Letter to Partners

Dear Partner,

Today Oracle announced our agreement to buy Portal Software, a leading global provider of billing and revenue management solutions for the communications and media industry. We expect the transaction to close in June 2006, subject to regulatory and other approvals. Until such time, each company will continue to operate independently. We would like to take this opportunity to pledge our continued commitment to the success of your business and outline the benefits this transaction will deliver, once completed.

We currently supply technology and applications to over 90% of communications companies worldwide, and 17 of the top 20 most profitable communications companies run Oracle Applications. Additionally, Oracle’s Siebel Telecom applications have become the standard for telco call centers and customer care. Oracle Database 10g is the leading relational database and TimesTen is the most widely used in-memory database for the communications industry. Oracle Fusion Middleware is the fastest growing service delivery platform for next generation networks using network independent standards.

Portal offers the only billing and revenue management solution with a modern, object-oriented architecture built on Oracle that can bill and manage all communications services including wireline, wireless, broadband, cable, voice over IP, IPTV, music, and video. As communications, publishing, media, and entertainment services converge, Oracle can support companies with a proven offering for billing, customer interaction, and management of digital services and content. Together, we plan to deliver the first end-to-end packaged enterprise software suite for the communications and media industry.

The combination is expected to provide partners with the following benefits:

• Work with a single vendor to address customer needs for billing, CRM, ERP, analytics, and infrastructure software: Portal partners to benefit from Oracle’s worldwide resources and partner ecosystem, as well as preserving their investments and experience with Portal products. Oracle partners to benefit from Portal’s best-in-class, real-time billing solutions. Both companies’ partners to benefit from the complementary solutions that create the first end-to-end packaged enterprise software suite for the communications industry.
• Continuity of Oracle’s partnership with Network Equipment Providers in the convergent charging area: Oracle expects no change to the partnerships we have built with network equipment providers, particularly IN-based charging solutions. The addition of Portal enhances Oracle’s portfolio to the communications industry, and is complementary to network equipment providers’ charging initiatives.
• Commitment from Oracle to continue supporting other billing ISVs: Oracle is committed to helping billing ISVs with the provision of Oracle’s infrastructure software, including our relational database, in-memory database, middleware, and analytics. Oracle is also committed to helping enable integrations between billing ISVs and Oracle’s other enterprise applications. The provision of technology support and collaboration for these activities will be conducted independently from the business unit led by Portal.

Please join me along with Dave Labuda and Bhaskar Gorti from Portal for a customer and partner conference call about the combination on Thursday, April 13, 2006 at 7:30 a.m. PDT. Call-in details and other information about the transaction can be found at oracle.com/portalsoftware.

Sincerely,

Charles Phillips
President, Oracle

The above is for informational purposes only and may not be incorporated into a contract.

THIS DOCUMENT IS FOR INFORMATIONAL PURPOSES ONLY AND IS NOT AN OFFER TO BUY OR THE SOLICITATION OF AN OFFER TO SELL ANY SHARES. THE SOLICITATION AND THE OFFER TO BUY PORTAL SOFTWARE'S COMMON STOCK WILL ONLY BE MADE PURSUANT TO AN OFFER TO PURCHASE AND RELATED MATERIALS THAT ORACLE CORPORATION INTENDS TO FILE. STOCKHOLDERS SHOULD READ THESE MATERIALS CAREFULLY BECAUSE THEY CONTAIN IMPORTANT INFORMATION, INCLUDING THE TERMS AND CONDITIONS OF THE OFFER. STOCKHOLDERS WILL BE ABLE TO OBTAIN THE OFFER TO PURCHASE AND RELATED MATERIALS WITH RESPECT TO THE TENDER OFFER FREE AT THE SEC'S WEB SITE AT WWW.SEC.GOV OR FROM ORACLE CORPORATION.