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Company Achieves Profitability;
Total Revenues Increase 76% to $12.1 Million Year over Year

Marimba, Inc., a leading provider of Internet infrastructure management solutions, today
announced financial results for its second quarter ended June 30, 2000.

Revenues for the second quarter were $12.1 million, up 76 percent from $6.9 million for the
same quarter last year. Net income for the second quarter was $1.3 million, or a diluted net
income per share of 5 cents, up from a net loss of $1.5 million, or a diluted net loss of 8 cents
per share, for the same quarter last year. Excluding $205,000 of amortisation expense for
deferred stock compensation, diluted net income per share for the second quarter would have
been 6 cents. Excluding $451,000 of amortisation expense, net loss per share in the same
quarter a year ago would have been 6 cents.

License revenues for the second quarter were $9.2 million, up 86 percent from $4.9 million for
the same period a year ago. Service revenues rose to $3.0 million, up 51 percent from $2.0
million for the same quarter last year.

"The second quarter marked a milestone for us, as we reached profitability on strong revenue
growth," said Kim Polese, chairman and chief strategy officer. "We have

continued to successfully execute our strategy, as the market for e-business software and
services accelerates. In addition, Timbale, our newly-launched server management product line,
achieved early customer acceptance, and customer uses for our Castanet products continued to

Quarterly Highlights

Marimba’s business highlights during the second quarter of 2000 included the following:

Early customer acceptance of the Timbale product line, which provides enterprises,
ASPs and Internet hosting companies with server management for the distribution of
mission-critical content across widely distributed server farms

Release of Timbale for Server Management by Winstar Communications, a leading
broadband services company, as an enabling technology for its Web hosting and
co-location services

Shipment of Timbale for Windows Terminal Service (WTS), which provides centralised
deployment control and management of all server software used in Windows terminal
services computing environments

Continued penetration by Castanet in the fast-growing Internet device market

Additional new customers, including Aspect Communications, Atlanta Journal,
Washington Mutual, Intercontinental Exchange, Internet Appliance Network (IAN), SAI
Plus, and Zero G Software

Strong repeat business, including orders from Cable & Wireless, Healthsouth,
Intelimedic, Merinta, and Morgan Stanley Dean Witter

Continued balance sheet strength, with $78.4 million in cash and investments, and total
assets of $95.6 million at June 30, 2000

In a separate release issued today, Marimba announced the appointment of John Olsen to
president and chief executive officer of Marimba, and Kim Polese to chairman and chief
strategy officer of the company. See news release dated July 25, 2000, "Marimba Names
Former Cadence Executive as President and CEO; Polese Becomes Chairman And Chief
Strategy Officer; John Olsen Brings Proven Track Record in Managing and Growing
Technology Businesses."

About Marimba

Marimba is a leading provider of Internet infrastructure management solutions, enabling
companies to leverage the Internet to deliver more powerful and cost-effective applications and
services to their customers, employees and business partners. Marimba’s Castanet product
family provides an efficient and reliable infrastructure by which enterprises can distribute, update
and manage applications and content over corporate intranets, extranets and the Internet.
Marimba’s Timbale product family addresses the unique management challenges inherent in

computing, including content replication and precise deployment control across heterogeneous
server platforms. Marimba is headquartered in Mountain View, California, and can be reached
at 01344 397224, via email at, or at its Web site at


This press release contains forward-looking statements within the meaning of Section
21E of the Securities Exchange Act of 1934, and is subject to the safe harbors created
by this section. These forward-looking statements include: statements regarding
Marimba’s future revenue and business growth, continuing demand and market
acceptance for Marimba’s Castanet and Timbale products, diversification of customer
uses for Castanet, and Marimba’s expansion of its current product offerings. The
results expected by these statements are subject to a number of risks and
uncertainties, including: fluctuations in customer demand, challenges associated with
growing the company, Marimba’s need to retain key personnel, Marimba’s
dependence on the success of its Castanet product family and increasing market
acceptance of its Timbale product family, its ongoing patent litigation, competition
from other vendors, Marimba’s need to increase third-party distribution and other
reseller relationships, the operational, technical and strategic challenges Marimba
faces in developing new products, which may affect its ability to release new products
on schedule and the degree to which the products are accepted by customers, and
general economic, technological and market conditions, which could affect the level of
demand for Internet infrastructure management solutions in general and Marimba’s
products in particular. Actual results may differ materially from the results anticipated
by these forward-looking statements due to the factors listed above and other factors.
The matters discussed in this press release also involve risks and uncertainties
described from time to time in Marimba’s filings with the Securities and Exchange
Commission (SEC). In particular, see the Risk Factors described in Marimba’s most
recently filed Annual Report on Form 10-K and Quarterly Report on Form 10-Q, each
as submitted to the SEC and as may be updated or amended with future filings or
submissions. Marimba undertakes no obligation to release publicly any updates or
revisions to any forward-looking statements contained in this announcement that may
reflect events or circumstances occurring after the date of this announcement.

Marimba and Castanet are registered trademarks, and Timbale is a trademark, of
Marimba, Inc. in the U.S. and/or certain other countries. All other product, trademark,
company or service names mentioned herein are the property of their respective

Editorial Contacts:
Matt Campbell / Jenny Holt
Tel: 020 8600 4600
Fax: 020 8600 4620

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