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Magic Software Enterprises Signs Deal with BBDO InterOne to Use Magic eService to Provide Service Centers for Itself and Its Customers

(EMAILWIRE.COM, June 26, 2001 ) Irvine, CA -- Magic Software Enterprises (Nasdaq: MGIC), a leading provider of state-of-the-art application development technology and business solutions, announced today that it has signed a deal with BBDO InterOne, a member of the BBDO worldwide network of agencies, to use Magic eService™ to provide itself and its customers totally Web-enabled service centers. BBDO InterOne, headquartered in Germany, works with companies to develop comprehensive customer management relationship and e-business strategies. The first implementation of Magic eService by BBDO InterOne will involve more than 40 service agents.

Magic eService is an entirely Web-based enterprise-level customer service management system designed to streamline service workflow and provide a comprehensive picture of service departments in real time. It enables the complete tracking and centralized management of each customer interaction, from first contact to problem resolution, allowing customers to receive immediate and personalized attention through round-the-clock interactive service.

BBDO InterOne, which has signed a Magic eService Partnership Agreement, will use the solution to handle its marketing projects, as well as to support e-business sites developed for its customers. The company also will use Magic eService to provide additional support to its international accounts, giving BBDO InterOne the ability to more efficiently respond to requests for new campaigns, changes to Web applications, and other customer service-related issues.

“We selected Magic eService to implement an enhanced customer service strategy after receiving an extensive demonstration of the technology and witnessing the ease with which the system could be adopted and changed depending upon customer requirements,” said Christian Dietrich, General Manager of BBDO InterOne. “The fact that Magic eService is 100% Web-based was another compelling reason for choosing this solution.”

BBDO Worldwide, the parent company of BBDO InterOne and a part of the Omnicom Group, is the third leading global advertising agency network, with approximately 300 operating companies in roughly 70 countries worldwide. Among it international clients are Bayer and Pepsi, which are handled in more than 60 countries each. In Germany, BBDO InterOne is one of the most admired regional agencies in its local market.

“The alliance between BBDO InterOne and Magic represents a true partnership in innovation, for you have one of the most creative agencies in the world using Magic’s award-winning solution to offer enhanced, superior service to a prestigious list of international customers,” said Menachem Hasfari, chief executive officer of Magic. “We are extremely excited to lend our innovative technology to this process, and are committed to working together with BBDO InterOne in the future to ensure their continued service success.”

About Magic Software Enterprises
Magic Software Enterprises, a member of the Formula Group (Nasdaq: FORTY), develops, markets and supports software development and deployment technology that enables enterprises to accelerate the process of building and deploying applications that can be rapidly customized and integrated with existing systems. Magic technology, applications and professional services are available through a global network of subsidiaries, distributors and Magic solutions partners in approximately 50 countries. The Company’s North American subsidiary is located at 1642 Kaiser Avenue, Irvine, Calif., 92614, telephone (949) 250-1718, fax (949) 250-7404, http://www.magicsoftware.com.

The Formula Group is an international information technology company principally engaged, through its subsidiaries and affiliates, in providing software consulting services, developing proprietary software products and producing computer-based solutions.

Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. Actual results may vary significantly based upon a number of factors including, but not limited to, risks in product and technology development, market acceptance of new products and continuing product conditions, both here and abroad, release and sales of new products by strategic resellers and customers, and other risk factors detailed in the Company’s most recent annual report and other filings with the Securities and Exchange Commission.


Contact:
Katharine Hanley
Director, IR/PR
Magic Software Enterprises
949-250-1718 ext. 220
khanley@magicsoftware.com

Contact Information:
Magic Software Enterprises
Kathy Hanley
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