Yahoo! Selects Rapt's Price Optimization Software For Its Global Business

San Francisco, California — October 17, 2005 — Rapt Inc., the leading provider of pricing and profitability management software and services, announced today the expansion of its relationship with Yahoo! to international markets, beginning with Europe. Software activation is currently underway and, similar to Yahoo!'s U.S. business, Price Director will become an important component of the company's pricing and yield management strategies in Europe.

Yahoo! has used Price Director in North America since early 2004. The software uses sophisticated mathematical models and provides a unified platform for coordinating and driving pricing decisions. Yahoo! selected Rapt because of the significant opportunities to apply Rapt's industry-leading algorithmic engine to the challenges of pricing in the online media industry.

"Yahoo!'s decision to deepen its relationship with Rapt is affirmation of both the value that Price Director delivers to the organization as well as the quality of the services that Rapt provides," said Tom Chavez, Chief Executive Officer of Rapt, "We are excited about this opportunity to continue to contribute to Yahoo!'s ongoing success."

According to Todd Teresi, Vice President, Sales Operations at Yahoo!, "Price Director has brought tremendous rationality to our pricing over the past year by managing our highly complex business environments." He added, "We are pleased with the value it has created for both our customers and our company and are looking forward to deploying it to our international operating groups."

Over the past few years, Rapt has become the leading pricing solutions provider for the media industry. The company's market-leading position in this space was recently noted by Laura Preslan, formerly Vice President of Research at AMR, in "How to Select the Right B2B Price Management Vendor." Ms. Preslan wrote that Rapt "has a lockdown in online media based on work done with Yahoo! [and others]...The company's expertise in this vertical sets it apart from the competition."

About Rapt Inc.

Rapt Inc. is the leading provider of pricing and profitability management solutions. These solutions help companies achieve and sustain profit and growth objectives through the deployment of intellectual property-rich software and advisory services. Rapt software, based on Rapt's proprietary analytic engine technology, enables companies to optimize and manage pricing strategies, while Rapt advisory services help companies design and implement best-practice pricing processes across their organizations. Rapt's client base includes Microsoft, HP, Yahoo!, Seagate, and iVillage. More information about Rapt can be found at: www.rapt.com.