Pivotal Acquires CRM Unit of Software Spectrum

Acquisition expands expertise in multi-channel contact center solutions and enterprise-class demand chain projects

Vancouver, BC, December 7, 2000 — Pivotal Corporation (Nasdaq NM: PVTL; TSE: PVT) today announced that it has completed the acquisition of one hundred percent of the CRM unit of Dallas-based Software Spectrum, Inc. This acquisition enhances Pivotal's capabilities in delivering solutions for multi-channel contact centers and enterprise demand chain networks.

Software Spectrum's CRM unit, based in Dallas, delivers solutions and consulting expertise in multi-channel contact centers, demand chain management and customer relationship management to help organizations increase revenue and customer satisfaction.

"By acquiring Software Spectrum's CRM unit, Pivotal obtains considerable interaction management talent, including expertise in multi-channel contact centers," said Divesh Sisodraker, vice president of corporate development, Pivotal. "This acquisition also expands Pivotal's presence in Dallas with the addition of fifty Pivotal trained experts. The Dallas location complements Pivotal's presence in other major North American centers."

Under the terms of the definitive agreement, Pivotal paid approximately US$6.1 million for all of the issued and outstanding shares of the CRM unit of Software Spectrum. Consideration will consist of US$750,000 in cash, with the balance paid in common shares of Pivotal. As a result of the transaction, Pivotal will issue approximately 140,000 shares of its common shares. The transaction will be accounted for as a purchase.

Leading enterprises are leveraging the power of interaction management to drive revenue by responding to customer demand with intelligence, speed and flexibility. Customers insist that companies deliver service and results on demand through the customers' preferred choice of communication - including all traditional, Internet and wireless channels. By empowering customer-facing employees to deliver timely, intelligent service and cross-sell and up-sell effectively by understanding customer needs, enterprises can maximize revenue opportunities and increase customer loyalty.

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 press release contains forward looking statements including statements about the capability of Software Spectrum's CRM Unit to enhance Pivotal's ability to deliver solutions such as multi-channel contact centers, demand chain management and customer relationship management and the role this acquisition will play in furthering Pivotal's strategy to meet enterprise demand for fast implementation of demand chain network solutions involving multi-channel contact centers. These statements are based on management's current projections, beliefs and opinions at the date of this press release. Actual results could differ materially from those anticipated in these statements due to a number of risks, uncertainties and other factors, such as unanticipated difficulties in integrating Pivotal's and Software Spectrum's CRM Unit businesses, the possibility of technical difficulties or delay in integrating Software Spectrum's CRM Unit technologies with Pivotal's products, in completing and releasing software solutions incorporating Software Spectrum's CRM Unit technology or future product introductions and improvements, the possibility that competitors will introduce new and improved products and services that are superior to Pivotal's and Software Spectrum's CRM Unit combined products and the need to compete successfully with existing and new products and services offered by competitors. Pivotal undertakes no responsibility to update forward-looking statements if circumstances or management's projections, beliefs of opinions change. Jacqueline Voci
Tel: 425.897.6992
Fax: 425.897.8401
Email: jvoci@pivotal.com

Investor Contact:
Sophia Couspos, Pivotal Corporation
Tel: 604/904-5996
Email: investor-relations@pivotal.com