News release

webMethods and HP Collaborate to Provide Global Business Visibility through Open Management Interface (OMI) Specification

New OMI Specification Will Link HP OpenView Portfolio with the webMethods Integration Platform

FAIRFAX, Va. - September 19, 2001

webMethods, Inc. (Nasdaq: WEBM), a provider of integration software, and Hewlett-Packard Company (NYSE:HWP) today announced they will collaborate on writing the Open Management Interface (OMI) specification. The OMI specification will allow systems management applications, such as HP OpenView, to pull information from the systems they monitor -- information beyond what is typically examined regarding system performance and capacity. The OMI specification will help the HP OpenView portfolio of software and services monitor the health of a business in addition to the health of technology systems.

By combining a systems management application with the webMethods integration platform via the OMI specification, a company can delve more deeply into its business processes. IT has always been responsible for managing the layers of technology within its own organization, and increasingly, the IT organization is becoming responsible for the success and the future of the entire business. To address this responsibility, the IT focus shifts from managing components of technology to managing the business process from the end-user's perspective - this is a key component of a company's service-level management strategy.

Through the use of integration software, customers can include business processes into service-level management agreements with customers, vendors and suppliers. If a process fails to work -- for example, the processing of a purchase order is delayed or cancelled -- a company can determine if it is due to a system being down or if it is a breakdown in the business process itself. Also, integration allows companies to know which business processes will be affected if any given system or application fails.

The OMI specification will be designed to enable collaboration of systems management software and integration software, allowing for information to be identified and pulled together for business analysis, regardless of where the information is stored throughout an enterprise. The combination of systems management and integration software provides the means to achieve global visibility.

"HP and webMethods are addressing a fundamental business problem - the inability to view the health of an entire global organization," said Jim Green, chief technology officer of webMethods Inc. "Global Business Visibility provides companies with an effective means to manage and analyze applications that contain important business information needed for business analysis. It will allow companies to finally access the full range of their corporate information."

Companies can create queries about the performance of their systems as well as about the performance of their business, such as how long it takes to process a purchase order or to locate bottlenecks in the sales order process.

The information necessary to answer these questions often spans the multiple applications monitored by a systems management solution, and can be accessed using the OMI specification and the webMethods integration platform.

"Integration is a prerequisite for achieving Global Business Visibility. Technology allows for the proliferation of data, and pulling that information together can only be accomplished by connecting the applications and systems in which it resides," said Rick Hayes-Roth, chief technology officer for software, HP. "Our collaboration with webMethods will help companies make sure their technology is working properly and is providing them with the information that's necessary to successfully run a business."

In addition, with HP OpenView's new Smart Plug-in (SPI), customers can extend their management capabilities to include monitoring and managing the webMethods Enterprise Server. This new SPI is an extension to HP OpenView Operations and will be available in September 2001.

About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services -- is focused on making technology and its benefits accessible to all. HP had total revenue from continuing operations of $48.8 billion in its 2000 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com.

About webMethods, Inc.

webMethods, Inc. (Nasdaq: WEBM - news) is the leading provider of integration software. The webMethods integration platform allows customers to achieve quantifiable R.O.I. by linking business processes, enterprise and legacy applications, databases and workflows both within and across enterprises. By deploying the webMethods integration platform, customers reduce costs, create new revenue opportunities, strengthen relationships with customers, substantially increase supply chain efficiencies and streamline internal business processes.

Founded in 1996, webMethods is headquartered in Fairfax, Va., with offices throughout the U.S., Europe and Asia Pacific. webMethods has approximately 700 customers worldwide including Global 2000 leaders such as Citibank, Dell, Eastman Chemical, The Ford Motor Company, Grainger, and Motorola. webMethods' strategic partners include Accenture, Ariba, BroadVision, Commerce One, Deloitte Consulting, EDS, Hewlett-Packard Company, i2 Technologies, J.D. Edwards, KPMG Consulting, Microsoft, Oracle Corp., SAP AG and Siebel Systems. More information about the company can be found at http://www.webMethods.com.

webMethods is a registered trademark of webMethods, Inc. All other company and product names are the property of their respective owners.

This press release contains various remarks about the future expectations, plans and prospects of webMethods that constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. The actual results of webMethods may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed in ``Factors That May Affect Future Operating Results'' in the Business section of webMethods' Form 10-K for the year ended March 31, 2001, which is on file with the Securities and Exchange Commission.