1. Sage Review & Strategic Direction David Pinches Head of Software Group Sage User Network AGM February 2008

2. 2 Agenda Product & Suite Development Strategy –Line 500 –Sage 1000 –CRM –Business Intelligence –HR & Payroll Q&A

3. 3 The evolving requirements Beyond departmental business processes Towards all key business processes Managing Finance Managing People Managing Customers Managing Future Direction Managing Specialist Processes Managing Operations These business processes Cross departments / divisions Are interdependent

4. 4 Sage Suites Will manage all key business processes Accounting & Finance HR & Payroll Customer Management Service & Support Sales Management Business Operations. Internal & with trading partners Marketing Management Business Planning Specialist Industry Processes in Manufacturing, Construction & Retail Integrated Business processes Data Reporting & Analysis User Access Lan, Wan, & Mobile

5. 5 The Sage UK product portfolio All Users Finance and Operations Users 5 10 50 100 10 20 100 500 Functionality International 1

6. Sage Line 500

7. 7 Sage Line 500 commitment Dedicated product management and R&D team Themes for development –Listening to customers to deliver what they require –Focusing on improving application usability –Improving the User Interface experience –Widening the integration capability though APIs –Supporting extended business processes outside of Line 500 Continuing to link to other Sage software such as SalesLogix, Sage Payport, Sage Asset Manager and SageBI

8. 8 Sage Line 500 roadmap January 2008January 2009 August 2007August 2009 October 2007 Line 500 v7 Payroll 2008/9 Line 500 v7.1 Line 500 v7.2 Payroll 2009/10

9. 9 Sage Line 500 v7 – key additions Usability Universal Client enhancements Alternative BOM and Routes Multi-company batch queue clear-down Analysis codes in scheduled orders Customer Wishlist Auto Credit Notes Flexible Item Reallocation MBEs -Auto GL year-end journal -Improved aged debtors analysis Market-driven Wishlist Enhanced; Back-to-back order processing; Customer Returns module; and Credit Management module Stock Hold and Obsolete controls Carousel VAT (UK) Integration Support for additional transaction types Additional APIs Support for.Net2 International Update of existing formsets Translations for works- orderless Production, Product Management and Manufacturing Extension Pack Platforms Windows Vista ( UC & GUI ) Internet Explorer 7 UNIX platform updates

10. 10 Sage Line 500 roadmap Availability of these applications with Line 500 v7 is in planning: –Update to Sage Asset Manager v1.0 –Update to SageBI v7.0 –Update to SalesLogix v7.1 / v7.2 –Refresh Sage Retail and Payport Line 500 v7.1 will deliver many customer requested improvements As well as a number of new key modules –Snowdrop HR module –Sage payment processing

11. Sage 1000

12. 12 Accounting, Finance & Payroll Business Information Reporting & Dashboards Customer Management Service & Support Sales Management Business Operations, Distribution, Manufacturing Marketing Management Web Access & Self Serve Business Workflow and Alerting Single User Interface Data Structures Licence and User Management Role Based Configuration Environment Sage 1000 – a single integrated business system

13. 13 Sage 1000 in review Manage much more of a business –Front office to back office operations Were delivering what customers want –Four releases in 18 months –A roadmap validated by customer feedback Actively marketed for acquisition of new customers –Successful Invest Time campaign –Customers are choosing Sage 1000 –60% of sales are to new customers

14. 14 Sage 1000 is becoming a mature product with over 70 customers and some glowing references We needed more sophisticated IT systems in order to meet our requirements This value will only increase further down the road Sage really understands the needs and issues of UK businesses Information Age Effective IT Awards 2007 Most Effective Use of Information Category Sage 1000 at Scientific and Chemical Supplies Sage 1000 in review

15. 15 The Sage 1000 roadmap

16. 16 Session Summary Sage is committed to supporting mid-market businesses –Growth is organic & through acquisition Choice between a single integrated system and a componentised system –Sage 1000, the new offering –Sage Line 500, with commitment to delivering a full roadmap Delivering against our customers requests Medium term roadmap will deliver further on –Additional integration of the core applications –More relevant and requested applications functionality –Expanding the suite concept Sage is listening and responding

17. CRM Solutions

18. 18 Sage CRM Product Strategy Core product –Quality & performance –Customer requested features Integration –Out of the box ERP integrations –Integration engine, account entity, quotes/orders API. Localisation –Far eastern languages –Expanding European languages Technology –Expanded integration capabilities –Web services and.net interfaces. –Move towards more open database and browser support

19. 19 SalesLogix Product Strategy Premium level CRM application –Sales, Marketing, Service and Support Best-in-class usability Industry leading customisation Mobility leadership with customisable support for the most popular devices (e.g., Blackberry, PPC, etc.) Multi-client architecture (Web, Windows and Mobile) Modern architecture lowering cost of ownership

20. 20 Business Intelligence Hitherto an independent organisation –Pulled in many directions within UK and globally –Delivery has not been upto expectations Now part of UK Mid Market Division Absolute focus on –Business Intelligence for Line 500 –Business Intelligence for Sage 1000 –Business Intelligence for Sage 200 Integrated into the roadmaps

21. 21 HR & Payroll Snowdrop & KCS Acquisitions Mid Market – HR & Payroll Software and Services Significant domain and software delivery knowledge Can be implemented and integrated today 2008 Development Strategy –Integrating Snowdrop HR into Line 500, Sage 1000 Payroll Longer Term –HR and Payroll as a fully integrated solution set for Sage 200, Line 500 and Sage 1000 users

22. 22 Sage mid-market strategy Questions?

23. Sage Review & Strategic Direction David Pinches Head of Software Group Sage User Network AGM February 2008