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Financial Engines Selects ILOG CPLEX To Support Investment Advice

PARIS and MOUNTAIN VIEW, Calif., November 13, 2002 - ILOG� (NASDAQ: ILOG; Euronext SICOVAM: 006673), the leading provider of enterprise-class software components, today announced that Financial Engines�, Inc., a leading provider of advice technology and services, has selected ILOG CPLEX� for its industry-leading advice technology platform. Financial Engines has alliance relationships with more than 15 financial institutions, including J.P. Morgan/American Century Retirement Plan Services and Northern Trust Retirement Consulting. In addition, over 800 employers, including 3Com Corporation, Dow Corning and The Goodyear Tire & Rubber Company*, use Financial Engines' advice technology and services to provide investment forecasting and advice to more than three million individuals.

Millions of Americans have retirement plans, usually through their employers. However, most plan participants either lack the time or experience to manage a diversified portfolio. Financial Engines enables financial institutions and employers to offer fully integrated, consistent and cost-effective investment advice to their clients and employees through the Web, phone or face-to-face.

In its continued pursuit to develop unparalleled advice technology, Financial Engines has adopted ILOG CPLEX to create a more advanced optimization framework that enhances Financial Engines' ability to create intuitive and actionable investment advice by taking into account the myriad of complexities encountered in real-world portfolio optimization. The enhanced optimization capabilities ensure that the advice given customers reduces portfolio turnover, minimizes taxes, incorporates transaction costs, avoids trace allocations, and handles minimum investment constraints.

For example, the system will suggest customers remain with current portfolio positions if the anticipated gains aren't significant enough to justify the transaction costs. These enhancements also ensure that the client or advisor can easily implement the advice.

"We're committed to providing financial institutions and employers with the advanced technology they need to deliver advisory services to their clients and employees," said Garry Hallee, executive vice president, Financial Engines. "As demand for our platform increases, along with the requirements for functionality and performance, best of breed technology that can handle this growth has become crucial to us for maintaining our competitive edge. ILOG CPLEX can help us meet these objectives."

"Financial Engines has taken the relationship mainstream investors have with their retirement portfolios to the next level," said ILOG's vice-president for Strategic Business Development, Eric Brisson. "Clearly, we're pleased at the success of Financial Engines' advice technology platform, since it underscores the power of ILOG optimization to support intelligent, real-time advice over the Web."

About Financial Engines
Financial Engines provides advice technology and services to help financial institutions and employers solve real-world investor problems for their clients and employees. Financial Engines' services provide specific, actionable investment recommendations based on the outcomes an investor wants to achieve and can be delivered through the web, phone, or face-to-face. More than 15 financial institutions and 800 plan sponsors have hired Financial Engines to make advice available to over 3.0 million individuals. Nobel Prize winning economist William F. Sharpe founded the company with a revolutionary vision: to make institutional-quality advice available to financial institutions and employers that serve individual investors. For more information on Financial Engines, visit www.financialengines.com.

About ILOG
For more than 10 years, ILOG's innovative enterprise-class software components and services have helped companies maximize their business agility and improve operating efficiency. Over 1000 global corporations and more than 300 leading software vendors rely on ILOG's business rules, optimization and visualization technologies to achieve dramatic returns on investment, create market-defining products and services, and sharpen their competitive edge. For more details, please visit www.ilog.com.

Financial Engines is a registered trademark of Financial Engines, Inc. ILOG and CPLEX are registered trademarks of ILOG. All other trademarks and service marks are the property of their respective owners. All advisory services are provided by Financial Engines Advisors LLC, a federally registered investment adviser.

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