Red Hat global preferences

Press release

Hilti Standardizes Global Mission-Critical Systems On Red Hat Enterprise Linux and SAP® Solutions

Organization increases performance by more than 100% and achieves 50% overall cost reduction with Red Hat solutions

RALEIGH, N.C.

Red Hat, Inc. (NYSE: RHT), the world's leading provider of open source solutions, today announced that Hilti Corporation has migrated its critical systems running SAP® applications, including SAP Business Suite, SAP ERP, SAP Customer Relationship Management (SAP CRM) and the SAP NetWeaver® technology platform, from Tru64 UNIX to Red Hat Enterprise Linux, Red Hat Cluster Suite and Red Hat Global File System (GFS). The migration to Red Hat solutions has delivered increased performance and reduced electricity costs and has provided the company with a long-term platform strategy that aims to enable the Hilti IT team to be highly responsive to the increasing requirements of a global manufacturing sales and service organization.

Hilti Corporation, headquartered in Schaan in the Principality of Liechtenstein, is a world-renowned manufacturer of leading-edge technology for the global construction industry. The company's sales and service organization of 20,000 global employees works directly with customers in more than 120 countries around the world, handling more than 200,000 customer contacts every day.

When HP announced it would discontinue development and support for Tru64 UNIX and Alpha Server in 2004, Hilti looked for an alternative platform for its critical systems.

"We were experiencing a classic case of vendor lock-in and the expertise our team had built over many years was suddenly depreciating rapidly," said Michael Hagmann, head of Enterprise Server Technology at Hilti Corporation. "Trying to extend the lifecycle of the Tru64/Alpha platform was not an option, as we would quickly run into maintenance and hardware issues. We started evaluating alternative platforms with our previous experience in mind."

Hilti's enterprise server team had only three months to evaluate hardware and software alternatives before making the final investment recommendation to the Executive Board. A strong argument in favor of choosing Red Hat solutions was that all of Hilti's application vendors, including SAP, have certified their products to run on Red Hat Enterprise Linux. The organization's largest and most critical systems rely on SAP Business Suite, SAP ERP and SAP CRM, each with more than 5TB of data. As an SAP customer, Hilti wanted to consolidate, standardize and expand its SAP software-based environment to improve its business performance and enhance its systems reporting capabilities, all while migrating to a new platform.

We migrated to SAP applications on Red Hat Enterprise Linux on HP ProLiant servers after evaluation and testing," said Martin Petry, CIO at Hilti Corporation. "Since the migration, we have experienced increased performance by more than 100 percent. We also reduced IT costs with a commoditized architecture. Having a tight level of integration between the Red Hat and SAP support organizations gives us the confidence to continue along this path and further reduce our costs by migrating all of our SAP environment to Red Hat Enterprise Linux."

"The combination of SAP solutions on Red Hat Enterprise Linux has delivered significant improvements in performance," said Hagmann. "And the servers are very power-efficient, which means cost savings and a reduced carbon footprint. As a company driven by innovation and passionate engineers, we're very happy to have made this big step to standardizing on Red Hat Enterprise Linux and industry-standard servers."

"Our customers are looking increasingly to open, standards-based platforms to create scalable, high-performance business applications," said Helge Deller, head of the SAP Linux Lab, SAP. "In today's challenging economic environment, supporting open source alternatives, like Red Hat Enterprise Linux, is important to SAP customers. Running SAP solutions together with Red Hat Enterprise Linux delivers added value to customers that meets their business and technology needs."

To read the full Hilti Corporation case study, visit www.customers.redhat.com.

For more information about Red Hat, please visit www.redhat.com. For more news, more often, visit www.press.redhat.com.

About Red Hat, Inc.

Red Hat, the world's leading open source solutions provider, is headquartered in Raleigh, NC with over 65 offices spanning the globe. CIOs ranked Red Hat as one of the top vendors delivering value in Enterprise Software for five consecutive years in the CIO Insight Magazine Vendor Value survey. Red Hat provides high-quality, affordable technology with its operating system platform, Red Hat Enterprise Linux, together with applications, management and Services Oriented Architecture (SOA) solutions, including JBoss Enterprise Middleware. Red Hat also offers support, training and consulting services to its customers worldwide. Learn more: http://www.redhat.com.

Forward-Looking Statements

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending, the integration of acquisitions and the ability to market successfully acquired technologies and products; the ability of the Company to effectively compete; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company's growth and international operations; fluctuations in exchange rates; adverse results in litigation; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Quarterly Report on Form 10-Q (copies of which may be accessed through the Securities and Exchange Commission's website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic conditions, and governmental and public policy changes. 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.

SAP Forward-looking Statement

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

LINUX is a trademark of Linus Torvalds. RED HAT® and JBOSS® are registered trademarks of Red Hat, Inc. and its subsidiaries in the US and other countries.

SAP, SAP NetWeaver and all SAP logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries.

All other product and service names mentioned are the trademarks of their respective companies.

About Red Hat

Red Hat is the world’s leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.

Forward-looking statements

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending; the effects of industry consolidation; the ability of the Company to compete effectively; the integration of acquisitions and the ability to market successfully acquired technologies and products; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company’s growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Quarterly Report on Form 10-Q (copies of which may be accessed through the Securities and Exchange Commission’s website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. 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 this press release.