Letter from Borland CEO Tod Nielsen

To Our Customers and Shareholders

Borland made a series of announcements that further demonstrate our commitment to tackling the most difficult challenges of software development. With our vision for Software Delivery Optimization (SDO), we’ve introduced a strategy for addressing critical process areas of the software delivery lifecycle through personalized, customized solutions. These solutions will target four key areas—IT Management & Governance, Requirements Definition & Management, Lifecycle Quality Management and Change Management. Each solution is architected to align people, process and technology with the goal of delivering greater control and predictability to your IT organization.

In support of this strategy we have acquired Segue Software, a company focused on Software Quality Optimization. Segue has a very strong reputation in the market for delivering best-in-class solutions. Segue also shares Borland’s vision for an approach to quality that spans the entire software delivery lifecycle. This acquisition adds a vital component to our overall SDO strategy and will form the cornerstone of our Lifecycle Quality Management solution.

Our plan is to create tight linkage between the quality and performance management offering from Segue and Borland’s ALM offerings, creating a true end-to-end lifecycle quality solution. You will see Borland approach quality holistically with investments that align people, processes and technologies across the organization.

In addition, Borland announced that we will be divesting our IDE product lines, driving even tighter focus on the ALM market. These product lines include our award-winning Borland Developer Studio (Delphi, C++ Builder and C# Builder) and JBuilder. Our intent is to create a standalone business focused on the IDE market, capable of investing in the opportunities that exist for these product lines and advancing developer productivity. Borland’s IDE business requires a distinct business model and focused investments different from our ALM business, which targets the broader software delivery organization. We believe that separating these businesses will enable both to flourish and grow more aggressively through targeted focus and investment. It goes without saying that we will do everything possible to ensure a successful transition of our products and customers to the new entity.

Through these moves, I hope one message is clear…Borland is doubling down on our vision for SDO. Our commitment to this vision is guiding major decisions and strong investments that enable Borland to deliver new levels of value for our customers. Today Borland has an unmatched combination of depth of solution and breadth of portfolio to tackle the industry’s most challenging business issues. We’re excited about this direction and the future we share together.

Tod Nielsen
President and Chief Executive Officer

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