iBOLT Integration Suite Receives Compliance Confirmation In Mapping To Giga Group's Application Integration Framework - AIF - Model

Magic Software Highlighted As Leading Vendor of Business Process Management (BPM) Functionality

Wednesday September 10, 10:32 am ET

PARIS--(BUSINESS WIRE)--Sept. 10, 2003-- Magic Software Enterprises (Nasdaq:MGIC - News), a leading provider of state-of-the-art development and integration technology, announced today that its iBOLT Integration Suite has received confirmation of compliance within Giga Group's Application Integration Framework (AIF) model.

In a presentation yesterday in front of several hundred top IT professionals, leading Giga analyst Henry Peyret presented Magic's iBOLT as compared to the AIF model. In his presentation, titled "Integration Solutions: Trends and Recommendations," Peyret noted that iBOLT complies with the AIF model in providing functions in data transformation, connectivity and business process management. In addition, iBOLT provides security, operation and management functions or integration capabilities with existing security and management systems.

Peyret noted, "We can position Magic's iBOLT and eDeveloper technology as a long term technological investment as an `application, presentation and process integration platform' as defined in a recent Giga research publication. The target audience will be medium sized companies as well as larger enterprises that have a mix of J2EE, .Net and mainframe (iSeries for example) applications and are looking to begin their integration efforts with a small initial investment."

Henry Peyret's research focuses on the concepts, techniques and tools required to design flexible and responsive IS architectures. This includes Enterprise Application Integration (EAI), middleware, interfaces, business process optimization and security issues.

"We are very happy to receive this recognition from one of the industry's leading analyst groups," said Menachem Hasfari, chief executive officer of Magic Software. "In the short time since we have launched the iBOLT Integration Suite to market, we have received excellent reviews of the product from both customers and industry experts. We will continue our intensive efforts to provide our customers with leading technology for cost-efficient business integration and process management."

The iBOLT Integration Suite (www.magicsoftware.com/ibolt) delivers a sophisticated integration and development framework that provides customers with a state-of-the-art platform for rapidly integrating, developing, customizing and deploying complex and interactive solutions. The unique design of iBOLT enables customers to increase the efficiency, usability and life span of their existing systems while integrating new technologies and applications.

About Magic Software Enterprises
Magic Software Enterprises, a member of the Formula Group (Nasdaq:FORTY - News) develops, markets and supports software development, deployment and integration technology that enables enterprises to accelerate the process of building and deploying applications that can be rapidly customized and integrated with existing systems. Magic technology, applications and professional services are available through a global network of subsidiaries, distributors and Magic solutions partners in approximately 50 countries. The company's North American subsidiary is located at 17310 Redhill Avenue #270, Irvine, CA 92614-5637, telephone 800/345-6244, 949/250-1718, fax 949/250-7404, http://www.magicsoftware.com/.

The Formula Group is an international information technology company principally engaged, through its subsidiaries and affiliates, in providing software consulting services, developing proprietary software products and producing computer-based solutions.

Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. Actual results may vary significantly based upon a number of factors including, but not limited to, risks in product and technology development, market acceptance of new products and continuing product conditions, both here and abroad, release and sales of new products by strategic resellers and customers, and other risk factors detailed in the Company's most recent annual report and other filings with the Securities and Exchange Commission.

Contact:
Magic Software Enterprises Ltd.
Vice President, Worldwide Marketing
David Leichner, 949/250-1718 ext. 299
davidl@magicsoftware.com