Press release

Skanska leaves UNIX in favor of Red Hat

Skanska achieves higher quality, stability and expects 30 percent reduction in costs

STOCKHOLM

Red Hat (NASDAQ: RHAT), the world's leading provider of open source solutions to the enterprise, today announced that it has successfully moved Skanska's business-critical intelligence systems from Unix to a Red Hat Enterprise Linux solution powered by Intel-based hardware. Red Hat's collaboration with Skanska has resulted in cost savings within Skanska's IT infrastructure department and has improved the performance of the company's servers and applications.

Skanska had been using an Oracle business intelligence solution that required a stable, high availability platform, for four years. When Skanska updated to Oracle 11i, it was also necessary to upgrade company hardware in order to enable all features in the new application. To minimize the considerable investment required to perform this upgrade using their old Unix based Sun Solaris platform solution, Skanska evaluated various alternatives from the open source community.

"Security, stability and cost efficiency are important aspects of our business. We found these qualities within the alternative solutions offered by the open source community, especially from Red Hat who provided packaged solutions that include the level of support we require. Importantly, Red Hat has extensive documented experience in enterprise solutions," says Sara Lewerentz, responsible for IT infrastructure at Skanska Sweden.

Skanska IT Solutions chose Red Hat Enterprise Linux coupled with Oracle's E-business Suite to standardize processes within the finance department. As part of the new solution, a parallel Oracle RAC database runs on 12 Dell Intel-based servers, each of which have four processors. The solution also includes storage architecture including two Dell/EMC CX700s with a storage capacity of 70 TB.

The new business intelligence system serves more than 5,000 users where the ability to minimize downtime and maximize security is crucial. Additionally, the system handles 6,000 transactions daily, a workload which demands a high degree of stability and security.

"The greatest benefit for us has been that we have already lowered our operating costs. Every saved dollar is a dollar earned as long as security and stability are guaranteed. We have achieved all of our goals in this project so far and expect to reduce costs by 30%," says Sara Lewerentz, responsible for IT Infrastructure at Skanska. The day after platform migration, all 5,000 users returned to their desks and could continue their work without interruption. The process of cleaning databases, performing calculations and archiving material became much faster thanks to higher performance within the systems.

Skanska is looking forward to realizing calculated savings of about 30 percent of IT costs. The company also plans to standardize other modules as far as possible in order to minimize any interference between systems and to avoid any costly developments of customized applications.

For more information about Red Hat Enterprise Linux, please visit http://www.redhat.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.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.

Common with UNIX footnote

LINUX is a trademark of Linus Torvalds. Red Hat is a registered trademark of Red Hat, Inc. UNIX is a registered trademark of The Open Group. All other names and trademarks are the property of their respective owners.

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.