Sapiens introduces new generation of business-rules technology through service oriented architecture

Future Proofing the eMerge Technology Suite

October 26, 2005

RESEARCH TRIANGLE PARK, NC, October 26, 2005 - Sapiens International Corporation N.V. (NASDAQ: and TASE: SPNS), a member of the Formula Group (NASDAQ: FORTY and TASE: FORT), announced today an upgrade to its pioneering eMerge™ business-rules technology suite. Release V4.4 of eMerge™ adds support for Service Oriented Architectures (SOA), enhancing the cost-efficient delivery and management of modular and reusable enterprise software solutions. Providing the agility required of enterprises responding to challenges posed by the ever-increasing pace of change in the global economy, eMerge™ V4.4 includes:

Web Services – enabling enterprises to extend value by using Web Services for existing and new business services – whether provided by Sapiens or others. Web Services are published and consumed utilizing SOAP for CICS or AXIS running in an Application Server such as IBM's WebSphereTM, BEA WebLogicTM, etc. Supported transports include WebSphere MQTM and HTTP.

XML Messaging – providing the ability to both instantiate and receive XML messages to and from 3rd party applications out of the box adds an important new capability to integrate disparate silo-style legacy and new business systems. Full integration with eMerge's business rules engine and development environment translates into higher productivity in handling real-world integration challenges. eMerge™ XML messaging supports both synchronous and asynchronous modes of processing.

J2EE and .NET Support – enabling easy integration within J2EE and .NET architectures, including eMerge Resource Adapter which implements a J2EE connector according to the SUN Java Connector Architecture specification and EJB Binding – the ability to access eMerge™ objects from an EJB container.

Using these new features, enterprises that have previously leveraged eMerge™ to define highly complex business logic and execute heavy duty transaction-intensive enterprise class work loads can now use industry standard technologies to rapidly extend the value of their eMerge™ business-rules technology to all corners of the enterprise.

Remarking on the release, Mr. Itzick Sharir, President and CEO of Sapiens International said: “This new generation of eMerge™ demonstrates our continued commitment to enhancing and ‘future proofing’ our technology. We protect and extend the value of our clients’ investment in our eMerge™ technology through the development of new capabilities and adapters which allow them to leverage new industry standard technologies without the cost of re-developing their eMerge™ applications. To our insurance customers, this new generation of eMerge™ enables the deployment of new business modules while providing the flexibility and speed to market required in today's changing world."

About Sapiens eMerge™
Sapiens eMerge™ is a robust, rules-based rapid application development (RAD) technology suite leveraged by organizations worldwide to quickly develop, run and maintain software solutions at lower overall cost. Future-proofed using our eMerge™ Adapter approach to technology evolution, eMerge™ developed solutions can be migrated from platform to platform, database to database, and leverage new technologies, such as Web Services, without rewriting the solution. Deployed at over 100 global clients, eMerge™ uses event-driven technology to maintain the integrity of business policies and establishes a single point of truth, allowing companies to better manage compliance issues and rapidly implement new business rules.

About Sapiens International
Sapiens International Corporation (NASDAQ and TASE: SPNS), a member of Formula Group (NASDAQ: FORTY and TASE: FORT), is a leading global provider of proven IT solutions that modernize business processes and enable insurance organizations to adapt quickly to change. Sapiens' innovative solutions are widely recognized for their ability to cost-effectively align IT with the business demands for speed, flexibility and efficiency. Sapiens operates through its subsidiaries in North America, the United Kingdom, EMEA and Asia Pacific, and has partnerships with market leaders such as IBM and EDS. Sapiens' clients include AXA, Liverpool Victoria, Norwich Union, OneBeacon, Principal Financial Group, Prudential, Abbey National, ING, and Occidental Fire & Casualty among others.

For more information, please visit http://www.sapiens.com.

Except for historical information contained herein, the matters set forth in this release are forward-looking statements that are dependent on certain risks and uncertainties, including such factors, among others, as market acceptance, market demand, pricing, changing regulatory environment, changing economic conditions, risks in new product and service development, the effect of the Company's accounting policies and other risk factors detailed in the Company's SEC filings.

Contact:
Mary Onate
Sapiens Americas
Tel: +1 919-405-1588
e-Mail: mary.o@sapiens.com