“ServiceFlow is the best
solution for service catalog, service level management
and service
financial management.”
– Ian Seneviratne, Head of Operations for Application Management, Siemens IT Solutions and Services

Telefónica Empresas Selects Digital Fuel for SLA Management

Digital Fuel selected to enable automation of SLA Management to drive Telefónica's goals of excellence in customer satisfaction and growth

SAN MATEO, Calif. – March 6, 2006 Digital Fuel, the leader in software solutions for the management of service level agreements (SLAs) and contractual obligations, today announced that Telefónica Empresas has selected Digital Fuel's SLA management solution. Telefónica is the leading operator in the Spanish and Portuguese speaking markets, with access to more than 550 million potential clients.

Digital Fuel's industry-leading ServiceFlow will be used to automatically track Telefónica Empresas service delivery performance to improve internal operations as well as provide visibility into service delivery for their large business customers of telecommunications and application hosting services.

"We selected Digital Fuel because of their proven track record to help companies like ours increase the value of services delivered to customers through greater visibility and control in delivery to contractual and business obligations embodied in service level agreements," said Andres Lopez Hedoire of Telefónica Empresas. "This new capability will help differentiate our services to attract even more new business."

"The telecommunications market, as it diversifies, is faced with increasingly complex challenges to manage and differentiate its service offerings," said Yisrael Dancziger, Digital Fuel. CEO. We are delighted that Telefónica Empresas has chosen us to support them in this key initiative."

Telefónica Empresas will apply Digital Fuel's solution to a number of their larger customer contracts immediately.

About Telefónica Empresas

Telefónica Empresas is the Telefónica Group's business area involved in satisfying technological and information needs of large corporations and governmental entities supplying integrated, innovative and personalized solutions.

Telefónica is the third largest operator in the world in terms of market capitalization. Its main activities are focused on fixed and mobile telephony businesses with broadband as the key tool for the development of both.

The company has a significant presence in 17 countries and a customer base that amounts to more than 131 million. Telefónica has a strong presence in Latin America, where the company concentrates part of its growth strategy.

Telefónica is a 100% listed company, with more than 1.5 million direct shareholders. Its share capital currently comprises 4,955,891,361 ordinary shares traded on the Spanish Stock Market (Madrid, Barcelona, Bilbao and Valencia) and on those in London, Paris, Frankfurt, Tokyo, New York, Lima, Buenos Aires, São Paulo and the SEAQ International Exchange in London.

About Digital Fuel

Digital Fuel is the leading provider of business service management (BSM) software solutions, helping service providers and enterprise service organizations manage the performance, financial, and regulatory aspects of IT, telecommunications, and business process services. Digital Fuel has the largest deployments for SLA management and service cost management in the world, with thousands of concurrent users, SLAs, KPIs, metrics, cost formulas, and pricing rules. With Digital Fuel's patented visual approach, our customers are deployed rapidly to quickly drive business value from automating the management of service offerings, agreements, service cost, and performance with their service customers and vendors. ServiceFlow manages billions in business and IT services at companies and governments around the world such as Procter & Gamble, General Electric, Cummins, Capgemini, BT, IBM, SITA, Siemens Business Services, O2, Atos Origin, Telefonica, Transport of London, CSC and many others. Digital Fuel is headquartered in San Mateo, California, with offices across North America and Europe. Learn more at http://www.digitalfuel.com.