Media Release: PGP Assets Purchased

PGP CORPORATION ANNOUNCES PURCHASE OF PGP DESKTOP AND WIRELESS ASSETS
FROM NETWORK ASSOCIATES

Technology, Venture Funding, and Management team launch
the new company

Palo Alto, CA/19 August, 2002 – PGP Corporation, the recognized worldwide leader in secure messaging and data storage, today announced the completion of its acquisition of the PGP Desktop and Wireless encryption product lines from Network Associates, Inc. The PGP purchase, a buyback of a portion the assets PGP sold to Network Associates in December 1997, coincides with an investment of $14 million by DCM-Doll Capital Management and Venrock Associates, and the announcement of a senior management team comprised of technology industry veterans and former PGP executives provides the foundation of the new company.

PGP Corporation will immediately license and support current versions of PGP products to current, former, and new PGP customers. PGP products, in use today by thousands of corporate and government users and millions of individual users worldwide, are available today from the company at http://www.pgpstore.com/.

"Reacquiring the PGP product line gives us an established, trusted product set, a well-respected code base, and a worldwide customer base," said Phil Dunkelberger, PGP Corporation President and CEO. "We look forward in the future to extending the product line and creating a next generation platform for secure messaging and data storage."

Assets acquired include the following:

• PGP Mail, PGP File, PGP Disk, and PGP Admin software products for Windows and Macintosh
• PGP Corporate Desktop for Macintosh
• PGP Keyserver for Windows and Solaris
• PGP Wireless for PalmOS and WinCE/PocketPC
• PGP SDK encryption software development kit

Network Associates retained certain products that were developed using the PGP SDK encryption development software tools. Network Associates has been given a license to continue to maintain and update these PGP-based products. Assets not acquired include:

• McAfee E-Business Server (formerly called PGP E-Business Server or PGP Command Line)
• McAfee Desktop Firewall for Win32 platforms
• McAfee VPN Client for Win32 platforms

About PGP Corporation
PGP Corporation, the recognized worldwide leader in secure messaging and data storage, builds products that allow corporations to ensure confidential customer and individual information remains secure. PGP Corporation combines a management team comprised of technology industry veterans and former PGP executives, developers, and patent holders with $14M of venture funding from DCM-Doll Capital Management and Venrock Associates, two highly respected venture capital firms.

Over the last ten years, PGP® technology has developed a global reputation for enabling open, trusted, and highly reliable security products. PGP® products have thousands of corporate and government users and millions of individual users worldwide, including many of the world's largest and most security-sensitive enterprises, government agencies, individuals, and cryptography experts. Contact PGP Corporation at www.pgp.com or toll free at 866 747 5483 (866 PGP LIVE).

Media & analyst contact for PGP Corporation:
John Tran
Neale-May & Partners
+1 650 328 5555 ext. 277
jtran at nealemay dot com

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