IBM Global Services to market Peregrine software

NEW YORK: Peregrine Systems Inc.'s asset-management software will be marketed
by the massive Global Services arm of International Business Machines Corp., the
companies said on Wednesday.

As part of the deal, San Diego, California-based Peregrine, will pay IBM
several million dollars over several years to host Peregrine's Get2Connect
global online trading market.

IBM will resell Peregrine's Infrastructure Management software, which helps
companies keep track of and manage their computers, cellphones, cars, buildings
and other physical and intellectual property.

The Peregrine software targets the world's 1,000 large companies. Remedy
Corp., another IBM Global Services partner, targets midsized companies with its
asset-management software. With nearly a 1,50,000-member work force, IBM Global
Services operates in 160 countries and generated more than $33 billion in
revenue in 2000.

"Our expanding relationship with IBM will help our customers reduce the
frictional cost of doing business," Steve Gardner, Peregrine chairman and
chief executive, said in a statement. "The combined offering will help
customers achieve much higher productivity and return on invested capital by
better managing their global infrastructures."

An IBM spokesman said 300 Global Services consultants will be trained to
support and implement Peregrine's applications. In late-morning Nasdaq trade,
Peregrine shares were up 3 per cent, or 82 cents, to $28.17.

The second part of the deal calls for IBM to provide a network backbone on
which to run Peregrine's Get2Connect, a market place with 44,000 customers. The
trading center processes about 1.2 million electronic-commerce deals a day
valued at about $280 billion a year, Peregrine said. IBM's Global Services
network has more than 200 data centers around the world and will be responsible
for the management of the system on which the marketplace operates. Peregrine
will continue to manage the actual operations.

IBM will allow Peregrine to offer its software as an Application Service
Provider in which Peregrine will operate from the IBM sites its programs for a
customer, who can access the programs via the Internet. Instead of paying a
license fee to own and run the software, the customer pays via a subscription.

(C) Reuters Limited 2001.