(EMAILWIRE.COM, October 18, 2001 ) IRVINE, CA -- Magic Software Enterprises (Nasdaq: MGIC), a leading provider of state-of-the-art application development technology and business solutions, announced today release of its Magic eDeveloper™ v9.01 SP3 (Magic eDeveloper), which adds native gateways for both Informix and DB2 UDB. Using Magic eDeveloper, which has been certified IBM Server-Proven, customers in heterogeneous environments have the ability to manage and integrate data between Informix and DB2 UDB databases across multiple eServer platforms.

Magic eDeveloper is Magic’s new application development environment, which is uniquely suited to migrating and integrating data within a multi-database environment. It provides users of Informix and DB2 the following:

· A single tool for creating business solutions using data in Informix, DB2 or both
· Native access to both Informix and DB2 for speed and reliability
· Integrated business processes to access different databases all within one program module
· Integration between Informix and DB2 by creating new databases in DB2 or Informix while accessing legacy data -- all within the same business process
· Rapid data migration of tables between databases by executing physical table migration with minimal effort

“We are very pleased that Magic Software Enterprises, a leading IBM Tools Network partner, is providing Informix customers another option for managing their co-existence with and migration to DB2,” stated Doug Fulmer, worldwide segment manager for IBM’s Application Development Tools and Middleware, iSeries. “Solutions from business partners like Magic provide our Informix customers alternatives for protecting their investments.”
Since 1995, when Magic originally worked with IBM’s Rochester Labs to develop its application development technology for the iSeries platform, the Company has remained committed to supporting IBM customers and programs with state-of-the-art products recognized for their high degree of flexibility and ease-of-use. In addition to being an Advanced Level IBM partner, Magic also has received IBM’s ServerProven Certification for its Magic eDeveloper and Magic eMerchant offerings – a program designed by IBM to help its customers easily identify those products that install quickly, start up easily and run reliably on all IBM servers.

“Magic eDeveloper enables application database definition to be done according to application logic and business needs regardless of data source location. It eases the migration of tables by allowing instant table creation and data transfer between databases,” said David Leichner, vice president of worldwide marketing for Magic. “What this means is that DB2 and Informix users have available incremental and rapid paths for integrating between Informix and DB2 databases, as well as immediate access to legacy databases and programs for new applications.”

Magic will be demonstrating Magic eDeveloper at the IBM Informix Conference, Booth # 608, October 21-25, 2001, in Las Vegas, NV, as well as at the COMMON Fall 2001 IT Education Conference Expo, Booth # 137, October 21-23, 2001, in Minneapolis, MN, where it will be offering several show specials on Magic eDeveloper.

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
Magic Software Enterprises
khanley@magicsoftware.com
949-250-1718 ext. 220

Contact Information:
Magic Software Enterprises
Kathy Hanley
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