Landesbank Baden-Württemberg Builds Business through Algo Collateral

Toronto, Canada / Stuttgart, Germany - May 18, 2006 -

Algorithmics, a world leader in enterprise risk management solutions, today announced that Germany's largest public sector bank, Landesbank Baden-Württemberg (LBBW), will be expanding the coverage of its Algo Collateral solution to respond to the increased volume and business potential that has been created through their strategic management of their collateral portfolio. The LBBW Algo Collateral implementation has been enhanced to enable the management of over 300 collateral agreements and provide a sustained competitive advantage in an increasingly consolidated German marketplace.

LBBW, rated in 2005 as the best among the country's Landesbank, adopted Algo Collateral in response to changes to regulatory requirements for credit lending and credit worthiness in 2005.

"We have been able to scale operations to respond to increased business potential through Algo Collateral," says Andreas Beck, Head of Back Office OTC Derivatives. "Through Algo Collateral we are very effectively meeting current business requirements and have a clear path set for long-term growth."

"Best-practice collateral management enables business growth," says Evelyn Dewaele, Vice President of Collateral Management at Algorithmics. "LBBW has expanded both trading volume and counterparties and meets foreseeable requirements for Basel II while achieving capital relief through netting collateral."

About Landesbank Baden-Württemberg (LBBW)
LBBW is an international wholesale and retail bank, as well as being the central banking institution for the savings banks in Baden-Württemberg. It is also a savings bank in the territory of the state capital of Stuttgart. LBBW was formed following the merger in 1999 of Südwestdeutsche Landesbank Girozentrale, Landesgirokasse and the commercial banking business of Landeskreditbank Baden-Württemberg.

About Algo Collateral
Algo Collateral is an enterprise-wide margining solution dedicated to reducing credit and operational risk while simultaneously increasing opportunities for growth in an institution's core business. The solution's configurable workflow enables the proactive identification and management of risk, and automates the operational processes necessary to mitigate that risk. Algo Collateral offers a fully controlled and secure environment to allow collateralization to keep pace with new business opportunities and can be easily integrated with in-house and third-party systems.

About Algorithmics
Founded in 1989, Algorithmics is recognized as the world's leading provider of enterprise risk management solutions and services that enable financial institutions to effectively understand and manage their financial risk. Algorithmics has over 300 clients, including more than 70 of the 100 largest financial institutions in the world. Algorithmics was voted as the leading enterprise risk solution provider for Basel II, market risk, credit risk, operational risk and collateral management in Risk magazine's 2005 Technology Rankings. Algorithmics is a member of the Fitch Group.
www.algorithmics.com

About Fitch Group
Fitch Group is the parent company of Fitch Ratings, a leading global rating agency committed to providing the world's credit markets with accurate, timely and prospective credit opinions. Fitch Ratings is dual-headquartered in New York and London, operating offices and joint ventures in more than 50 locations and covering entities in more than 80 countries. Fitch Group is a subsidiary of Fimalac, S.A., an international business support services group listed and headquartered in Paris, France.

© Algorithmics Software LLC, 2006, all rights reserved. ALGORITHMICS, AI & design, MARK-TO-FUTURE, ALGO CAPITAL, ALGO COLLATERAL, ALGO CREDIT, ALGO MARKET, ALGO OPVANTAGE, ALGO RISK, and ALGO SUITE are trademarks of Algorithmics Trademarks LLC.

Press Contact

Heather Smith
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email: Heather.Smith@algorithmics.com