VISTAGY, Inc., Announces 2003 Revenue Increase of 45 Percent

Successful developer of engineering software is expanding worldwide operations

WALTHAM, Mass., February 17, 2004—Today VISTAGY, Inc., creators of specialized software for product design and manufacture, announced that gross revenues grew 45 percent in 2003 over the previous year. The 2003 results came from new product sales to more than 40 companies, including a US$1.95 million purchase by Northrop Grumman, and growing sales of its newest product EnCapta®.

VISTAGY’s record year follows revenue increases of 35 percent in 2001 and 16 percent in 2002. The company expects to grow vigorously again in 2004 and will double the size of its Waltham, Massachusetts headquarters and add regional offices in Germany and Detroit, Michigan.

VISTAGY’s flagship FiberSIM® software is the world's leading software for design and manufacture of composite products. Users of FiberSIM have included a 2003 America’s Cup syndicate, designers of Formula One and LeMans racecars, and makers of military and commercial aircraft. VISTAGY’s newest software, EnCapta, enables designers to capture and communicate difficult-to-organize engineering information, no matter how specialized, and make it more accessible to users throughout the product development cycle to hasten decision-making.

Aerospace and automotive industry leaders such as Boeing, BAE Systems, EADS, Lockheed Martin, General Motors, and Porsche are among VISTAGY’s customers. The company has over 150 customers worldwide. Despite the challenging business environment that the aviation and automotive sectors have faced since early 2002, these two markets fueled the rise in VISTAGY revenue.

“Many companies in the automotive and aerospace fields are willing to explore innovative design and manufacturing processes in order to achieve strategic time and cost savings,” says Steve Luby, president and CEO of VISTAGY. “More than ever, our customers are committed to buying software tools that will pay for themselves within six months or less.” VISTAGY is aggressively pursuing new sales in 2004.

About VISTAGY, Inc.

VISTAGY, Inc., founded in 1991, develops software that is tightly integrated with popular CAD systems to create specialized engineering environments. VISTAGY software enables engineers to increase productivity, improve the communication of product information, and allow better-informed decision-making early in design. VISTAGY software is used throughout the world in the aerospace, automotive, marine, medical, and sporting goods industries. The company also offers training and consulting services. For more information, contact VISTAGY in Waltham, Massachusetts, USA, at +1.781.290.0506 x 300 or visit www.vistagy.com.