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Citrix Completes Acquisition of Orbital Data Adding WAN Optimization to Application Delivery Strategy


Citrix Systems, Inc. (Nasdaq:CTXS) today announced ithas completed the acquisition of privately held Orbital Data Corp., aleading provider of solutions that optimize the delivery ofapplications to branch office users over wide area networks (WANs).The cash consideration to shareholders was approximately $50 million.The company also assumed approximately 0.3 million unvestedstock-based instruments each of which upon vesting will be exercisablefor the right to receive one share of the company’s common stock.

This acquisition strengthens Citrix’s customer value propositionas part of the company’s end-to-end application delivery strategy.With an estimated 55 percent of all employees worldwide accessingtheir applications from branch offices, WAN optimization solutions arerapidly becoming a critical infrastructure requirement for companiesworldwide. The Orbital Data solution, which will be re-branded asCitrix(R) WANScaler(TM), addresses this important market by improvingapplication response time up to 50 times for branch office employeeswhile reducing the need for expensive bandwidth upgrades. The newCitrix WANScaler solution also provides an ideal complement to thecompany’s flagship Citrix(R) NetScaler(R) and Citrix PresentationServer(TM) product lines, further enhancing performance for remoteapplication users.

“With this acquisition, Citrix enters the fast-growing WANoptimization market accelerating application delivery for branchoffices worldwide thereby extending our best access experience value,”said B.V. Jagadeesh, group vice president and general manager,Application Networking Group for Citrix.

“Citrix has a proven track record making successful acquisitionsand bringing products to market as part of its overall applicationdelivery strategy. A similar opportunity exists with Orbital Data, andwe are enthusiastic about bringing this solution to our customers andchannel partners around the world.”

Orbital Data’s development and marketing teams will join theCitrix Application Networking Group in San Jose, Calif., whileOrbital’s sales teams will report into Citrix sales and channeldevelopment teams, becoming dedicated WANScaler sales and channeldevelopment specialists.

About Citrix

Citrix Systems, Inc. (Nasdaq:CTXS) is the global leader and mosttrusted name in on-demand access. More than 180,000 organizationsaround the world rely on Citrix to provide the best possible accessexperience to any application for any user. Citrix customers include100% of the Fortune 100 companies and 98% of the Fortune Global 500,as well as hundreds of thousands of small businesses and individuals.Citrix has approximately 6,200 channel and alliance partners in morethan 100 countries. Citrix annual revenues in 2005 were $909 million.Learn more at www.citrix.com.

For Citrix Investors

This release contains forward-looking statements which are madepursuant to the safe harbor provisions of Section 27A of theSecurities Act of 1933 and Section 21E of the Securities Exchange Actof 1934. The forward-looking statements in this release do notconstitute guarantees of future performance. Investors are cautionedthat statements in this press release, which are not strictlyhistorical statements, including, without limitation, statements bythe company’s vice president and general manager for applicationnetworking; statements concerning the WAN optimization and branchoffice markets, marketing plans, customers, the Citrix installed base,products and technology; statements concerning expectations as todemand for growth of the products; and statements concerningmanagement’s plans, objectives, strategies and assessments of marketfactors, constitute forward-looking statements. Such forward-lookingstatements are subject to a number of risks and uncertainties thatcould cause actual results to differ materially from those anticipatedby the forward-looking statements, including, without limitation, thesuccess of the Citrix WANScaler brand and Citrix’s other productlines; the introduction of new products by competitors or the entry ofnew competitors into the markets for Citrix’s products; Citrix’sability to successfully integrate the operations and employees ofacquired companies and the possible failure to achieve or maintainanticipated products, revenues and profits from acquisitions; failureto further develop and successfully market Citrix WANScaler technologyand products; failure to achieve anticipated revenues; and costsrelated to the acquisition; Citrix’s reliance on and the success ofCitrix’s independent distributors and resellers for the marketing anddistribution of Citrix’s products and the success of Citrix’smarketing and licensing programs; as well as risks of downturns ineconomic conditions generally; political and social turmoil; and theuncertainty in the IT spending environment; and other risks detailedin the company’s filings with the Securities and Exchange Commission.Citrix assumes no obligation to update any forward-looking informationcontained in this press release or with respect to the announcementsdescribed herein.

Citrix(R), NetScaler(R), Citrix Presentation Server(TM) andWANScaler(TM) are trademarks of Citrix Systems, Inc. and/or one ormore of its subsidiaries, and may be registered in the U.S. Patent andTrademark Office and in other countries. All other trademarks andregistered trademarks are property of their respective owners.

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