SAN DIEGO March 26, 2001 -- Peregrine Systems, Inc. (NASDAQ: PRGN) set the stage for its new brand and visual identity with a global advertising program launched today under the banner of frictionless business: helping companies remove frictional cost from inefficient  business processes.

The new brand was unveiled in Europe at the CeBIT technology conference in Hannover, Germany, one of the world's largest technology trade show, as part of an introduction that includes today's launch in the Americas and Asia Pacific. Advertising is scheduled on six cable networks in the weeks ahead, with print advertisements also planned. The brand identity crystallizes what Peregrine delivers in its software solutions and managed Internet offerings:  helping enterprises achieve  frictionless business in managing the infrastructures that support the work they do inside the company, while making it easy to connect electronically across the supply chain to businesses outside the firewall.

"Peregrine's new brand takes a clear stand about what we do for customers: automate processes that allow organizations of all types to do business with much lower frictional cost," said Steve Gardner, chairman and CEO of Peregrine, one of the world's largest software companies. "Friction points in business processes are responsible for wasted capital, frustrated employees, eroded productivity, and lower return on investments. Our goal is to help companies manage their infrastructures and empower employees for 'return on everything.' Removing friction from the collaboration of companies across the Internet drives further productivity and cost reduction. This removal of business friction points is the next frontier for companies as they look for ways to squeeze out costs and make the most of scarce capital."

The new brand position and visual identity stands for more than just a changing of the colors for Peregrine, a company that has posted a 75 percent growth in revenue annually, excluding the impact of acquisitions, since it went public in 1997. Peregrine now employs more than 2,900 people on five continents, up from only 140 only four years ago. The branding initiative, which involved interviews with hundreds of stakeholders, introduces a new visual identity, which captures a timeless image of frictionless business. And it also positions all of the company's software solutions and managed Internet offerings across Infrastructure Management, Employee Relationship Management, and B2B Relationship Management under a common theme: helping companies unleash opportunity by removing friction from inefficient business processes.

"As organizations begin to accommodate change in the enterprise--for example, change due to large integration initiatives such as Windows 2000 or incorporating handheld devices within the enterprise--they need applications and partners that help, not hinder, their ability to manage internal assets, as well as external customers," said Fred Broussard, senior research analyst at IDC, a leading market research firm. "This is a great time for Peregrine to be introducing the new brand in order to make customers aware that the company is aligned with their enterprise initiatives to make organizational change as seamless and painless as possible."

Thomas Smith, Peregrine's senior vice president of global marketing, led the brand initiative with the support of Landor Associates, one of the world's preeminent branding firms. "A 360-degree brand must be consistent and dynamic, expressing a compelling story to customers, investors, partners, prospective employees, and to the people who work for a company," said Mr. Smith. "Our new brand positioning captures the essence of Peregrine's vision and what we offer the organizations we serve."

Since the company was founded 20 years ago, Peregrine has built the software solutions market for infrastructure management, pioneering a lifecycle approach to managing all forms of assets: from computers and cell phones to fleets of vehicles, facilities and real estate. Peregrine's Employee Relationship Management solutions give employees the tools to obtain the knowledge, services, and resources they need to do their jobs from a single point accessed via personal computers and a wide array of mobile devices. Additionally, Peregrine's E-Markets Group (EMG) has created electronic commerce offerings in doing business outside the corporation, business to business.

Launching of the new brand stands among other major milestones in Peregrine's growth:

- Launch of ServiceCenter(R) 4  New Version of Flagship Product. The company this week releases a new version of its market-leading product that represents the next generation in enterprise service management.

- New Capabilities as a B2B Powerhouse. Peregrine is acquiring Extricity, Inc., a leader in relationship management solutions, to remove frictional cost from collaborative commerce by seamlessly connecting businesses, people and applications.

- Key Acquisitions. Peregrine acquired the Tivoli Service Desk suite, adding more than 1,000 customers in a transaction that also expanded its relationship with IBM. The acquisition leaves Peregrine the undisputed leader in the global enterprise market for infrastructure management solutions.

- Thought Leadership Platform. Peregrine launched a global research initiative on management and technology trends affecting companies. The team includes service management visionary, Malcolm Fry, who is working exclusively with Peregrine as an executive partner.

- Management Strength. Peregrine has added key senior executives during the past year, an expansion that has given the company one of the strongest leadership teams in the industry today.

A global advertising campaign kicked off today with commercial spots on cable networks globally, with print advertising in major publications to come. Supporting Peregrine was Marsteller Advertising in development of the campaign.

About Peregrine

Founded in 1981, Peregrine has matured into a global leader as one of the largest software companies worldwide. Peregrine supports companies with solutions that remove friction points in managing infrastructure assets, empowering employees, and enabling collaborative electronic commerce.

Peregrine's Infrastructure Management Group (IMG) provides solutions to manage the entire life cycle of an organization's assets, from IT equipment, and fleets of vehicles to a company's intangible knowledge assets. Peregrine's Employee Relationship Management solutions give employees real-time tools to secure knowledge, services and resources from a portal accessed at a desktop computer or an array of mobile devices. Peregrine's E-Markets Group (EMG) takes to market a digital business offering: B2B Relationship Management--that provides a full range of software products and managed Internet services using Peregrine's Get2ConnectSM global trading network. Peregrine EMG processes nearly 1.2 million e-Commerce transactions every business day and annually transacts $280 billion.

Peregrine is headquartered in San Diego, California and has offices throughout the world. For more information on Peregrine, visit www.peregrine.com.

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Peregrine Systems and ServiceCenter are registered trademarks and Get2Connect is a service mark of Peregrine Systems, Inc. All other trademarks are the property of their respective owners.