Board Presentation
on M&A Opportunities

April 14, 2003

ORACLE

Enterprise Software Market Share Analysis

	TECHNOLOGY									APPLICATIONS
	Database	App Servers	Business Intell/Data Warehouse	Dev Tools	Application Integration	Systems Mgmt	Storage Mgmt	Network & Service Mgmt	Content Mgmt	ERP Apps	SCM Apps	CRM Apps
2001 Market Size	$12.8	$2.2	$6.5	$2.2	$4.4	$7.1	$6.2	$3.0	$2.8	$23.3	$8.5	$6.4
Top Players & Market Shares	Oracle 43%	BEA 25%	Oracle 18%	IBM(l) 15%	IBM 17%	IBM 14%	EMC 28%	IBM 10%	Adobe 10%	SAP 17%	i2 8%	Siebel 25%
	IBM 31%	IBM 23%	IBM 18%	Microsoft 8%	Oracle 8%	CA 14%	Veritas 17%	NETA 8%	FileNet 9%	Oracle 7%	SAP 7%	Oracle 6%
	Microsoft 9%	Oracle 12%	Microsoft 10%	Compuware 7%	Tibco 6%	BMC (2) 8%	CA 9%	Agilent 8%	Vignette 6%	PeopleSoft 6%	Oracle 3%	SAP 4%
	Sybase 4%	Sun 8%	SAS Inst. 9%	CA 4%	BEA 6%	Peregrine 7%	IBM 8%	Cisco 6%	DCTM 5%	JD Edwards 3%	PeopleSoft 2%	PeopleSoft 4%
	NCR 2%	Macromedia 5%	Cognos 4%	HP 3%	WEBM 5%	HP 6%	HP 5%	HP 6%	Interwoven 5%	Microsoft 2%	Manugistics 2%	Amdocs 4%
	Fujitsu 2%	Sybase 3%	BOBJ 3%	Macromedia 3%	Sybase 4%	Microsoft 3%	Legato 4%	Lucent 6%	IBM 5%	Corner 2%	Siebel 2%	Trilogy 3%
	SAS Inst. 2%	Borland 3%	NCR 3%	Oracle 2%	Vitria 3%	Novell 2%	NTAP 3%	Micromuse 4%	SER Sys. 5%	McKesson 2%	Microsoft 1%	Vignette 2%
	Others 9%	Others 22%	Others 34%	Others 58%	Others 51%	Others 46%	Others 26%	Others 52%	Others 55%	Others 63%	Others 76%	Others 53%

Source: IDC.

1. IBM amount includes Rational percentage share of 7%.
2. BMC acquired a portion of Peregrine (Remedy) last year (or $350mm, but isn't factored into the table.

Enterprise Software Competitive Profile

Key:

No Presence

Not Significa

Player

Competitiv

($ in billions)

		2001 Market Size (1)	Oracle	IBM	Microsoft	BEA	HP	Sun	CA	Sybase	SAP	PSFT
TECHNOLOGY	Database	$12.8
	App Servers	$2.2
	Business Intelligence	$6.5
	Development Tools	$2.2
	Application Integration	$4.4
	Systems Mgmt	$7.1
	Storage Mgmt	$6.2
	Network & Service Mgmt	$3.0
	Content Mgmt	$2.8
APPS	ERP Apps	$23.3
	SCM Apps	$8.5
	CRM Apps	$6.4

Note: Competitive profile Information for each company estimated by Oracle.
(1) Source: IDC.

ORACLE

Software Comps - Technology

(in millions, except per share data)

Company	Stock Price (4/4/03)	%of 52-Week High	Fully-Diluted Equity Value	Net Debt (Cash)	Enterprise Value	Enterprise Value/ Revenue Multiple			P/E Ratio
						LTM	CY03	CY04	LTM	CY03	CY04
Oracle Corp.	$11.38	85%	$61,712.9	($5,948.8)	$55,764.2	5.9x	5.9x	5.4x	27.8x	25.9x	23.7x
IBM	$80.32	77%	$141,142.3	$20,042.0	$161,184.3	2.0x	1.8x	n/a	20.3x	18.6x	16.4x
Microsoft	25.22	84%	277,777.9	(43,424.0)	234,353.9	7.6x	7.1x	6.6x	25.9x	25.1x	21.6x
Technology Software Competitors *** Includes selection of major software infrastructure applications companies; not all are shown
Adobe Systems	$32.05	74%	$7,685.0	($652.7)	$7,032.3	5.9x	5.7x	5.4x	32.7x	32.1 x	27.9x
BEA Systems	10.56	73%	4,481.2	(708.3)	3,772.9	4.0x	3.9x	3.6x	37.7x	34.1x	27.1x
BMC Software	15.36	77%	3,657.0	(899.5)	2,757.5	2.2x	1.8x	n/a	35.7x	26.5x	n/a
Borland Software	9.01	61%	669.2	(296.2)	373.1	1.5x	1.0x	0.7x	28.2x	21.5x	14.5x
Business Objects	18.29	41%	1,189.3	(277.8)	911.5	2.0x	1.8x	1.6x	29.0x	24.4x	20.3x
Cognos	25.06	91%	2,305.4	(242.3)	2,063.1	3.7x	3.1x	2.7x	30.9x	27.8x	24.1x
Computer Associates	13.95	63%	8,072.4	2,129.0	10,201.4	3.3x	3.1x	n/a	nmf	51.7x	n/a
Documentum	13.95	55%	716.3	(128.1)	588.2	2.6x	2.0x	1.8x	99.6x	39.9x	25.4x
Embarcadero Tech	6.60	46%	186.5	(43.8)	142.7	2.9x	2.8x	2.4x	33.0x	23.6x	18.9x
FileNet	10.55	59%	383.8	(185.2)	198.6	0.6x	0.5x	0.5x	45.9x	31.0x	18.2x
Hyperion Solutions	26.56	81%	976.3	(302.2)	674.1	1.3x	1.3x	n/a	35.4x	28.9x	n/a
Legato Systems	5.72	63%	669.7	(59.5)	610.2	2.3x	1.9x	1.7x	nmf	nmf	44.0x
Mercury Interactive	31.13	78%	2,764.7	(348.2)	2,416.5	6.0x	5.1x	n/a	43.2x	33.8x	28.0x
Novell Corp.	2.42	59%	891.2	(708.2)	183.0	0.2x	n/a	n/a	34.6x	14.2x	n/a
Quest Software	9.55	62%	899.0	(207.5)	691.4	2.7x	2.4x	2.1x	43.4x	30.8x	22.7x
Red Hat	5.64	78%	1,004.9	(292.3)	712.5	7.8x	6.3x	n/a	nmf	nmf	47.0x
Sybase	12.27	69%	1,199.0	(382.2)	816.9	1.0x	1.0x	1.0x	11.9x	12.3x	10.7x
TIBCO Software	4.34	36%	957.6	(652.6)	305.0	1.2x	1.2x	1.2x	54.3x	72.3x	39.5x
Veritas Software	18.91	42%	7,993.1	(1,781.1)	6,212.0	4.1x	4.0x	3.6x	31.0x	30.5x	27.0x
WebMethods	8.72	47%	463.9	(195.4)	268.5	1.4x	1.3x	n/a	nmf	nmf	39.6x
	Average Median	63% 63%				2.8x 2.5x	2.6x 2.0x	2.2x 1.8x	39.2x 35.0x	31.5x 30.5x	27.2x 26.2x

ORACLE

Software Comps - Enterprise Apps

(in millions, except per share data)

Company	Stock Price (4/4/03)	%of 52-Week High	Fully-Diluted Equity Value	Net Debt (Cash)	Enterprise Value	Enterprise Value/ Revenue Multiple			P/E Ratio
						LTM	CY03	CY04	LTM	CY03	CY04
Oracle Corp.	$11.38	85%	561,712.9	($5,948.8)	555,764.2	5.9x	5.9x	5.4x	27.8x	25.9x	23.7x
IBM	$80.32	77%	$141,142.3	520,042.0	5161,184.3	2.0x	1.8x	n/a	20.3x	18.6x	16.4x
Microsoft	25.22	84%	277,777.9	(43,424.0)	234,353.9	7.6x	7.1x	6.6x	25.9x	25.1x	21.6x
Enterprise Applications Software Competitors *** Includes selection of major software enterprise applications companies; not all are shown
Agile Software	$6.66	55%	$328.1	($261.8)	$66.3	1.0x	0.9x	n/a	nmf	nmf	nmf
Ariba	3.27	1%	895.3	(226.4)	669.0	2.8x	2.5x	n/a	40.9x	36.3x	n/a
Aspen Technology	2.50	11%	95.9	58.3	154.1	0.5x	0.5x	n/a	nmf	10.0x	n/a
Cerner	18.15	32%	650.7	(6.3)	657.0	0.9x	0.8x	0.7x	13.0x	18.2x	9.9x
Datastream Systems	6.75	72%	137.4	(34.7)	102.7	1.1x	1.1x	1.0x	75.0x	30.7x	19.9x
FreeMarkets	5.37	23%	239.7	(132.2)	107.5	0.6x	0.7x	n/a	20.7x	nmf	20.7x
JDA Software	8.96	25%	256.4	(101.9)	154.6	0.7x	0.9x	0.8x	16.3x	37.3x	19.5x
J.D. Edwards	11.60	65%	1,403.5	(353.4)	1,050.1	1.2x	1.2x	1.1x	35.2x	32.2x	25.8x
Lawson Software	4.82	40%	540.4	(248.0)	292.5	0.8x	0.9x	0.8x	96.4 x	nmf	53.6x
Manhattan Associates	19.54	49%	614.5	(121.5)	493.0	2.8x	2.4x	2.1x	23.0x	19.0x	15.8x
Manugistics	2.38	10%	166.8	117.1	283.9	1.0x	1.1x	1.1x	nmf	nmf	nmf
Mapics	6.43	78%	120.2	(11.4)	108.7	0.9x	n/a	n/a	13.4x	n/a	n/a
MRO Software	7.13	47%	174.1	(71.0)	103.1	0.6x	0.6x	0.5x	37.5x	35.7x	19.3x
PeopleSoft	14.85	39%	4,729.7	(1,907.5)	2,822.2	1.4x	1.5x	1.4x	24.8x	23.6x	20.6x
QAD Inc.	4.74	95%	174.6	(40.1)	134.5	0.7x	0.6x	n/a	nmf	23.7x	n/a
Retek	5.65	20%	301.1	(85.4)	215.7	1.1x	1.3x	1.2x	nmf	nmf	56.5x
SAP	19.80	51%	24,963.6	(770.6)	24,193.0	3.1x	3.0x	2.7x	25.4x	21.8x	18.9x
SCT Corp.	6.80	43%	228.6	23.6	205.0	0.8x	0.8x	n/a	15.5x	13.6x	n/a
Siebel Systems	7.74	23%	4,040.8	(1,854.6)	2,186.2	1.3x	1.4x	1.4x	31.0x	31.0x	22.8x
Vastera	4.09	27%	169.6	(53.7)	115.8	1.5x	1.4x	n/a	nmf	68.2x	29.2x
	Average Median	40% 40%				1.2x 1.0x	1.2x 1.1x	1.2x 1.1x	33.4x 25.1 x	28.6x 27.2x	25.6x 20.6x

ORACLE

Overview of Potential Targets

Valuation Metrics

(in millions, except per share data)

Company	Price (4/4/03)	% of 52-Week High	Equity Value	Cash	Debt	Enterprise Value	EV / Revenue			P/E Ratio			Oracle FY 2004 Impact (1)
							LTM	CY03	CY04	LTM	CY03	CY04	Revenue Contribution	Accretion/ (Dilution)	Pre-tax B/E Synergies
Oracle Corp.	$11.38	85%	$61,712.9	$6,263.8	$315.1	$55.764.2	5.9x	5.9x	5.4x	27.8x	25.9x	23.7s
Technology Acquisition Targets
BEA Systems	$10.56	73%	$4,481.2	$1,207.5	$559.2	$3.772.9	4.0x	3.9x	3.6x	37.7x	34.1x	27.1x	9.3%	(5.3%)	$186.3
Sybase	12.27	69%	1,199.0	387.2	5.0	816.9	1.0x	1.0x	1.0x	11.9x	12.3x	10.7x	7.7%	1.6%	(57.1)
Documentum	13.95	55%	716.3	253.1	125.0	588.2	2.6x	2.0x	1.8x	99.6x	39.9x	25.4x	3.2%	(0.8%)	28.5
Business Objects	18.29	41%	1,189.3	289.3	11.4	911.5	2.0x	1.8x	1.6x	29.0x	24.4x	20.3x	5.2%	(0.3%)	12.2
Applications Acquisition Targets
J.D. Edwards	$11.60	65%	$1,403.5	$353.4	$0.0	$1,050.1	1.2x	1.2x	1.1x	35.2x	32.2x	25.8x	8.8%	(1.1%)	$40.4
PeopleSoft	14.85	39%	4,729.7	1,907.5	0.0	2,822.2	1.4x	1.5x	1.4x	24.8x	23.6x	20.6x	16.8%	(1.5%)	54.5
Lawson Software	4.82	40%	540.4	249.2	1.2	292.5	0.8x	0.9x	0.8x	96.4x	nmf	53.6x	3.4%	(0.9%)	31.5
Cerner	18.15	32%	650.7	142.5	148.8	657.0	0.9x	0.8x	0.7x	13.0x	18.2x	9.9x	8.7%	1.5%	(51.8)
SCT Corp.	6.80	43%	228.6	57.3	33.8	205.0	0.8x	0.8x	n/a	15.5x	13.6x	n/a	2.5%	0.1%	(3.3)
	Average Median	51% 43%					1.6x 1.2x	1.5x 1.2x	1.5x 1.2x	40.3x 29.0x	24.8x 24.0x	24.2x 23.0x	7.3% 7.7%	(0.8%) (0.8%)	$26.8 $28.5

Financial Metrics

(in millions, except employee data)

		Revenue			Revenue Growth			Licenses as % of Revs			Gross Margin			EBIT Margin
Company	Employees	LTM	CY03	CY04	CY02	CY03	CY04	LTM	CY03	CY04	LTM	CY03	CY04	LTM	CY03	CY04
Oracle Corp.	40.389	$9,417	$9,497	$10,257	(12%)	1%	8%	35%	33%	n/a	75%	75%	n/a	36%	35%	n/a
Technology Acquisition Targets
BEA Systems	3,063	$934.1	S979.1	$1,044.0	(4%)	5%	7%	55%	52%	53%	79%	79%	79%	17%	19%	21%
Sybase	4,031	829.9	788.9	822.2	(10%)	(5%)	4%	39%	39%	40%	73%	73%	74%	16%	16%	19%
Documentum	1,155	226.9	297.5	333.5	22%	31%	12%	52%	55%	57%	73%	75%	77%	3%	9%	10%
Business Objects	2,162	454.8	495.0	570.0	9%	9%	15%	54%	50%	51%	84%	84%	84%	12%	14%	15%
Applications Acquisition Targets
JD Edwards	4.938	$905.7	$911.9	$952.0	1%	1%	4%	25%	26%	27%	60%	59%	59%	6%	7%	8%
PeopleSoft	8,293	1,948.9	1,897.0	2,020.8	(8%)	(3%)	7%	27%	22%	23%	63%	61%	61%	13%	14%	15%
Lawson Software	1,697	360.6	318.7	351.1	3%	(21%)	10%	24%	18%	20%	55%	54%	55%	(1%)	(0%)	4%
Cerner	4,791	751.9	852.0	999.0	39%	13%	17%	44%	42%	43%	78%	76%	78%	12%	8%	12%
SCT Corp.	1,600	245.1	271.5	n/a	27%	11%	n/a	17%	n/a	n/a	38%	n/a	n/a	9%	n/a	n/a
				Average Median	9% 3%	5% 5%	10% 8%	38% 39%	18% 40%	39% 41%	67% 73%	70% 74%	71% 75%	10% 12%	11% 11%	13% 13%

ORACLE

Note: Projections provided by First Call for EPS estimates and Individual research analysts for revenue estimates.
(1) Assumes cash acquisition at 40% premium to current price and no changes to target's stand-alone finacials; based on LTM numbers for SCTC due to lack of analyst coverage.

BEA Systems

ORACLE

BEA Systems - Company Overview

Description of Business Ticker: Public (Nasdaq: BEAS) Headquarters: San Jose, CA Employees: 3,063 Customers: 13,500 Management. Alfred Chuang (CEO) - BEAS Co-Founder, Sun Charles III (EVP of Sales) - IBM Olivier Helleboid (President of Products) - Rainfinity, HP Products Java-based BEA WebLogic Platform components: WebLogic Server - application server WebLogic Workshop - app development framework WebLogic Integration - integration tools WebLogic Portal - unified access WebLogic JRockit - server-centric JVM Liquid Data - enterprise information integration Business Mod Attributes: Sold primarily through direct channels, but more than 40% of revenue influenced by indirect channels Strongest verticals: government/transport/utilities, financial services, telecom, service industries, high tech Tuxedo product still ~15% of license revenue LTM REVENUE COMPONENTS LTM REVENUE BY GEOGRAPHY D

Financial Summary (in millions, except per share data) Market Trading & Other Stats Price (04/04/03) $10.56 Fiscal Year End Jan. LTM Hi/Low $14.45/$4.59 Long-Term EPS Growth 20% Equity Value $4,481.2 Cash $1,267.5 Enterprise Value $3,772.9 Total Debt   $559.2 Financial Summary CY'01 CY'02 CY'03 CY'04 Revenue $975.9 $934.1 $979.1 $1,044.0 Growth Rate 19% (4%) 5% 7% License as % of Rev 61% 55% 52% 53% Support as % of Rev 24% 33% 35% 35% Gross Margin 79% 79% 79% 79% Pro Forma EBIT Mrgn 18% 17% 19% 21% Valuation Multiples   CY'02 CY'03 CY'04 EV / Revenue   4.0x 3.9x 3.6x P/E Ratio 37.7x 34.1x 27.1x LTM Stock Price Performance D

ORACLE

BEA Systems - Acquisition Rationale

Potential Upside		Potential Drawbacks
Improve Oracle's competitive positioning in the middleware space * Guarantees Oracle a spot in every RFP * Leading alternative to IBM / MSFT platform Consolidate customers that run Oracle database, yet purchased BEA over last several years * Customers get more integrated offering Increase developer mindshare Access strong management talent Logical move that could be well received by the financial community		May cause significant sales disruption for both companies Entrenched management team unlikely to welcome acquisition offer Face significant personnel reductions and restructuring charges One of the more expensive acquisition alternatives available * Requires significant synergies for EPS accretion

ORACLE

BEA Systems - Combination Analysis

Assumes no adjustments to target entity's and-alone financial model	Oracle Multiples for Comparison:
	LTM Revenue	5.9x	LTM P/E	27.8x
	CY'03 Revenue	5.9x	CY'03 P/E	25.9x
	CY'04 Revenue	5.4x	CY'04 P/E	23.7x

(in millions, except per share data)

	BEAS Purchase Price / Purchase Premium
	$10.56	$11.62	$12.67	$13.73	$14.78	$15.84	$16.90	$17.95	$19.01	$20.06	$21.12
	0%	10%	20%	30%	40%	50%	60%	70%	80%	90%	100%
Market Value	$4,481.2	$4,942.3	$5,414.4	$5,887.4	$6,360.4	$6,833.4	$7,306.5	$7,779.5	$8,252.5	$8,726.9	$9,206.4
Enterprise Value	$3,772.9	$4,234.0	$4,706.1	$5,179.1	$5,652.1	$6,125.2	$6,598.2	$7,071.2	$7,544.2	$8,018.6	$8,498.1
Stand-Alone Financials: LTM Revenue $934.1 LTM EBIT Margin 17.4% LTM EPS $0 28 CY'03 Revenue $979.1 CY'03 EBIT Margin 18.8% CY'03 EPS $0.31 CY'04 Revenue $1,044.0 CY'04 EBIT Margin 20.6% CY'04 EPS $0.39
Multiples:
LTM Revenue	4.0x	4.5x	5.0x	5.5x	6.1x	6.6x	7.1x	7.6x	8.1x	8.6x	9.1x
CY'03 Revenue	3.9x	4.3x	4.8x	5.3x	5.8x	6.3x	6.7x	7.2x	7.7x	8.2x	8.7x
CY'04 Revenue	3.6x	4.1x	4 5x	5.0x	5.4x	5.9x	6.3x	6.8x	7.2x	7.7x	8.1x
LTM P/E	37.7x	41.5x	45.3x	49.0x	52.8x	56.6x	60.3x	64.1x	67.9x	71.7x	75.4x
CY'03 P/E	34.1x	37.5x	40.9x	44.3x	47.7x	51.1x	54.5x	57.9x	61.3x	64.7x	68.1x
CY'04 P/E	27.1x	29.8x	32.5x	35.2x	37.9x	40.6x	43.3x	46.0x	48.7x	51.4x	54.2x
ORACLE IMPACT (1)
Cash Acquisition:
FY'04 EPS Accretion / (Dilution)	(1.6%)	(2.5%)	(3.4%)	(4.3%)	(5.3%)	(6.2%)	(7.1%)	(8.1%)	(9.0%)	(9.9%)	(10.9%)
B/E Required Pretax Synergies	$56.8	$88.1	$119.9	$153.1	$186.3	$219.6	$252.8	$286.1	$319.3	$352.5	$386.8
Required EBIT Margin	25.1%	28.3%	31.5%	34.9%	38.2%	41.6%	44.9%	48.3%	51.6%	55.0%	58.5%
Stock Acquisition:
FY'04 EPS Accretion / (Dilution)	(5.8%)	(7.0%)	(8.2%)	(9.4%)	(10.6%)	(11.9%)	(13.0%)	(14.2%)	(15.4%)	(16.5%)	(17.6%)
B/E Required Pretax Synergies	$219.7	$267.7	$316.7	$367.1	$417.6	$468.0	$518.4	$568.9	$619.3	$669.7	$721.4
Required EBIT Margin	41.6%