COUNTERPANE INTERNET SECURITY, INC. EXPANDS ITS SALES EFFORTS IN EUROPEAN, MIDDLE EAST, AND AFRICAN MARKETPLACES

Twelve new value-added resellers (VARs) now offering Counterpane's Managed Security Monitoring (MSM) service

London, UK and Cupertino, CA, USA, July 2, 2001 - Counterpane Internet Security, Inc., developer and leading provider of Managed Security Monitoring (MSM), today announced they have expanded their sales efforts throughout Europe, the Middle East, and Africa (EMEA) by signing twelve new VARs to market and sell Counterpane's MSM services. Active Trust (Spain), Bridicum (Scandinavia), Buchanan (UK), Communication Valley (Italy), Interaxon (Greece), IT Matrix (Saudi Arabia), Marconi (U.S., Europe and AsiaPac/Australia), Novabase (Portugal), OTE Consulting (Greece), Symbolic SpA (Italy), Vistorm (UK) and webScan Tiris (Portugal) are now authorized resellers for Counterpane.

"Extending our global reach is what we set out to achieve," says Graham Mann, Director of Business Development, EMEA for Counterpane Internet Security, Inc. "Our new channel partners represent relationships that strengthen our services and extend the quality of our offerings throughout the world."

"Our ability to now monitor enterprise threats for companies around the globe gives us a breadth of visibility and a depth of understanding that is unsurpassed in the industry," says Bruce Schneier, Co-founder and CTO of Counterpane Internet Security, Inc. "If you are only monitoring a piece of the Internet, you only see what happens to that piece. Monitoring organizations world-wide improves our level of protection for all of our customers, and our ability to be ready to respond to attacks that have originated anywhere on the globe."

Counterpane's new partners have been trained and are now offering MSM services to their customers in their respective marketplaces.

About Counterpane

Counterpane Internet Security, Inc. is the developer and leading provider of Managed Security Monitoring. Established in 1999 by entrepreneurial expert Tom Rowley and security technologist and author Bruce Schneier, Counterpane addresses the critical need for increased levels of security services. Centered around a network of sophisticated Secure Operations Centers, staffed by expert security analysts, the Company provides 24x7 monitoring, as well as penetration detection, and response. Counterpane's Managed Security Monitoring services enable e-business to be conducted safely. The company is funded by Accel Partners, Amerindo Investment Advisors, Inc., Bessemer Venture Partners, LLC., Dell, Deutsche Bank, Goldman Sachs, and Morgan Stanley Dean Witter Equity Fund. Headquarters are located at 1090 La Avenida, Mountain View, California, USA. Phone: 650-404-2400, Fax: 650-903-0461, Website: www.counterpane.com.

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Counterpane is a trademark of Counterpane Internet Security, Inc. All third-party trademarks are the property of their respective owners.

OVERVIEW OF COUNTERPANE'S NEW EMEA VARS

Active Trust
Active Trust is a leading Spanish IT security consultancy firm that advises its customers on assessing, controlling and covering the personal and corporate risks stemming from IT infrastructure misuse. With offices in Barcelona and Madrid, Active Trust delivers trust and security to their customers so they can take full advantage of new business opportunities in the interconnected world. The company specializes in IT security impact analysis, audit and strategic advice, detection and response together with risk coverage and mitigation. Counterpane's managed security monitoring service forms part of Active Trust's intrusion detection, intervention, recovery and forensic services.

Bridicum

Bridicum Security Group is a leading Scandinavian company, with headquarters in Copenhagen. The company develops and sells IT security products and services, mainly for Internet, Intranet and Extranet applications including security assessment (including Intrusion and Denial of Service testing), information and knowledge base, education, training and security consulting. Counterpane's managed security monitoring service is a key component of the Bridicum Security Groups 24 x 7 security services.

Buchanan

Buchanan is a leader in eSecurity solutions, ranging from high end consultancy and services like penetration testing to recommending and configuring security products like firewalls By removing the real or perceived risks of the Internet, Buchanan is helping companies to exploit the lucrative advantages that the Internet can bring in global trade, business efficiency and improved communications. Buchanan draws on 13 years' experience and knowledge of the Internet. It employs 65 staff in the UK, with offices in London/SE, North England, Glasgow and Edinburgh.

Communication Valley

Communication Valley's mission is to provide security services to customers. It has a wide range of products and solutions ranging from firewalls and firewall add-ons, to PKI, VPN, and intrusion detection solutions. Communication Valley focuses on managed services as a solution to security complexity. The company is headquartered in Parma Italy, with operations centers located in Roma, Milano and Parma. Communication Valley' s security practice is comprised of more than 20 security specialists, many of whom are CISSP, GIAC and/or GSEC certified, to protect e-businesses from the growing number of cyber crimes and cyber terrorism attacks.

Interaxon

INTERAXON S.A., located in Athens, Greece, is an advanced IT solutions distributor, with a unique products and services suite providing "enterprise IT system protection". Its trading territory extends beyond Greece, covering Cyprus and selectively Turkey and other Balkan countries. The company distributes through its strong dealer network but directly supplies end users with professional services and maintenance contracts. INTERAXON end customer list includes leading Greek and multinational companies with a high penetration particularly in the financial, insurance, telecom, media, IT, shipping and education services sectors.

IT Matrix

Pioneers and Visionaries of Network and Internet Security Solutions in Saudi Arabia, IT Matrix has been providing "IT Solutions that Work" in the Kingdom for more than a decade. The knowledge, experience, track record, qualified staff and customer focused approach uniquely qualifies IT Matrix to offer innovative, high quality IT Solutions that meet business needs and ensure the protection of IT investment. IT Matrix's strength lies in committed and qualified IT personnel, keeping abreast with Information Technology changes. With a mission to fulfill the relationship gap between IT Vendors and the end user IT Matrix acts as an integral IT department to their clients, working with them at the pace which is most suitable for their environment.

Marconi

Marconi plc is a global company with over 50,000 employees. Marconi has research and development facilities in 19 countries, manufacturing operations in 16 countries, and serves customers in over 100 countries. It delivers innovative communications solutions, which transform the economics of doing business, for Networks, Wireless and Enterprise customers. Marconi plc is listed on the London Stock Exchange and Nasdaq under the symbol MONI. Additional information about Marconi can be found at www.marconi.com.

Novabase

Novabase (Reuters: NBA.IN; Bloomberg: NBA PL) is one of the leading IT companies in Portugal, with more than 800 employees in Portugal and Brazil. Headquartered in Lisbon, Portugal, it has built a track record for innovation and high growth (45% per year) in the past 9 years. Its activity is structured in 5 main business areas: Novabase e-Consulting (a leading systems integrator); Novabase ASP (addressing the IT needs for SMEs), Novabase e-Talents (operating in the areas of recruitment, selection, and outsourcing), Novabase Interactive TV and Novabase Capital; (investor in companies with strong synergies with other Novabase businesses).

OTE Consulting

OTE consulting is part of the OTE group of companies, formerly the PTT for Greece and since its foundation in 1987, has become the leading telecommunications consultancy firm in Greece, and one of the strongest players in the Balkan region. OTE Consulting focuses on identifying, assessing, monitoring, and managing e-business risks, building the security and reliability demanded by today's businesses. OTE Consulting takes a full life cycle approach from risk and opportunity identification through architecture and solutions implementation to monitoring and incident response.

Symbolic SpA

Symbolic is a network security company based in Parma, Italy, with offices in Rome and Parma. Through its subsidiary, Intrinsic, the company focuses on offering Security Monitoring services for large organizations and corporates. Symbolic's approach to securing systems is based on analyzing the customers' system security in the context of their business requirements and meeting these needs with practical and affordable solutions. Symbolic analysts are dedicated experts at assisting organizations in defining their systems security policies and at conducting risk assessments. Symbolic has been in the field for over 10 years, making unparalleled reputation as a Network Security leader and gaining a vast customers' base.

Vistorm

Vistorm's managed internet security services provide effective 24/7 protection to organisations in need of a secure Internet infrastructure for e-business and VPN-based remote connectivity solutions. These services deliver specialist security consulting and technical expertise, best-of-breed security technologies and constant monitoring and management from our secure global network operations centre, enabling organisations to use the Internet for business, securely. www.vistorm.com

webScan Tiris

webScan TIRIS is an IT systems integrator with over 1500 customers in Portugal. With around 90 staff located in 3 centres, Lisbon, Coimbra and Oporto TIRIS specialize in secure voice and data communications systems for enterprise and medium sized corporate customers.