$6 Million Investment Led By ArrowPath Venture Capital with Red Rock Ventures, Vision Capital and Cross Atlantic Partners

SAN JOSE, Calif., October 19, 2004 - SAQQARA® Inc., an innovative provider of commerce data management solutions for enterprise spend management (ESM), today announced that it has received $6 million in financing from a group of venture firms led by ArrowPath Venture Capital. With this round of financing, the company has raised more than $60 million of venture capital to create and bring to market uniquely comprehensive commerce data management solutions to facilitate and optimize on-line commercial interaction between corporate buyers and their suppliers.

SAQQARA's software innovations, which are provisioned as an automated managed service, eliminate fundamental barriers to supplier management as a foundation for enterprise spend management. ESM has become a key priority for many companies in achieving their financial performance goals. Managing timely and accurate commerce data is a primary challenge that large corporations face when attempting to achieve savings from their e-Procurement systems and other aspects of their ESM initiatives. SAQQARA's managed service automates the entirety of commerce data management to unlock dramatic savings that are otherwise unachievable by maximizing process efficiency and enabling spend optimization.

"We have been interested in enterprise spend management systems for some time and are impressed with the completeness and maturity of SAQQARA's offerings as well as their established position in the market", said Morgan Rodd, partner at ArrowPath Venture Capital. "SAQQARA's uniquely comprehensive solutions are helping companies significantly reduce their costs today by addressing the otherwise unwieldy challenge of managing commerce data. We are excited about this market and in particular SAQQARA as their solutions continue to demonstrate significant ROI for the enterprises that employ them."

"With major development activity completed and great success with new customer validation, we now are investing heavily in market development and broader deployment of our CDM solutions within the enterprise customer market," said Keith Scott, chief executive officer of SAQQARA. "We are delivering significant improvements in enterprise spend management for our customers, which allow them to achieve their savings objectives. In many cases we find that these installations typically pay for themselves in less than 6 months and begin delivering cost savings and overall business responsiveness improvements almost immediately."

About SAQQARA Inc.
SAQQARA provides comprehensive commerce data management solutions that transform potential savings into actual savings by eliminating the barriers to optimized enterprise spend management. Only SAQQARA offers fully automated end-to-end fusion between data and business policies to create and maintain transactionable, intelligent, dynamic commerce data. More than 80 customers worldwide rely on SAQQARA including global enterprises such as Alcoa, America West, Cooper Industries, and Honeywell. SAQQARA is a privately held corporation with headquarters in San Jose, California. For further information about the company and its products, visit http://www.saqqara.com or call 408-325-8200 or toll free 877-964-0100.

About ArrowPath Venture Capital
ArrowPath is a unique, $400 million early stage venture capital firm located in Menlo Park, California. ArrowPath selectively invests in information technology companies that have differentiated product offerings and prospects for market leadership over time. Areas of investment include enterprise software, network security, data and storage networking, vertical applications, web services and other data-center and application software technologies. For additional information, visit www.arrowpathvc.com.

®2001-2004 SAQQARA Inc. SAQQARA CDM for e-Procurement are trademarks. The SAQQARA name and SAQQARA logo are registered trademarks of SAQQARA Inc. All other company names mentioned herein are registered trademarks or trademarks of their respective owners.