Thomas E. Noonan President and Chief Executive Officer Issues in eBusiness Security

Internet Security Systems Overview Founded 1994, headquarters in Atlanta, GA Pioneered security assessment and intrusion detection technology Network IDnA market share leader – 49% Public company: NASDAQ - ISSX Global operations in 14 countries serving over 5,500 customers Over 900 employees worldwide 18 successive quarters of growth Pioneer and leader in Remote Managed Security Services

Business Summary Pre-IPO Dec Pre-IPO Dec ISS Dec ISS Dec ISS Dec ISS Dec # Products # Customers # Services Headcount # Strategic Alliances Headcount Global Expansion # Products # Customers # Services Headcount # Strategic Alliances Headcount Global Expansion 3 1, $13.5M 8 3, $35.9M 16 5, $116.5M # International Offices Revenue # International Offices Revenue

Market Drivers

Key to Security Management Growth Internet user and transaction growth eBusiness is a priority Benefits and risks of open systems Dynamic networks and security confusion Growing internal and external threats Limited security resources and expertise Security is embedded and heterogeneous Security management becoming too complex

eBusiness Technology Adoption

eBusiness Transformation

The Internal Threat is Real

The Outside Threat is Growing

The Security “Skills Gap” In addition, the ability of organizations to adopt and maintain a secure environment has not kept pace with technology change...

Downtime is Rising

Security is Complex Source: Forrester Research Access control scanning Authentication VPN Mobile code Firewall Scanning Intrusion detection Anti virus URL filtering PKI

Business is changing, security must

The Security Market is Changing Infrastructure Security vs. Security Management

Enterprise Security Management

Business-Driven Security Solutions

What’s Appropriate for my Business?