Erste Bank selects Calypso as strategic derivatives platform

San Francisco, March 12, 2007 – Calypso Technology, Inc., (Calypso) a leading provider of capital markets trading software solutions today announced that Erste Bank Group, Central and Eastern Europe’s Leading Financial Services Company, has selected Calypso as its front to back, group-wide solution for interest rate, FX and credit derivatives.

Erste Bank was looking for a solution which could handle the more exotic interest rate products it offers clients, and also had key strengths in credit derivatives and FX options. The bank was impressed by Calypso’s comprehensive functionality and ability to handle a broad range of derivative products. One of the key drivers behind Erste Bank’s decision to choose Calypso was the flexibility of the application, which means the Bank can add new structures and hybrid products with specific payouts when needed.

“We felt it was time to move to a system that would provide us with a simplified way to trade the exotic products we are using. The strength of integration in Calypso’s front to back system is extremely important to us; we expect to see significant benefits through managing cross-asset risk and improving STP for flow and structured derivatives”, commented Herbert Juranek, Head of Group IT of Erste Bank. “Our decision to use Calypso is based on its ability to support our business now as well as a strategic approach to expanding our derivatives activity in the future. We will be leveraging Calypso's highly extendable platform to gain competitive advantages.”

“Derivatives trading and processing are key areas of strength for Calypso, and we welcome the opportunity to become a strategic partner for Erste Bank and look forward to supporting their business development plans”, said Charles Marston, CEO of Calypso Technology, Inc. “Erste Bank’s selection of Calypso is another step in the substantial increase in our German, Austrian and also Central and Eastern Europe client base; and we have expanded our presence in Germany significantly to meet this demand.”

About Erste Bank
Erste Bank, founded in 1819, was the first savings bank in Austria. Today it represents one of the largest financial services providers in Central and Eastern Europe, where Erste Bank has so far acquired more than 10 banks (in Slovakia, Czech Republic, Hungary, Croatia, Serbia, Romania and Ukraine). Almost 50.000 employees serve almost 16 million clients in more then 2.700 branches. 13 out of its 16 million clients live in Central and Eastern Europe. Erste Bank’s business focus is directed at the retail market as well as small and medium-sized enterprises. It offers a broad range of services comprising consumer finance and mortgages, savings and wealth management products as well as SME finance and corporate banking.