SOLACE SYSTEMS EXPANDS MANAGEMENT TEAM WITH THE ADDITION OF FORMER TIBCO EXECUTIVE AS VP OF SALES

Ottawa, Canada, July 26, 2004 - Solace Systems, the leader in carrier-scale multiservice message routing, announced today the appointment of Crispin Clarke to the position of VP of Sales. Mr. Clarke joins Solace at a time of rapid growth and customer interest in the company's flagship 3200 message router.

With more than 20 years experience in the IT and networking sectors, Mr. Clarke brings an in-depth understanding of customer issues in financial services, telecommunications and other industries. He joins the experienced Solace management team to assume responsibility for Solace's direct and indirect sales force and all sales related operations.

Before joining Solace, Mr. Clarke was Regional Director for TIBCO Finance Inc. in Canada and the Central US. During Clarke's eight year tenure at TIBCO, he was responsible for managing all aspects of the business, resulting in rapid revenue growth. Mr. Clarke has also held senior positions in the venture capital industry and has assisted numerous start-ups with business and sales strategies.

"This is a tremendously exciting time for Solace Systems as they are at the forefront of a new technology which is poised to radically re-shape carrier and enterprise networks," said Mr. Clarke. "My previous experience in publish/subscribe systems for financial services and EAI fits very well with Solace's vision and focus. I look forward to further developing Solace's customer base and long term strategic direction."

###