praxis Software Solutions

WALLDORF, Germany - July 10, 2006 - Increasing its breadth of integrated applications designed specifically to help small and midsize enterprises (SMEs) generate revenue, increase sales and boost efficiency, SAP AG (NYSE: SAP) today announced that it will introduce new e-commerce and Web-based capabilities to SAP® Business One. The new capabilities enable companies to set up online stores easily and to deploy customer relationship management (CRM) software quickly and simply via the Internet, extending the reach and accessibility of SAP Business One to a new set of users. Addressing increasing demand among SMEs to make e-commerce and CRM core parts of their businesses, the new features will further the SAP solution's unique ability to provide a unified view of business-critical information across sales, financials, manufacturing, reporting and customer-facing activities in a single, easy-to-use software solution.

SAP is incorporating the new e-commerce and CRM capabilities through the recently completed acquisition of Praxis Software Solutions, a privately held software company and long-term SAP Business One partner based in Minneapolis, Minnesota. Through the acquisition, SAP will integrate the acquired technology and Praxis employees into its SAP Business One operations. Terms of the deal were not disclosed. The transaction continues SAP's strategy of targeted, fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically.

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