Intergraph Process & Building Solutions Customers Embrace Flexible Software Lease Options

INtools, PDS Leases Proving More Cost-effective Than Purchases

HUNTSVILLE, Ala.--(BUSINESS WIRE)--Nov. 13, 2001--Increasing numbers of Intergraph Process & Building Solutions customers are leasing key software instead of purchasing it, as evidenced by recent lease activity in both new and established products. INtools(TM) instrumentation engineering and Plant Design System (PDS(TM)) software leasing is proving increasingly cost-effective and popular among customers of the Intergraph Corporation (Nasdaq: INGR - news) division which serves the global process manufacturing, petroleum and power generation industries.

Most of the division's extensive software lineup is available on a lease licensing basis in addition to purchase. Software leasing is a flexible and economic alternative to traditional site licenses or purchase. Leasing options enable customers to take advantage of economies of scale coupled with superior support and maintenance; yet customers have the flexibility to adjust usage levels according to project workloads. In the mid-1980s, Intergraph was the first company to offer software leases for the plant design market.

Leased and purchased licenses for INtools from both new and existing customers continue to increase at a rate of about 100 per month as plant owners drive product adoption throughout the process industries. Peak PDS lease license activity has historically reached levels in excess of 500 licenses in simultaneous use at individual sites. In addition to INtools and PDS, Intergraph Process & Building Solutions offers lease options for plant design software including SmartPlant® P&ID, SmartPlant Review, SmartPlant Explorer, SmartSketch® and others; and plant information and materials management software including Notia(TM), Directa and MARIAN(TM).

Lease licenses for INtools grew more than 124 percent and PDS lease licenses increased 10 percent globally during January to September 2001, according to division records compiled in third quarter. The figures exclude lease license activity associated with the division's Global Alliance Agreements with major customers.

INtools is used for instrumentation engineering in plant operations and maintenance as well as design and construction. PDS is used for engineering design (schematics) and detailed (3D modeling) tasks as well as visualization. PDS, the division's flagship product ( www.intergraph.com/pds/pds), is regarded worldwide as the standard software for process and power plant design and is the world's best selling plant design package. Both packages are used globally throughout the petrochemical, onshore and offshore oil and gas, biopharmaceutical, chemical, power generation, metals and mining as well as food and beverage industries.

Lease Trends Demonstrate Value, Savings

"Achieving these historic highs and growth rates for lease activity demonstrates our customers' continued trust in our expertise and reliance on proven software that's absolutely crucial to their success," said Gerhard Sallinger, president, Process & Building Solutions. "The hike in INtools lease activity demonstrates the cost savings that plant owners are gaining through increased maintenance efficiency and reduced engineering hour requirements. Because INtools covers both engineering and operation tasks, it is quickly becoming the industry standard. Growth of PDS leases is due to improved software capabilities and increased penetration in the power generation, offshore petroleum and biopharmaceutical sectors."

Intergraph INtools Provides Integration, Life Cycle Value

Intergraph INtools 5.2 instrumentation systems engineering software provides integrated modules for instrument indexes, specifications, process data, calculation, wiring, loop drawings, hook-ups, commissioning, calibration and maintenance -- all with advanced fieldbus support. The software features design and consistency checks that reduce errors and improve data accuracy and usability. Using Oracle 8 or 8i, Microsoft SQL Server 2000, or Sybase SQL Anywhere databases, the software features data links to external systems, including PDS, SmartPlant P&ID, SmartPlant Explorer, non-Intergraph plant design software, SAP R/3, vendor calculation packages and distributed control systems. Intergraph acquired the INtools ( www.intergraph.com/pbs/INtools) software line in 1999 from Process Instrumentation Design & Software Industries (PID). PID first commercialized INtools in 1995.

Two Decades of PDS Includes Industry Firsts

PDS is rooted in Intergraph's pioneering piping design software commercialized in 1978. Intergraph released the first version of PDS in 1984 and soon after became the first company to lease plant design software. PDS in 1994 was the first plant design software package offered entirely on the Microsoft® Windows NT® operating system. Successful PDS designs range from small modular process units and pilot plants to the world's largest petrochemical megaprojects and the most advanced nuclear reactor systems.

Based partly on the popularity of PDS, Intergraph Process & Building Solutions is the world's acknowledged leader in the global process and power plant creation software market with a 33 percent revenue share for 2000, according to the industry analyst and market research firm Daratech Inc. of Cambridge, Mass.

Intergraph PDS is World's Most-used Plant Design Software

The industry's most-used integrated process and power plant design suite, PDS enables concurrent multi-discipline engineering and worksharing, improved design coordination, fewer errors and increased productivity. Specification-driven design eliminates field rework and accurate material takeoffs cut procurement costs. Extensive reference data speeds creation of models and schematics. PDS comprises integrated 2D and 3D modules corresponding to engineering tasks in the design workflow. Modules include: Process Flow Diagram (PFD), Piping & Instrumentation Diagram (P&ID), Instrumentation, Piping, Pipe Support Modeler & Explorer, Equipment Modeling, Structural Modeling (FrameWorks® Plus), HVAC Modeling, Electrical Raceway and Interference Checking.

PDS is extensively integrated with Intergraph software that supports engineering, design, operations and maintenance tasks throughout the plant life cycle. PDS is integrated with Notia, Directa and MARIAN for plant information and materials management; SmartPlant Review for 3D visualization, design and schedule reviews; SmartPlant P&ID for intelligent piping and instrumentation diagrams; and SmartPlant Explorer for Web viewing of data and models. In addition, PDS provides nearly 20 interfaces to third-party software products.

About Intergraph Process & Building Solutions

With more than 20 years' industry experience as an engineering software provider, Process & Building Solutions is focused on creating, capturing and managing the plant information asset by providing integrated life cycle solutions for the design, construction and operation of process and power plants. Flagship solutions include the SmartPlant® and PDS(TM) (Plant Design System) suites and the Notia(TM) plant information management solutions. Process & Building Solutions ( www.intergraph.com/pbs) is the acknowledged global leader in the plant creation market (Source: Daratech Inc.). A division of Intergraph Corporation, Process & Building Solutions is headquartered in Huntsville, Ala. USA, employs more than 850 people and does business in more than 60 countries.

Intergraph Corporation common stock trades on The Nasdaq Stock Market under the symbol: INGR.

Intergraph, the Intergraph logo, SmartPlant, SmartSketch and FrameWorks are registered trademarks and PDS, Notia and MARIAN are trademarks of Intergraph Corporation. Other brands and product names may be trademarks of their respective owners. (c) 2001 by Intergraph Corporation.

Software prices, availability, functions, features and specifications subject to change without notice. Any prices quoted are in United States dollars and subject to applicable taxes and international currency exchange rates. This news release contains forward-looking statements regarding future events that are subject to risks and uncertainties. Certain risks and uncertainties of Intergraph Corporation are discussed in the company's Form 10K filed with the Securities and Exchange Commission. Copies are available without charge upon written request to Shareholder Relations, Intergraph Corporation, Huntsville, Ala. 35894.

NOTE TO EDITORS:

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Contact:
     Intergraph Process & Building Solutions
     Tom Greer, 256/730-3136
     
Email Contact



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