Corel Corporation

March 07, 2005 10:22 ET

Corel Records New Levels of Growth for WordPerfect Office


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: COREL CORPORATION

MARCH 7, 2005 - 10:22 ET

Corel Records New Levels of Growth for WordPerfect
Office

OTTAWA, CANADA--(CCNMatthews - March 7, 2005) -

Growth Fueled By Demand From Consumers, Small Businesses For More
Affordable Software Alternatives

Corel Corporation today declared a major milestone for its
WordPerfect® Office line of productivity software, describing a return
to growth in 2004 in terms of revenue, sales and installed base.

Long recognized as the leading alternative in an office productivity
market saturated by Microsoft® Office, Corel solidified its hold on
the alternatives market in 2004 by achieving significant growth in sales
across all customer segments. This represents a top growth rate for
WordPerfect Office since it was acquired by Corel in 1996.

WordPerfect Office's growth is a reflection of Corel's renewed
commitment to the product. This growth contributes to WordPerfect
Office's base of 20 million customers worldwide, reinforcing its
position as the number one preferred alternative to Microsoft Office.

The Preferred Office Suite Alternative

By unit sales, revenue and installed user base, WordPerfect Office is
the clear leader in the alternative office suite market. In addition to
2004's impressive growth, WordPerfect Office 12 is the only alternative
office suite to generate significant revenue via retail and corporate
resellers. According to NPD Group(i) Unit Sales figures for the last six
months of 2004 (retail and corporate reseller channels), WordPerfect
Office 12 is dramatically outselling the closest competitor, Lotus®
SmartSuite®, at a ratio of 34:1 and is outselling Sun StarOffice at a
ratio of 192:1.

Furthermore, WordPerfect Office's installed base is growing by more than
1.0 million new users per quarter on the strength of Corel's strong OEM
relationships, new products, and an overarching market trend towards
affordable and feature-rich software alternatives.

"In 2004 we enhanced our product offering dramatically to meet the needs
of customers seeking an alternative-these are individuals that demand
something more; they desire innovative, compatible and easy to use
software that delivers the most professional looking documents every
time," said Richard Carriere, general manager for office productivity at
Corel. "In WordPerfect Office, consumers and small businesses see a
brand they know and trust, and a product that's been rigorously tested
and proven in challenging enterprise deployments, such as the U.S.
government, and in editing- and formatting-intensive industries such as
the legal market. WordPerfect Office boasts a proven pedigree that
instills a greater sense of confidence in our customers. Trust is a
dramatic differentiator in a market filled with untested alternatives."

WordPerfect: The Number One Best Selling Office Suite Alternative
Already the number one best selling office suite alternative,
WordPerfect Office dramatically increased its market share and
penetration in 2004 due to a series of important product launches and
marketing initiatives.

Starting with the April debut of a new, highly compatible WordPerfect
Office 12, Corel brought to market several new versions of its office
suite during 2004, led by a Standard Edition, including word processing,
spreadsheet, multimedia slide show and address book applications. A
Professional Edition and $99 USD (Suggested Retail Price) Student and
Teacher Edition followed, both of which include the relational database
Paradox.

Introduced to address the value-conscious consumer segment, WordPerfect
Office 12 - Home Edition debuted in the 2004 holiday season to strong
media and user reviews. WordPerfect Office 12 - Home Edition features 8
powerful applications, including valuable Internet security and
multimedia tools, aggressively priced at a suggested retail price of $69
after a $20 mail-in rebate.

WordPerfect Office's growth is backed by a market strategy that
emphasizes developing unique solutions to meet the needs of specific
customer segments. For example, Corel designs the enterprise-class
feature set and flexible licensing policies of WordPerfect Office 12
Standard Edition to meet the needs of large government departments and
formatting-intensive law offices.

Similarly, WordPerfect Office 12 - Home Edition includes security and
multimedia software at a value price to meet the specific demands of
consumers. Corel also has the ability to offer partner-specific builds
of WordPerfect Office for its OEM partners.

This customer- and partner-specific approach is a reflection of Corel's
commitment to flexibility and its focus on delivering branded,
value-priced alternatives to more expensive software titles.

"2004 saw the evolution of Corel into a company that is strong, stable
and highly profitable. Long time customers remain enthusiastic about our
products, and at the same time WordPerfect is winning new customers
across all its target customer segments,"said Carriere. "Corel is
clearly focused on providing specific customer segments, including
government, law offices, consumers and small businesses, with a
compatible, feature-rich and value priced choice in office suites.
2004's strong results are indicative of a market that is seeking
alternatives with the capabilities that only WordPerfect can provide."

Proven Solutions, Favored By Customers Seeking Alternatives
WordPerfect Office products are most popular among customers who are
sensitive to the high costs or restrictive licensing terms typical of
Microsoft Office, or among those who seek the advantages of WordPerfect
Office's unique formatting features and ease of use.

Now in its 10th year under the Corel banner, WordPerfect is supported by
a vast network of users, online support content, technical support
resources, as well as a wide variety of technology partners-ranging from
VARs to providers of powerful document management systems. These
comprehensive partner and technical support options represent a key
differentiator between WordPerfect Office and other office suite
alternatives.

For more information on WordPerfect Office 12, or to download a free,
fully-functioning 30-day trial version, please visit www.wordperfect.com.

(i)The NPD Group / NPD TechWorld (www.npdtechworld.com), December 2004

About Corel Corporation

Corel Corporation provides innovative software solutions that help
millions of value-conscious businesses and consumers in over 75
countries improve their productivity. The Company is renowned for its
powerful software portfolio that combines innovative photo editing and
graphics creation, vector-illustration and technical-graphics
applications along with office and personal productivity solutions.
Corel's flagship products include the CorelDRAW® Graphics Suite, the
WordPerfect® Office Suite, the Corel Painter Natural-Media® painting
and illustration software and the Paint Shop Family of digital
photography and image-editing software.

Corel was acquired by San Francisco-based Vector Capital in August 2003,
and since that time, has both re-established growth for its flagship
product lines and achieved multiple, consecutive quarters of corporate
profitability. Founded in 1985, Corel is headquartered in Ottawa,
Canada. For more information, please visit www.corel.com.

(C) 2005 Corel Corporation. All rights reserved. Corel, WordPerfect,
CorelDRAW, Painter, Natural-Media and the Corel logo are trademarks or
registered trademarks of Corel Corporation and/or its subsidiaries. All
other product, font and company names and logos are trademarks or
registered trademarks of their respective companies.

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Contact Information

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