Digital Fuel Announces First Close of Series B Financing

Digital Fuel Technologies, Inc., a leading provider of Sourcing Relationship Management (SRM) software for the extended enterprise, announced today that it has completed the first close of its Series B financing. To date, the round has secured US$4.25 million to be used to expand the company's worldwide sales and marketing efforts during 2002. This Series B round was led by Apropos IT Ventures, joined by current investors Israel Seed Partners and Shlomo Kramer. Betsy Atkins, a private investor, also participated in this round. The round will remain open for additional investments for the next 90 days. Dr. David Schwartz, principal of Apropos IT Ventures and editor of the Journal of Internet Research will join the board of Digital Fuel following the new investment.

"Today's enterprises are increasingly dependent upon the performance, often mission critical, of their portfolio of outsourcers. Proper management of outsourcing relationships is one of the most vital problems plaguing the Global 2000," commented Dr. Schwartz. "Digital Fuel's solution," he added, "gives its customers an incredibly powerful tool and a significant competitive advantage in managing their outsourcing relationships."

"Securing this new round of investments is a clear testament to the strength of Digital Fuel's vision, team and products" stated Benny Lehmann, chief executive officer for Digital Fuel Technologies, Inc. "Digital Fuel will continue to serve as the market leader delivering the most flexible and scalable solutions for managing outsourcing relationships."

About Digital Fuel

Digital Fuel is the leading provider of business service management (BSM) software solutions, helping service providers and enterprise service organizations manage the performance, financial, and regulatory aspects of IT, telecommunications, and business process services.  Digital Fuel has the largest deployments for SLA management and service cost management in the world, with thousands of concurrent users, SLAs, KPIs, metrics, cost formulas, and pricing rules.  With Digital Fuel’s patented visual approach, our customers are deployed rapidly to quickly drive business value from automating the management of service offerings, agreements, service cost, and performance with their service customers and vendors.  ServiceFlow manages billions in business and IT services at companies and governments around the world such as Procter & Gamble, General Electric, Cummins, Capgemini, BT, IBM, SITA, Siemens Business Services, O2, Atos Origin, Telefonica, Transport of London, CSC and many others.  Digital Fuel is headquartered in San Mateo, California, with offices across North America and Europe.  Learn more at http://www.digitalfuel.com.