SAP Placed in Leaders Quadrant for Utilities

Leading Analyst Firm Positions SAP in Leaders Quadrant for Utilities Customer Information Systems

Walldorf, GermanySAP AG (NYSE: SAP) today announced that Gartner, Inc. has positioned SAP in the leaders quadrant of this year’s “Magic Quadrant for Utilities Customer Information Systems, 1H071” based on completeness of vision and ability to execute on that vision. Gartner defines leaders as “vendors that would normally be included in shortlists for customer information systems (CIS) products, for all types of utilities, worldwide. They perform profitably, grow their revenue and have a presence in all major markets. Their functionality is above average, and their technology and scalability are leading edge. These vendors would be followed and tracked by other CIS vendors.”

SAP has more than 30 years of experience helping utilities become best-run businesses. Currently, more than 500 utilities worldwide are using the SAP® for Utilities portfolio of solutions with comprehensive support for customer care and billing. By leveraging enterprise service-oriented architecture (enterprise SOA) and the SAP NetWeaver® platform, SAP continues to execute on its mission to provide an integrated solution portfolio for the utilities industry that drives efficiencies while enabling greater flexibility to adapt to market challenges.

“Gartner evaluated SAP based on our completeness of vision and ability to execute, and we believe this year’s Magic Quadrant for Utilities Customer Information Systems, 1H07 proves our ability and commitment to meet the challenges that our customers face in an ever-changing utilities market ,” said Stefan Engelhardt, head of Industry Business Unit Utilities, SAP. “We are in the business of delivering innovative, flexible and scalable IT solutions that empower our customers to make small adjustments and game-changing decisions that will affect the viability of their business for years to come.”

1Gartner, Inc., “Magic Quadrant for Utilities Customer Information Systems, 1H07” by Zarko Sumic, 1 June 2007

About the Magic Quadrant

The Gartner Magic Quadrant is copyrighted 2007 by Gartner, Inc., and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

<h4About SAP for Utilities

The SAP® for Utilities solution portfolio employs more than 30 years of industry experience to deliver end-to-end processes through all vital utilities-specific business domains, market roles and supply services. The solution portfolio drives efficiencies and provides more flexibility to transforming utilities markets by using enterprise SOA and SAP NetWeaver. More than 1,150 utilities in over 70 countries run solutions from SAP in areas including customer relationship and billing, extending business processes into advanced metering infrastructures, market communication, technical asset management for generation and T&D, sourcing and procurement, enterprise management, as well as midsize municipal utility and water services. (Additional information at (www.sap.com/industries/utilities/)