PROVO, Utah — June 23, 1999 — Novell, Inc. (NASDAQ: NOVL) today announced its acquisition of Ukiah Software, Inc., a privately held developer of policy-based network management software based in Campbell, Calif. Novell expects to incorporate Ukiah's policy-based traffic monitoring and bandwidth-shaping technology into a new directory-enabled network management product to be available by the end of calendar year 1999. Financial terms of the acquisition were not disclosed.

Ukiah's technology works with directory software such as Novell® Directory Services® (NDS™) to enable businesses to establish rules, or "policies," to automate the management of traffic and quality-of-service across information networks. For example, businesses can optimize their investment in network infrastructure such as routers and switches by allocating bandwidth to mission-critical applications or users involved in critical tasks.

"As the leader in directory services, Novell is positioned to act as catalyst for a new wave of policy-based solutions that simplify and automate the management of complex networks," said Dave Shirk, Novell vice president for product management. "For policy-based management to succeed across business networks and the Internet, customers need a highly scalable, cross-platform directory based on industry standards such as Lightweight Directory Access Protocol (LDAP) and Directory-Enabled Networking (DEN). NDS is the only full-service directory ready to fill this role by storing and managing policies that bring a higher level of intelligence, efficiency and control to customer networks."

"Novell has the resources and market reach to bring Ukiah's policy management technology to an even broader community of customers," said Naveen Bisht, CEO, president and founder of Ukiah. "We are excited that technology and expertise acquired from Ukiah will help Novell deliver policy-based solutions on an accelerated schedule that will keep its customers and partners generations ahead of their competitors."

Novell will integrate Ukiah operations with Novell product development teams based in San Jose, Calif. Novell will continue support agreements with existing Ukiah customers, while integrating Ukiah technologies into Novell solutions.

About Novell

Novell, Inc. (NASDAQ:NOVL) is the world's leading provider of directory-enabled networking software. Novell solutions give businesses total control of their private networks and the Internet, simplifying the management of user access and identity. Novell's worldwide channel, consulting, developer, education and technical support programs are the most extensive in the network computing industry.

For information on Novell's complete range of products and services, contact Novell's Customer Response Center at (888) 321-4CRC (4272), or visit Novell's Web site at http://www.novell.com. Press may access Novell announcements and company information on the World Wide Web at http://www.novell.com/pressroom.

Novell and Novell Directory Services are registered trademarks and NDS is a trademark of Novell, Inc. in the United States and other countries. All third-party trademarks are the property of their respective owners.

Press Contacts:
Jonathan Cohen
Novell, Inc.
Phone: (408) 967-7268
Internet: jcohen@novell.com