Intergraph and DNVS Software Sign Letter of Intent

Wednesday, May 22, 2002
Intergraph Corporation and Det Norske Veritas Software (DNVS) have signed a letter of intent to complete a software licensing and distribution agreement. The proposed five-year, multi-million dollar agreement includes collaboration by the two companies in the shipbuilding, offshore and plant design markets.

Under terms of the letter of intent, DNVS will market and distribute Intergraph's next-generation shipbuilding design applications to the shipbuilding industry. Additionally, Intergraph will license its SmartPlant(R) platform technology to DNVS. Intergraph and DNVS will work together to combine their respective engineering and lifecycle data management applications. DNVS ship classification and strength analysis software will be combined with Intergraph ship design software to provide an integrated suite of applications aimed at making dramatic improvements in shipbuilding design and manufacturing productivity. Intergraph and DNVS also envision a comprehensive product offering for the offshore industry, particularly for floating production storage and offloading (FPSO) vessels and topsides as well as expanded information management capabilities for the process industries, including the DNVS risk management and analysis software.

As a result of productivity improvement during design and cost savings during operation, Intergraph and DNVS expect the combined offering for FPSO will be compelling for offshore facility owners. For onshore plant owners, integration of the DNVS risk management software with Intergraph plant design products will provide important new capabilities for critical safety management and contingency planning. Elling Rishoff, managing director, Det Norske Veritas Software, said, "The letter of intent represents a major expansion of the original DNV and Intergraph licensing agreement signed in 1999. When signed, the agreement will significantly strengthen and expand both companies' presence in the offshore oil and gas sector." Gerhard Sallinger, president, Intergraph Process Power & Offshore, said, "Intergraph is pleased to expand our long standing relationship with DNVS. The agreement demonstrates that Intergraph is committed to bringing the same high level of benefit to ship designers we have historically brought to the process plant and offshore industries. In addition, the combined DNVS and Intergraph offering will unquestionably bring significant value to the owners, operators and designers of FPSOs." Sallinger today announced the letter of intent during his keynote address to some 400 Intergraph customers from more than 50 countries at International Process & Power 2002. The conference continues here through Thursday. Intergraph and GRAD Commercializing Advanced Shipbuilding Technology Under an agreement with the Global Research and Development (GRAD) consortium, Intergraph Process, Power & Offshore is developing GSCAD, an advanced, next-generation shipbuilding software product for the design of commercial and military vessels, which is to be distributed by DNVS under the new agreement. GRAD, headquartered in Hampton, Va., represents several major worldwide shipbuilders. Intergraph's new shipbuilding software shares core technology with SmartPlant 3D and aims to streamline shipbuilding processes, lower manpower and material costs and reduce the time to construct world-class vessels. Torben Andersen, chairman of the board of directors, GRAD, said, "GRAD is highly optimistic about the new DNVS and Intergraph relationship. We see GRAD together with Intergraph and DNVS as a winning combination and one that will fundamentally change the equation with respect to who will and won't be competitive in this business in the future."

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