Pivotal Announces Japan Subsidiary to Provide Demand Chain Solutions for the Japanese Market

Pivotal targets Japanese companies with integrated solutions for CRM, eSelling and eCommerce

Tokyo, Japan, November 29, 2000 — Pivotal Corporation (Nasdaq NM: PVTL; TSE: PVT) today announced that it is establishing "Nihon Pivotal K.K.," a wholly-owned subsidiary based in Tokyo, Japan. Nihon Pivotal K.K. will capture the growing opportunity to provide large and medium-sized Japanese companies with integrated demand chain network solutions for customer relationship management, eSelling, and eCommerce. Pivotal president and CEO Norm Francis announced the formation of Nihon Pivotal K.K. at an event held in Tokyo.

Pivotal's presence in Japan is in response to growing global demand for Pivotal's solutions, which allow companies to increase revenue by understanding, engaging, and servicing customers with speed, flexibility and intelligence. Nihon Pivotal K.K. will deliver Pivotal's suite of solutions, including Pivotal ePower 2000, Pivotal eRelationship 2000 and Pivotal eSelling 2000.

A new report by IDC Japan projects that the country's CRM service market will more than double to US$2.17 billion by 2004 from revenue of just over $1 billion in 1999.

"Pivotal is committed to delivering demand chain products, expertise and services that are designed specifically for the Japanese culture and business models," said Norm Francis, president and CEO, Pivotal. "For centuries, Japanese companies have built solid customer relationships that are based on integrity and personalization. Pivotal's solutions are enabling Japanese companies to extend these relationships and maximize revenue by leveraging the Internet to create business networks that increase customer satisfaction and improve customer loyalty."

Pivotal is working closely with strategic partners, including Yokogawa Electric, to market and implement its solutions in the Japanese market. Yokogawa's extensive understanding of the Japanese market combined with Pivotal's advanced solutions is a powerful combination for Japanese companies that want to quickly adapt their business models to incorporate new revenue streams.

According to Hidetoshi Koga, chief manager, CRM Solutions, IT Systems Division, Yokogawa Electric Corporation, "Pivotal's solutions for customer relationship management, eCommerce and demand chain management are a compelling choice for Japanese companies that want to quickly increase customer loyalty and revenue generation by networking business relationships across all traditional and Internet communication channels. Pivotal is demonstrating a long term commitment to the Japanese market by establishing a direct presence, a powerful partnership with Yokogawa and solutions tailored for Japanese companies."

Pivotal distributors have had a history of success in Japan with an impressive list of customers including Diamond Lease, CompuWare Corporation Japan, Toshiba Information Systems Corporation, NTT Data Communications Systems, Olivetti Corporation of Japan, Hitachi Telecom Technologies Ltd., NEC Corporation, Hitachi Chubu Software Ltd., Toho Gas Information Systems Co. Ltd., Kokusai Kogyo Co., Ltd. and Daiwa Seikan.

According to Jim Warden, vice president of sales, Asia Pacific, Pivotal, "Faced with immense global competition, Japanese companies are making a critical decision to use advanced technologies to win customer loyalty and maximize revenues. Japanese companies are selecting Pivotal to build business networks that enable them to increase competitiveness in the global market by leveraging the Internet to bring their products and personalized customer service to a much broader market."

Pivotal's demand chain network solutions enable Japanese enterprises to accelerate global growth by seamlessly integrating the capabilities of customer relationship management, demand chain networks, and eCommerce. These highly scalable solutions enable companies to integrate and manage all demand chain activities over Internet, wireless and traditional communication channels, including sales, marketing, service, interaction management, business intelligence, and eCommerce activities. Using Pivotal's solutions, companies maximize revenue generation, increase customer satisfaction and improve operational efficiencies.

Pivotal Corporation enables large and medium-sized businesses worldwide to make, serve, and manage customers with superior speed and efficiency by providing XML-based demand chain networks that deliver personalized customer experiences across every touch point in real-time. These networks unify Internet commerce, CRM, eSelling, and wireless technologies to manage collaborative relationships between customers, business partners, and employees; guide intelligent commerce transactions across multiple channels; seamlessly integrate the demand chain with the supply chain; and fully exploit Microsoft platform standards.

Pivotal solutions are sold in 35 countries and are available in English, French, German, Spanish, Portuguese, Swedish, Japanese and Chinese. Pivotal's worldwide customer base includes more than 1,000 organizations in traditional, commercial and public market sectors and the new digital economy, including KPMG, Intrawest Corporation, Emerson Electric, US Filter, Ericsson, Nissan Motor Corp., HarperCollins Publishers, Qiagen Inc., Deutsche Bank, Trader.com, Southern Company, Lucent Technologies, Inc., NEC, Deloitte & Touche, Principal Financial Group and Red Cross Australia.

Pivotal is a public company traded on the NASDAQ under the symbol “PVTL” and the Toronto Stock Exchange under the symbol “PVT.” More information can be found on the corporate Web site at http://www.pivotal.com.

This release contains certain forward-looking statements about the growth of the Japanese market, the increasing demand for Pivotal's solution and the CRM service market generally, the ability of Pivotal solutions to enable Japanese companies to extend their relationships and maximize revenue by leveraging the Internet and Pivotal's commitment to the Japanese marketplace. These statements involve a number of known and unknown risks, uncertainties and other factors that may cause actual results of events to differ materially from those anticipated in our forward-looking statements. Factors that could cause actual results to differ materially include: the activities of our competitors in the Japanese market; the continued use and expansion of Internet use in the Japanese market; unexpected changes in regulatory requirements, import restrictions, challenges in staffing and managing foreign operations, fluctuations in foreign currency exchanges and other matters associated with the risks of expansion into the Japanese market. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements or other future events. Moreover, neither we nor anyone else assumes responsibility for the accuracy or completeness of forward-looking statements. Jacqueline Voci
Tel: 425.897.6992
Fax: 425.897.8401
Email: jvoci@pivotal.com