VOLIA SOFTWARE and SOFTLINE COMPANY U.S. Access to Ukraine

1. VOLIA SOFTWAREandSOFTLINE COMPANYU.S. Access to Ukraine

2. Speakers Bill Hunter CEO, Volia Software Yuriy Sivitsky Vice-President of Sales & Marketing, Softline Company E-mail: Bill.Hunter@volia-software.com Yuriy.Sivitsky@volia-software.com Phone: +1 (713) 980-9815 +380 (44) 451 9225

3. The current economy requires Software Providers to deliver more value at a lower cost than ever before • Increased competition in software products market • Need to upgrade offerings to stay competitive, maintain high value for your customer’s investment • Must position for the upturn • Opportunities in new or related markets • At the same time, extreme price pressure • Current economy limits access to R&D funds

4. But the business drivers remain the same • Mergers and acquisitions • New product or service • Time to market • Reduce costs • New technology • Competition • React to change • Etc, etc

5. Internal IT organizations, software vendors, and service providers are competing for their piece of the IT budget • Consolidation in package market (ERP, EAI, Portal) • Market power will increase cost of ownership for these systems • Custom solution or “Application Transfer” may be cheaper • And provide better business processes • Less disruption to operations • Lower training costs • Preserve competitive advantage

6. In this challenging situation, many organizations attempt to increase effectiveness - with mixed results The Offshore Paradigm… Current environment makes an offshore source a competitive necessity Off-shoring and outsourcing are seen as the “silver bullet” – cost reduction and predictability Quality and process improvement initiatives are cited, projecting 20 – 35% cost savings End customers require high functional, application, and business knowledge All-in costs for US approach $100/hr. for IT work. Even more for specialized skills/knowledge, e.g., Trading systems, Telephony, Energy billing, Document management systems, ASPs Flexibility is lost, costs rise due to unmanaged and unplanned demand Code-to-spec model is fraught with difficulties, e.g., quality, maintainability, consistency Business develops and maintains IT competencies outside of the IT department- Headcount ‘reappears’ later at a higher cost, but critical skills and knowledge are lost - Results in silos and duplication of functionality

7. So what makes Volia Software different from the competition? • We are a US-based company (Houston, Texas) • Established clients in US • A proven, repeatable delivery model • Not “code to spec” • Ex-Big 5 leadership • Access to eastern European resources • Priced 65-75% less than US competition • “Platinum” offshore at commodity offshore rates • You will enjoy doing business with us

8. Project Case 1: “Ingersoll-Rand” • Client – A company from the “Fortune 500” list, global player on the markets of Security and Safety, Climate Control, Industrial Solutions and Infrastructure • Challenge – reconstruct mainframe-based order processing system • Solution – Internet-based system on J2EE platform, BEA WebLogic Application Server, Oracle backend • Process – on-site/off-site teams, remote support and maintenance • Scale – 2 years development project, strategic partnership for customer support and further improvements

9. Project Case 2: .NET Project • Client – A confidential ASP (Application Service Provider) for major corporations within the U.S. • Challenge – develop from-the-scratch a set of corporate information systems deployed to the ASP model • Solution – ASP .NET solutions on the Internet portal of the client, MS SQL backend • Process – fully off-site project • Scale – 1.5 years project, team of 30 developers, .NET experience unprecedented in C.I.S., exclusive partnership for further development

10. Softline Facts • Founded in 1995, 8 years in IT • IT systems integrator & outsourcing service provider • Offices: Houston, USA; Fribourg Switzerland; Kyiv, Ukraine • Staff : more than 350 skilled IT professionals • Most staff have advanced degrees • ISO 9001:2000 certified quality system

11. Specialization Multi-functional systems for: • Financial & operational management • HR management • Accounting & Billing • Enterprise Portals • Workflow & Document flow • Supply Chain

12. TechnologyServices • Software applications development and support • Reengineering and reconstruction of legacy systems • IT Consulting • Web design • System integration • Training

13. Customized Solutions • Information& analytical system for Public DebtManagement • Employment system • UkrPoshta system – complex solution for the National Postal Service • Corporate information system for air ticket sales of KIYAVIAPLC • Megapolis™Logistics information and analytical system

14. Legacy Systems Reconstruction Languages and platforms: • IBM 360/370, AS/400 • OS/390, SVS, VMS, VM/CMS, VM/ESA, CICS,MQ-Series • Languages: COBOL, RPG, Clipper, JCL, Natural, Perl, PL/I, PL/SQL, REXX/EXEC, ADA, Fortran, LISP, Assembler, Easytrieve, SAS, Algol • DB: DB2, Adabas, IMS, IDMS, VSAM

15. Megapolis™ Technology: • Integrated Solution for RAD • Open source • Object-oriented approach We have our own training program on Megapolis Technology for National Technical University of Ukraine

16. eSolutions • MEGAPOLIS™ eBrokerage • MEGAPOLIS™ eForex • MEGAPOLIS™Enterprise Portal

17. Infrastructure • More than 32,000 sq. ft. of ergonomically designed, air-conditioned space, with 24/7 security • 400 workstations and servers • Institute of Project Management support • Hotline Customer Care (Request Management System) • Training Center

18. Awards • First and second prizes at Ukrainian Software contests • Megapolis – winner of the best high-tech solutions contest among C.I.S. Software companies at St-Petersburg, Russia, July 2003

19. Major customers • Ukrainian Government • Ingersoll-RandIntl. • SigmaBleyzer Investment Fund • Ukrainian Mobile Communications • Kyivstar -Mobile Service Provider • National Postal Service of Ukraine • USAID • TAC Financial Group • KiyAvia Air Agency • Commercial Bank “PrivatBank” • … and many more in the • US and Europe

20. Business Partners • Microsoft • Oracle • IBM/Informix • Borland/Inprise • BEASystems • ROSSSystems • InterSystems • IDS Prof.Scheer

21. Software Development • Languages: Object Pascal, Java, Visual Basic, Visual C++, Ansi C, VBScript, JavaScript, Flash, PHP, Perl, C# , HTML, XML • Tools: Visual Studio, Delphi, JBuilder, Rational Rose, Macromedia, Allaire, Megapolis

22. Software Development • Operating systems: Windows Family, Unix/Linux Family • Technologies: OOD (UML), OOP, J2EE (EJB), COM+, CORBA/MIDAS/ Socket, .NET, XML • DBMS and Application Servers: MS SQL Server, MCIS, Oracle, Oracle Application Server, Informix, WebSphere, BEA WebLogic

23. Thank you! Any questions?

24. Appendix

25. Megapolis™ Suite • Megapolis™ Billing • Megapolis™ Budgeting and Controlling • Megapolis™ Human Resource • Megapolis™ Document Flow and Workflow • Megapolis™ Financial Accounting

26. Benefits and advantages:

27. Benefits and Advantages:Quality and Technical Knowledge • Development time reduction and cost savings • High-quality services • Innovative approach • Mature project management • Highly qualified engineers and systems analysts • Top-notch programmers •  Latest tools •  Modern technologies

28. Benefits and Advantages:On-TimeDelivery • Starting up within a few days • Prompt fulfillment of a project • Fast ramp-up of additional resources if needed

29. Benefits and Advantages:CostSavings • Substantial cost savings due to low labor costs in Ukraine • Savings due to innovative approach

30. Communications • Satellite communication • Internet • Audio- and video-conferencing technology

31. Memberships • EBA(European Business Association) • CCIA (Computer & Communications Industry Association) • American Chamber of Commerce • UASWD (The Ukrainian Association of Software Developers)