EMC to Acquire Captiva Software Corporation; Deal To Extend EMC's Lead in Information Lifecycle Management, Builds on Strengths

EMC Corporation, the world leader in information
management and storage, and Captiva Software Corporation, a leading
provider of input management solutions, today announced a definitive
agreement for EMC to acquire Captiva. EMC will pay $22.25 per share in
cash, or approximately $275 million net of Captiva's cash balance. The
transaction is subject to regulatory and Captiva stockholder approval,
and is expected to be completed in either late 2005 or early 2006.
Upon completion of the acquisition, EMC expects to take a charge of
approximately $15 million to $20 million for the value of Captiva's
in-process research and development costs. Excluding this charge, the
transaction is not expected to impact EPS in the first full year of
operation.
   Input management software - which provides for the conversion of
paper-based information to digital formats - has become increasingly
strategic as companies electronically capture, digitize and categorize
more of their information. This transforms costly and inaccessible
paper records into instantly usable electronic business information,
resulting in faster business processes and more accurate and timely
response in regulatory compliance situations. Through this process,
organizations gain a richer understanding of their information and
become better equipped to classify it, create policy based workflow
and automate information lifecycle management (ILM).
   This acquisition represents a natural extension to the EMC
Documentum enterprise content management platform and adds existing
integrated technology to the EMC software portfolio. Captiva focuses
on the early stages of information lifecycle management - information
capture, digitization and categorization. Together, Captiva and EMC
enable customers to either eliminate paper or automate its digital
capture and integrate the information with electronic business
processing for competitive advantage.
   Dave DeWalt, President, EMC Software, said, "Moving forward, this
acquisition will enable EMC to deliver further integrated solutions
for input management and image processing applications, and will also
serve as an increasingly important element of EMC's enterprise
archiving strategy. EMC's enterprise archiving framework will enable
customers to benefit from holistic policies for classification,
retention, retrieval, search and access across all information types -
structured, unstructured and semi-structured. As a result, customers
will realize significant cost savings through unified archiving
support for production applications, be better prepared to respond
rapidly to legal inquiries, and benefit from a consistent and
integrated archiving and retrieval approach for all information.
   "EMC and Captiva have shared a strong and fruitful partnership for
close to a decade," added DeWalt. "Through that relationship, we've
come to truly appreciate the power of our integrated and innovative
technologies. Our combined ability to streamline processes and reduce
operating expenses is having remarkable impact for customers across
the world."
   Reynolds Bish, President and CEO of Captiva, said, "This
transition marks a significant milestone in the evolution of our
company. As partners, EMC and Captiva have generated outstanding
business results for our customers. As a combined force, our
opportunities for growth and providing an even greater value
proposition are significantly enhanced. The EMC Documentum enterprise
content management platform clearly has a leadership position, and we
share a common vision for how we can leverage this platform for our
customers with Captiva as an EMC-branded and supported solution."
   In addition to tighter integration with Captiva, EMC will continue
to develop Captiva software as an open platform as it does with all
EMC multi-platform software, including the underlying content
management platform.
   Captiva's input management software optimizes the capture and
management of information. Captiva software products address the
front-end of traditional processes by digitally capturing documents,
forms, reports and other types of physical media (using scanners, fax
machines, or electronic means) and extracting the business critical
information contained therein. Business rules and decision processes
are then automatically applied to ensure accuracy, and the results are
exported transparently into ERP, accounting, credit, document, and
content management information systems.
   These systems then use this business-critical information to drive
key business processes such as loan processing in retail banking,
policy and claims management in insurance, accounts payable, customer
correspondence, new account processing, etc. This not only speeds
business process, but transforms costly and inaccessible paper records
into instantly usable electronic business information.
   Captiva is based in San Diego and counts 50% of the Global 2000
among its more than 5,000 customers. In 2005, Captiva was named one of
San Diego's fastest-growing technology companies by Deloitte & Touche,
won the "Trend-Setting Product of '05" award and was cited as one of
"The 100 Companies That Matter" in Knowledge Management by KM World
Magazine, and received the AIIM Best Practices and Best of Show Awards
2005.
   Earlier this month, EMC Corporation was recognized as a leader in
the "The Forrester Wave(TM): Enterprise Content Management Suites, Q3
2005" report. Forrester recognized EMC as a leader based on the
strength of EMC's enterprise content management (ECM) strategy and EMC
Documentum product offering.

   About EMC

   EMC Corporation (NYSE: EMC) is the world leader in products,
services and solutions for information management and storage that
help organizations extract the maximum value from their information,
at the lowest total cost, across every point in the information
lifecycle. Information about EMC's products and services can be found
at www.emc.com.

   About Captiva Software

   Captiva Software Corporation (NASDAQ: CPTV) is a leading provider
of input management software solutions. Since 1989, the company's
award-winning products have been used to manage business critical
information from paper, faxed and scanned forms and documents,
Internet forms and XML data streams into the enterprise in a more
accurate, timely and cost-effective manner. These products automate
the processing of billions of forms and documents annually, converting
their contents into information that is usable in database, document,
content and other information management systems. Captiva's technology
serves thousands of users in insurance, financial services,
government, business process outsourcing, manufacturing and other
markets. For more information, visit www.captivasoftware.com.

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   This release contains "forward-looking statements" as defined
under the Federal Securities Laws. Actual results could differ
materially from those projected in the forward-looking statements as a
result of certain risk factors, including but not limited to: (i)
adverse changes in general economic or market conditions; (ii) delays
or reductions in information technology spending; (iii) risks
associated with acquisitions and investments, including the challenges
and costs of integration, restructuring and achieving anticipated
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one-time events and other important factors disclosed previously and
from time to time in EMC's filings with the U.S. Securities and
Exchange Commission. EMC disclaims any obligation to update any such
forward-looking statements after the date of this release.