Red Hat announces extensive partnership with VDEL Limited.

Munich

United States, April 4, 2005

Master Distribution agreement extends Red Hat sales, services and training into Central Europe, Eastern Europe and Russia.

Red Hat, Inc. (Nasdaq:RHAT), the world's leading provider of open source solutions to the enterprise, today announced an extensive partnership agreement with VDEL Ltd. Based in Vienna, Austria and serving customers throughout Central Europe, Eastern Europe and Russia (CER), VDEL will now support Red Hat Enterprise Linux solutions with services and training.


“VDEL brings Red Hat into important developing markets including Russia”, said Alex Pinchev, Executive Vice President of Worldwide Sales, Red Hat. “This agreement is significant in that it also opens up a range of regional support and training services not previously available from Red Hat in the CER.”


”Customers throughout Central Europe, Eastern Europe and Russia want more from Linux and VDEL makes this possible at their doorstep”, said Milan Prohaska, Managing Director, VDEL. ”By bringing Red Hat Enterprise Linux solutions to local markets, we are creating an infrastructure that supports the ongoing evolution of Open Source replacing proprietary platforms.”


VDEL and its VDEL Alliance members bring IT products and services to companies in CER. The partnership between VDEL and Red Hat includes three areas of collaboration.


1) Distribution: VDEL is the master distributor for Red Hat Enterprise Linux and related solutions into the CER.


2) Training: Red Hat, through a training agreement with VDEL, will train and certify a significant number of Red Hat Certified Engineers (RHCEs) in CER in the coming year. Red Hat is sponsoring special programs such as the “One-in-a-Million” program (www.one-in-a-million.info) which provides funding to train and certify IT specialists in Linux in the CER.


3) Support: Red Hat will provide support services through VDEL and VDEL Alliance Members will provide regional language support throughout the CER.


Visit https://www.europe.redhat.com/shop/distributors.php3 for a complete list of countries where VDEL and VDEL alliance members are available for product and training services.


About VDEL Limited.


VDEL GmbH, headquartered in Vienna Austria, is the leading IT Services Distribution company in the territory of Central Europe, Eastern Europe and Russia. IT Services that VDEL delivers, using most advanced new technology methods, include 24 by 7 product implementation and configuration support, products translation and localization with maintenance of updates and upgrades, education and hands-on training, examination,marketing and sales support. VDEL provides and distributes these and other related services through our local value-add partner network that helps customers increase their productivity using selected vendor and open source products. http://www.vdel.com


About Red Hat, Inc.


Red Hat, the world's leading open source and Linux provider, is headquartered in Raleigh, NC with satellite offices spanning the globe. Red Hat is leading Linux and open source solutions into the mainstream by making high quality, low cost technology accessible. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training and consulting services to its customers worldwide and through top-tier partnerships. Red Hat's Open Source strategy offers customers a long term plan for building infrastructures that are based on and leverage open source technologies with focus on security and ease of management. Learn more: http://www.europe.redhat.com


Forward-Looking Statements
Any statements in this press release about future expectations, plans and prospects for the Company, including statements containing the words "believes," "anticipates," "plans," "expects," "will," and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the factors discussed in our most recent Quarterly Report on Form 10-Q filed with the SEC (a copy of which may be accessed through the SEC's website at http://www.sec.gov), reliance upon strategic relationships, management of growth, the possibility of undetected software errors, the risks of economic downturns generally, and in Red Hat's industry specifically, the risks associated with competition and competitive pricing pressures and the viability of the Internet. In addition, the forward-looking statements included in this press release represent the Company's views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of the press release.
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For more information, please contact:


For Red Hat: Andi Lustak, Axicom, +44 20 8392 4058, andi.lustak@axicom.com


For VDEL: Greg Bogochwalski , +43 1 478 75 08, greg@vdel.com