JANUARY 2014 S OFTWARE S ECTOR MONTHLY REVIEW ADVISORY SERVICES PRIVATE PLACEMENTS PUBLIC OFFERINGS FAIRNESS OPINIONS

JANUARY 2014 S OFTWARE S ECTOR MONTHLY REVIEW ADVISORY SERVICES PRIVATE PLACEMENTS PUBLIC OFFERINGS FAIRNESS OPINIONS

INSIDE THIS ISSUE Industry Insights 3 Select Headlines 3 Macroeconomic Environment 4 Market Performance 5 Sector Market Performance 6 SaaS Valuation & Metrics 7 Recent IPOs & Performance 8 Precedent M&A Transactions 9 Recent Financing Activity 10 Comparable Company Analyses 11 Janney Team 18 Sources 19 Janney Montgomery Scott LLC is a US broker-dealer registered with the US Securities and Exchange Commission and a member of the New York Stock Exchange, the Financial Industry Regulatory Authority and the Securities Investor Protection Corp. Janney Montgomery Scott and Janney are trade-names for Janney Montgomery Scott LLC and its affiliates. Janney provides investment banking, private placement, merger, acquisition and divestiture services, which includes investment advisory, fairness opinion, solvency opinion, valuation opinion, restructuring advisory and portfolio management services. Janney gathers its data from sources it considers reliable; however, it does not guarantee the accuracy or completeness of the information provided within this publication. The materials presented reflect information known to the authors at the time this publication was written, which is subject to change. Janney makes no warranties, expressed or implied, regarding the accuracy of this material. Officers, directors and partners in the Janney group of companies may have investments in the securities of the companies discussed herein. Janney or its affiliates may from time to time provide investment banking or related services to these companies. Like all Janney employees, the authors of this publication receive compensation that is affected by overall firm profitability. Any public companies included in the Janney indices are companies commonly used for industry information to show performance within a sector. These indices do not include all public companies that could be categorized within the sector and were not created as benchmark; do not imply benchmarks and do not constitute recommendations for a particular security and/or sector. The charts and graphs used in this report have been compiled by Janney solely for purposes of illustration. All charts are current as of the date of issuance of this report. This Monthly Review mentions a number of companies; however, none of these companies are subject of the Monthly Review. The companies mentioned may include Janney financial advisory clients, as well as companies involved in transactions where Janney has provided these services to other participants in the transactions. Page 2

Industry Insights Sochi isn t the only city focused on security; San Francisco will be hosting the RSA Conference in a few weeks and as the years pass and the names of threats change, one thing remains the same attacks continue to grow in frequency and complexity. Symantec s 2013 Internet Security Threat Report found that there was a 42% increase in targeted attacks in 2012. Many of the same trends that excite investors mobile, social, big data, cloud, smart machines are driving this increase and the proverbial genie is out of the bottle as the Internet of Things continues to proliferate. Attacks are also getting more expensive. It is estimated that the recent data breach at Target could cost the company over $1 billion. Further, the actors involved continue to transition from hackers seeking to demonstrate their acumen at penetrating cyber defenses to sophisticated cyber criminals and nation states. Gartner forecasts the 2013 global security software and services market to be $67 billion, and grow at a 8.7% CAGR to $86 billion in 2016. It is interesting to note that while there has been an explosion of application software-focused IPO s and M&A, security technology activity has been tepid. Last year s big security IPO was FireEye (up 275% since its IPO) but only seven security IPOs have priced since 2012. On the M&A front, there has been a bit more activity over the past two years, but really only a few blockbuster transactions, including: Mandiant/FireEye, Sourcefire/Cisco, Trusteer/IBM, and private equity firm Thoma Bravo s purchase of Websense. Why the lack of activity? First, many of the traditional buyers, EMC, Cisco, HP, Symantec, Intel have been inwardly focused, dealing with struggling legacy businesses, leadership transitions, divestitures and shareholder activism. In addition, VC s have spent more time focusing on investments in SaaS application businesses over the past few years as these businesses are less expensive to scale, have a clear customer acquisition strategy, and have been richly valued by the public markets. Consequently, fewer security start-ups receive investment dollars. In addition, those fewer start-ups that have produced solid growth rates have been able to raise additional growth capital at very attractive valuations, making it challenging for many of the public companies trading at lower multiples to reach a mutually acceptable purchase price. Despite these challenges, we expect 2014 and 2015 to be very active with new companies coming to market, robust M&A activity as the incumbents get their collective houses in order and begin to search for new growth opportunities, new entrants (Experian/41st Parameter) as well as recently minted IPO companies getting their public company footing and beginning to implement acquisition strategies (FireEye/Mandiant). The themes are the same; the Internet of Things is an irreversible movement, attacks continue to grow in frequency and complexity, breaches are costing more money, IT security and governance budgets are growing and IT security customers are willing to go best of breed but would prefer an integrated layered approach. The result should be gold for companies that can take advantage of this dynamic market opportunity and deliver on growth that is so richly valued by investors today. SELECT HEADLINES Dassault Systemes has agreed to buy Accelrys, which provides scientific software for the energy, aerospace and industrial goods sectors, at a price of $12.50 per share. The all-cash deal values the company at about $750 million. (Reuters, 1/30) Ensighten announced a $40 million round of venture funding from Insight Venture Partners. Ensighten has now raised $55.5 million since starting up at the end of 2009. (Venturebeat.com, 1/29) Cloud software firm VMware announced its intent to acquire AirWatch, an enterprise mobile device management and security provider for a total of $1.54 billion in cash, installment payments and unvested stock options. (WSJ, 1/22) MemSQL, a big data firm that helps retrieve and analyze data real-time, has raised $35 million in Series B funding from Accel Partners and Khosla Ventures. Proceeds will be directed to product development and support to users. (Techcrunch, 1/22) GE has agreed to acquire API Healthcare, a healthcare workforce management software and analytics solutions provider. API Healthcare s solutions are used by more than 1,600 hospitals and staffing agencies in the U.S. (Businesswire.com, 1/21) Infor purchased PeopleAnswers, maker of cloud-based software that analyzes behavioral traits of job candidates. (WSJ.com, 1/8) FireEye, a provider of security software, has acquired Mandiant, a company known for emergency responses to computer network breaches. Based on the current value of shares in FireEye, the deal is worth more than $1 billion. (Nytimes, 1/2) Page 3

MACRO STORY The Conference Board Consumer Confidence Index, which had decreased in November, rebounded in December. The Index now stands at 78.1, up from 72.0 in November (1). Consumers appraisal of overall current conditions improved. Says Lynn Franco, Director of Economic Indicators at The Conference Board: Looking ahead, consumers expressed a greater degree of confidence in future economic and job prospects, but were moderately more pessimistic about their earning prospects. The U.S. Department of Labor reported that the unemployment rate was 6.6 percent in January, the lowest level since late 2008. Yet, U.S. payrolls rose a seasonally adjusted 113,000 in January after December's lackluster gain of 75,000 jobs, marking the weakest two-month stretch of job creation in three years. Consumer Confidence (1) Unemployment Rate (2) 160 140 120 100 80 60 40 20 0 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 90 80 70 60 50 40 30 20 Source Release Date Actual Volatility Index (3) % Chg MoM % Chg YoY Estimate Conference Board 12/31/13 78.1 4.1% 38.2% 84.1 Reuters / U. of Michigan 1/17/14 80.4-2.5% 8.9% 81.5 12% 11% 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 Interest Rate Forecasts (%) (4) Security 01/31/14 Fed Funds Target Source 1Q 14 Release Date 2Q 14 Actual Forecast 3Q 14 % Chg MoM 4Q 14 0.25 0.25 0.25 0.25 0.25 3-Month LIBOR 0.24 0.27 0.30 0.33 0.38 2-Year T-Note 0.34 0.41 0.53 0.66 0.82 10-Year T-Note 2.67 2.97 3.14 3.28 3.42 30-Year T-Note 3.61 3.91 4.05 4.14 4.26 % Chg YoY US Dept. of Labor 1/28/14 6.6-1.5% -16.5% 10 0 1992 1994 1997 2000 2002 2005 2008 2010 2013 As of January 31, 2014 Page 4

MARKET PERFORMANCE SAAS INDEX vs. MARKET INDICES (3) Last Week Last Month 5% 4% NASDAQ S&P 500 Dow Jones SaaS Index Non-SaaS Index 12% 10% NASDAQ S&P 500 Dow Jones SaaS Index Non-SaaS Index 3% 8% 2% 6% 4% 1% 2% 0% 0% -1% -2% -2% -4% -3% 1/24 1/27 1/28 1/29 1/30 1/31-6% 1/2 1/10 1/20 1/28 Last Quarter 2013 January 2014 16% 14% NASDAQ S&P 500 Dow Jones SaaS Index Non-SaaS Index 70% 60% NASDAQ S&P 500 Dow Jones SaaS Index Non-SaaS Index 12% 10% 50% 8% 40% 6% 30% 4% 20% 2% 0% 10% -2% 0% -4% -10% Nov-13 Dec-13 Jan-14 Jan-13 Feb-13 Mar-13 Apr-13 Jun-13 Jul-13 Aug-13 Oct-13 Nov-13Dec-13 Jan-14 Refer to the comparable sets attached for information about companies within SaaS and Non-SaaS(all other sub-sector) indices; as of January 31, 2014 Page 5

SECTOR MARKET PERFORMANCE YEAR TO DATE (3) 5% 0% 5% 0% 5% 0% 5%) Jan-14 Jan-14 Jan-14 Fast Growth SaaS Moderate Growth SaaS Global Diversified Business Intelligence ERP Platforms, Development Tools & Deployment Supply Chain Management And Logistics Network Infrastructure Technical & Embedded Applications Comms Software Storage/Content Management IT Security Management Mobile Solutions Healthcare Vertical / Other Refer to the comparable sets attached for information about companies within each index; as of January 31, 2014 Page 6

SAAS VALUATION & METRICS (5) Median EV / LTM Revenue Median EV / 2014E Revenue Median EV / 2013A Revenue 20.0x 18.0x 16.0x 14.0x 12.0x 10.0x 8.0x 6.0x 4.0x 2.0x 0.0x < 20% 20%-30% 30%-40% 40%-50% >50% Median EV / 2014E Revenue 18.0x 16.0x 14.0x 12.0x 10.0x 8.0x 6.0x 4.0x 2.0x 0.0x < 20% 20%-30% 30%-40% 40%-50% >50% Revenue Growth Rate Revenue Growth Rate Median LTM Gross Profit Margin Companies with Positive LTM EBITDA Median Gross Profit Margin 80% 70% 60% 50% 40% 30% 20% 10% 0% < 20% 20%-30% 30%-40% 40%-50% >50% # Companies 14 12 10 8 6 4 2 0 Total # In Set Total # Profitable < 20% 20%-30% 30%-40% 40%-50% >50% Revenue Growth Rate Revenue Growth Rate Refer to the comparable sets attached for information about companies within SaaS index; as of January 31, 2014 Page 7

RECENT IPOs & PERFORMANCE (6) Tech IPO Activity Software IPO Activity $2,500.0 12 $2,500.0 12 $2,000.0 10 $2,000.0 10 8 8 Millions (USD) $1,500.0 $1,000.0 6 4 Number of Deals Millions (USD) $1,500.0 $1,000.0 6 4 Number of Deals $500.0 2 $500.0 2 $0.0 1/13 3/13 5/13 7/13 9/13 11/13 1/14 ($ in millions, except per share data) Total $ Raised Date Company Ticker # of IPOs 0 $0.0 Recent Select IPO Activity Shares Offered (mm) Offer Price Total Amount (mm) 1/13 3/13 5/13 7/13 9/13 11/13 1/14 Total $ Raised - Software Initial / Offer % Change Software 1 Day 1 Week 1 Month 11/06/13 Mavenir Systems MVNR 5.5 $10.00 $54.5 (37.5%) (4.5%) (14.0%) 14.6% 10/15/13 Veeva Systems VEEV 13.0 $20.00 $260.9 53.8% 85.8% 108.0% 110.7% 09/26/13 RingCentral RNG 7.5 $13.00 $112.1 0.0% 40.0% 30.1% 40.0% 09/25/13 Covisint Corporation COVS 6.4 $10.00 $64.0 0.0% 23.1% 34.7% 30.5% 09/19/13 FireEye FEYE 17.5 $20.00 $349.0 53.8% 80.0% 108.2% 111.0% 09/17/13 Benefitfocus BNFT 5.7 $26.50 $150.4 15.2% 102.1% 80.9% 83.3% 08/08/13 Cvent CVT 6.4 $21.00 $135.2 7.1% 56.8% 47.6% 92.2% 08/08/13 MiX Telematics MIXT 6.3 $16.00 $100.8 0.0% 13.3% -6.0% -3.5% 06/06/13 Textura Corporation TXTR 5.8 $15.00 $86.3 7.1% 39.4% 43.3% 104.0% 05/22/13 ChannelAdvisor Corp. ECOM 6.6 $14.00 $92.6 7.7% 31.7% 21.9% 7.1% 05/16/13 Marketo MKTO 7.0 $13.00 $90.6 8.3% 77.7% 89.0% 38.7% 05/16/13 Tableau Software DATA 9.4 $31.00 $292.3 26.5% 63.7% 70.7% 78.9% 04/11/13 Rally Software Development RALY 6.0 $14.00 $84.0 16.7% 27.2% 23.7% 29.0% 03/21/13 Marin Software MRIN 7.5 $14.00 $105.0 16.7% 16.1% 17.4% 6.5% 03/19/13 Model N MODN 7.8 $15.50 $120.1 14.8% 28.9% 29.4% 30.1% 0 Page 8

PRECENDENT M&A TRANSACTIONS > $20MILLION (7) Ann. Date Target Acquirer EV ($mm) Rev. EV/ EBITDA 01/30/14 Accelrys Inc. Dassault Systemes SA $643.0 3.9x 58.2x 01/29/14 Digitalsmiths Corporation TiVo Inc. $135.0 - - 01/24/14 Payment Processing, Inc. Global Payments Inc. $420.0 - - 01/23/14 Project Rover, Inc. AOL Inc. $83.0 - - 01/22/14 Scout Analytics, Inc. ServiceSource International, Inc. $32.5 6.0x - 01/08/14 PeopleAnswers, LLC INFOR, INC. $200.0 - - 01/06/14 KANA Software, Inc. Verint Systems Inc. $514.0 - - 01/06/14 Parature, Inc. Microsoft Dynamics $100.0 - - 12/20/14 Responsys, Inc. Oracle Corporation $1,589.2 8.2x 119.1x 12/19/13 Dealer.com, Incorporated Dealertrack Technologies, Inc. $994.3 - - 12/16/13 Total Specific Solutions B.V. Constellation Software $324.8 1.4x - 12/16/13 WANDL, Inc. Juniper Networks, Inc. $60.0 - - 12/09/13 QHR Enterprise Management Solutions Division Logibec Groupe Informatique Ltee $20.0 - - 12/06/13 Cloudmeter, Inc. Splunk, Inc. $21.0 - - 12/03/13 SunGard Asset Arena GP3, Asset Arena Manager Blackfin Capital Partners SAS $45.0 - - 12/02/13 Digital Insight Corporation NCR Corp. $1,650.0 5.0x - 12/02/13 Topsy Labs, Inc. Apple Inc. $200.0 - - 11/26/13 Applied Systems, Inc. Hellman & Friedman LLC; JMI Equity $1,800.0 - - 11/25/13 Roadnet Technologies, Inc. Omnitracs, Inc. - - - 11/19/13 Tier 3, Inc. CenturyLink Inc $200.0 - - 11/13/13 PROFITsystems, Inc. Accellos, Inc. - - - 10/30/13 ServiceMesh Computer Sciences Corporation $158.0 - - 10/30/13 Soluto Asurion - - - 10/24/13 APIphany Microsoft - - - 10/24/13 Cameleon Software PROS Holdings - - - 10/23/13 BigMachines Oracle, Inc. - - - 10/22/13 TribeHR NetSuite - - - 10/07/13 Confio Software, Inc. SolarWinds, Inc. $103.0 - - 10/01/13 The 41st Parameter Inc. Experian plc $324.0 12.5x - 09/30/13 The Active Network, Inc. Vista Equity Partners $941.9 2.1x 71.4x 09/23/13 Greenway Medical Technologies, Inc. Vitera Healthcare Solutions, LLC $632.4 4.7x - 09/26/13 Braintree Payment Solutions, LLC PayPal, Inc. $800.0 - - 09/03/13 CombineNet, Inc. SciQuest, Inc. $43.1 3.6x - 09/03/13 Trusteer, Ltd IBM $900.0 25.7x - 08/23/13 Omnitracs, Inc. Vista Equity Partners $800.0 - - 08/19/13 Alert Logic, Inc. Welsh, Carson, Anderson & Stowe - - - Page 9

RECENT FINANCING ACTIVITY (7) Date Name $mm Investors Business Description 01/29/14 Ensighten, Inc. $40.0 Insight Venture Partners; Volition Capital LLC 01/29/14 Origami Logic, Inc. $15.0 Accel Partners; Lightspeed Venture Partners; JAFCO Ventures 01/27/14 Autogrid Systems, Inc $12.7 Foundation Capital; Voyager Capital; E.ON SE, Investment Arm 01/23/14 CloudOne Corporation $2.9 Elevate Ventures; HKS Capital Advisors Designs and develops enterprise tag management and privacy software solutions for businesses that enables businesses to manage websites, tags, as well as track, measure and collect customer information Engages in developing visual analytical products for business users. Its visual analytical products enable to explore, interact, and glean insights from data Develops software platforms that enables electricity providers and consumers to forecast generation, consumption, and other grid conditions at unprecedented levels Focuses on cloud computing and Software as a Service for development tools. It offers IBM Rational, a software development tool. 01/22/14 MemSQL, Inc. $35.0 Accel Partners; First Round Capital; Khosla Ventures; Data Collective Provides a real-time analytics platform for handling real-time transactions and analytic workloads for companies worldwide 01/22/14 Chart.io, Inc. $2.2 Avalon Ventures, LLC Provides enterprise analytics tools for small and medium businesses 01/15/14 Canvas Solutions, Inc. $2.1 - Provides software solutions for business functions, such as field service automation, fleet and vehicle management, human resources and time management, inspections and surveys 01/14/14 Studio SBV, Inc. $14.0 Highland Capital Partners; The Founders Fund D/b/a Oyster, develops a solution for mobile reading across various mobile devices 01/14/14 Vision Critical Communications, Inc. $3.2 Difference Capital Financial Inc. (TSX:DCF) 01/14/14 GetOne Rewards LLC $2.5 Atlanta Technology Angels; Milestone Venture Partners; Fulcrum Equity Partners, Inc. Provides software products, research services, and business solutions for market research in the online world Develops software and mobile applications that digitalizes traditional loyalty card system into social media, mobile communication, and marketing engine platform 01/13/14 KSI Data Sciences, LLC $2.5 The Launch Place Develops an enterprise software commercial video and data management solutions for remote sensing platforms or unmanned aircrafts, vehicles, and other mobile devices and equipments for U.S. military and government agencies. 01/08/14 thisclicks LLC $4.0 e.ventures; Greycroft Partners LLC; Arthur Ventures Designs and develops employee scheduling, communication and attendance software applications for businesses 01/06/14 Applause, LLC $43.0 Egan-Managed Capital; Goldman Sachs Group, Merchant Banking Division; Mass Ventures; QuestMark Partners; Longworth Venture Partners; Scale Venture Partners; Mesco Ltd., Investment Arm Develops an application analytics tool that monitors and measures the quality and user satisfaction of a mobile application 01/06/14 Frogtek LLC $1.5 - Offers a point-of-sale software application that allows micro-retailers to record various store expenses and revenues directly on a mobile phone or tablet Page 10

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO Fast-Growth SaaS (2014E-2015E Revenue >25%) Salesforce.com, Inc $60.53 98.4% $36,500 $38,254 $3,760 $4,053 $5,239 ($19) $657 $874 NM $0.34 $0.50 25.9% 76.6% 10.2x 9.4x 7.3x NM 58.3x 43.7x NM NM NM NM Workday, Inc. 89.54 94.7% 16,193 15,389 409 463 701 (106) (63) (56) NM (0.56) (0.59) 50.0% 61.1% 37.7x 33.2x 22.0x NM NM NM NM NM NM NM ServiceNow, Inc. 63.43 90.0% 8,800 8,580 425 644 890 (42) 43 98 NM (0.08) 0.20 46.1% 63.4% 20.2x 13.3x 9.6x NM NM 87.3x NM NM NM NM NetSuite Inc. 105.18 89.9% 7,855 7,658 415 540 690 (38) 42 69 NM 0.26 0.47 38.3% 67.4% 18.5x 14.2x 11.1x NM NM NM NM NM NM NM Concur Technologies, Inc. 121.34 93.1% 6,803 6,612 586 728 899 35 117 156 6.0% 0.70 1.11 21.8% 69.2% 11.3x 9.1x 7.4x NM 56.3x 42.4x NM NM NM NM athenahealth, Inc. 147.43 99.2% 5,483 5,663 540 592 744 48 110 131 8.9% 1.03 1.04 28.2% 59.0% 10.5x 9.6x 7.6x NM 51.4x 43.4x NM NM NM NM Xero Limited. 33.57 95.8% 4,282 4,236 44 52 99 (18) (22) (29) NM (0.23) (0.31) 5.1% NM 95.8x 81.6x 42.7x NM NM NM NM NM NM NM Veeva Systems Inc. 31.79 64.9% 3,961 3,688 187 205 262 38 45 51 20.5% 0.22 0.24 30.0% 59.9% 19.7x 18.0x 14.1x 95.9x 81.7x 73.0x NM NM NM NM Medidata Solutions, Inc. 63.10 95.6% 3,377 3,245 261 276 349 43 71 89 16.3% 0.73 0.84 22.8% 74.1% 12.4x 11.7x 9.3x 76.4x 45.7x 36.5x NM 86.2x 74.8x NM Cornerstone OnDemand, Inc. 57.05 98.1% 2,968 2,955 167 186 263 (29) 1 13 NM (0.21) (0.02) 39.0% 70.7% 17.7x 15.9x 11.2x NM NM NM NM NM NM NM Demandware, Inc. 63.68 89.3% 2,203 2,093 95 101 139 (15) (2) 4 NM (0.23) (0.08) 37.5% 72.1% 22.1x 20.7x 15.1x NM NM NM NM NM NM NM Marketo, Inc. 40.94 91.0% 1,607 1,474 85 94 126 (36) (31) (24) NM (1.45) (0.78) 28.0% 58.5% 17.4x 15.6x 11.7x NM NM NM NM NM NM NM Benefitfocus, Inc. 65.15 84.6% 1,594 1,517 97 103 130 (18) (21) (27) NM (1.32) (1.49) 50.0% 42.5% 15.7x 14.7x 11.7x NM NM NM NM NM NM NM Cvent, Inc. 38.21 82.8% 1,549 1,391 104 111 137 6 13 12 5.3% 0.14 0.06 N/A 73.6% 13.4x 12.6x 10.2x NM NM NM NM NM NM NM Fleetmatics Group PLC 40.01 76.5% 1,475 1,358 163 176 228 43 55 70 26.6% 0.86 1.12 33.3% 74.5% 8.3x 7.7x 6.0x 31.4x 24.9x 19.3x 83.7x 46.8x 35.7x 2.54 RingCentral, Inc. 18.25 92.2% 1,136 1,148 148 158 199 (28) (23) (21) NM (1.05) (0.55) 43.7% 61.7% 7.7x 7.3x 5.8x NM NM NM NM NM NM NM ChannelAdvisor Corporation 43.37 87.2% 983 906 64 67 85 (5) (9) (16) NM (0.91) (1.02) 25.0% 73.2% 14.3x 13.4x 10.7x NM NM NM NM NM NM NM Textura Corporation 31.44 66.5% 779 704 41 67 101 (33) (7) 7 NM (0.44) 0.28 45.0% 68.6% 17.3x 10.5x 6.9x NM NM NM NM NM NM NM Rally Software Development Corp. 21.30 64.4% 520 425 70 74 93 (15) (14) (13) NM (0.84) (0.74) 25.0% 78.1% 6.1x 5.7x 4.6x NM NM NM NM NM NM NM Diligent Board Member Services, Inc. 3.52 53.0% 295 261 51 69 87 15 19 33 30.6% 0.09 0.17 50.0% 78.8% 5.1x 3.8x 3.0x 16.8x 13.7x 7.9x 48.7x 38.3x 20.7x 0.97 Mean 85.4% 5,418 5,378 385 438 573 (9) 49 71 16.3% (0.15) 0.02 33.9% 67.5% 19.1x 16.4x 11.4x 55.1x 47.4x 44.2x 66.2x 57.1x 43.7x 1.76 Median 89.9% 2,586 2,524 156 167 214 (16) 7 12 16.3% (0.14) 0.12 33.3% 69.2% 15.0x 12.9x 9.9x 53.9x 51.4x 42.9x 66.2x 46.8x 35.7x 1.76 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 11

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO Moderate-Growth SaaS (2014E-2015E Revenue <25%) The Ultimate Software Group, Inc. $163.23 99.0% $4,571 $4,491 $410 $503 $619 $59 $116 $159 14.4% $1.87 $2.43 26.0% 58.9% 10.9x 8.9x 7.3x 75.8x 38.6x 28.2x NM 87.2x 67.1x NM Dealertrack Technologies, Inc. 46.65 92.7% 2,048 2,052 457 479 562 63 117 135 13.8% 1.29 1.41 15.7% 43.3% 4.5x 4.3x 3.7x 32.6x 17.5x 15.2x NM 36.1x 33.1x NM OpenTable, Inc. 75.28 86.1% 1,752 1,649 181 189 223 57 81 98 31.3% 1.97 2.21 17.4% 74.5% 9.1x 8.7x 7.4x 29.1x 20.3x 16.8x 64.6x 38.2x 34.0x 3.80 RealPage, Inc. 22.48 85.3% 1,746 1,702 367 387 460 57 91 116 15.5% 0.60 0.76 25.0% 60.8% 4.6x 4.4x 3.7x 29.9x 18.7x 14.7x NM 37.7x 29.5x NM Responsys, Inc. 27.01 97.2% 1,400 1,293 194 203 240 13 24 32 6.9% 0.16 0.22 22.0% 53.2% 6.7x 6.4x 5.4x 96.9x 53.6x 39.9x NM NM NM NM SPS Commerce, Inc. 64.62 80.8% 1,035 954 99 104 125 9 13 17 9.4% 0.52 0.63 23.7% 69.6% 9.7x 9.2x 7.6x NM 72.1x 55.9x NM NM NM NM LogMeIn, Inc. 33.96 92.6% 823 623 158 165 190 5 32 41 3.3% 0.54 0.77 21.1% 88.7% 3.9x 3.8x 3.3x NM 19.6x 15.4x NM 62.8x 44.1x NM LivePerson Inc. 13.83 90.7% 749 671 173 178 202 9 20 26 5.4% 0.21 0.26 18.8% 76.1% 3.9x 3.8x 3.3x 71.8x 33.3x 26.0x NM 65.9x 52.7x NM Ellie Mae, Inc. 26.10 78.5% 718 653 128 128 150 28 39 46 22.1% 0.99 1.09 19.7% 75.7% 5.1x 5.1x 4.4x 23.1x 16.8x 14.1x 52.2x 26.5x 24.0x 2.61 Tangoe, Inc. 18.23 70.0% 697 659 183 189 222 16 30 38 9.0% 0.65 0.79 25.1% 54.6% 3.6x 3.5x 3.0x 40.2x 22.1x 17.5x NM 27.9x 23.0x NM E2open, Inc. 23.95 88.8% 688 681 69 86 105 (19) (8) 2 NM (0.36) (0.01) 25.0% 61.3% 9.8x 7.9x 6.5x NM NM NM NM NM NM NM Callidus Software Inc. 14.67 94.6% 660 688 107 111 127 (10) 10 15 NM 0.07 0.17 25.0% 53.7% 6.4x 6.2x 5.4x NM 68.0x 45.2x NM NM 88.1x NM IntraLinks Holdings, Inc. 10.58 84.6% 586 582 229 229 237 (0) 37 41 NM 0.13 0.18 15.0% 72.5% 2.5x 2.5x 2.5x NM 15.9x 14.2x NM 83.0x 60.5x NM Bazaarvoice, Inc. 7.25 63.0% 550 475 176 180 197 (35) (16) (13) NM (0.29) (0.20) N/A 67.9% 2.7x 2.6x 2.4x NM NM NM NM NM NM NM Ebix Inc. 13.58 63.9% 521 542 208 205 210 84 84 80 40.3% 1.50 1.52 20.0% 80.4% 2.6x 2.6x 2.6x 6.5x 6.5x 6.8x 11.9x 9.1x 8.9x 0.59 Marin Software Incorporated 9.87 49.5% 322 217 73 77 94 (28) (26) (24) NM (1.08) (0.96) 25.0% 58.6% 3.0x 2.8x 2.3x NM NM NM NM NM NM NM Diligent Board Member Services, Inc. 3.52 53.0% 295 261 51 69 87 15 19 33 30.6% 0.09 0.17 50.0% 78.8% 5.1x 3.8x 3.0x 16.8x 13.7x 7.9x 48.7x 38.3x 20.7x 0.97 Zix Corporation 4.49 89.3% 280 247 48 48 53 11 14 17 22.1% 0.19 0.24 20.0% 83.6% 5.2x 5.1x 4.6x 23.6x 18.2x 14.4x 48.6x 23.6x 18.7x 2.43 Vocus Inc. 12.22 67.9% 258 225 187 188 191 (3) 26 29 NM 0.28 0.35 N/A 79.6% 1.2x 1.2x 1.2x NM 8.6x 7.8x NM 44.0x 34.6x NM Model N, Inc. 9.90 39.9% 235 132 102 101 75 4 7 (17) 3.9% 0.16 (0.87) N/A 54.7% 1.3x 1.3x 1.8x 33.4x 18.2x NM NM 63.4x NM NM Selectica, Inc. 7.00 66.7% 27 21 17 N/A N/A (6) N/A N/A NM N/A N/A N/A 53.2% 1.2x N/A N/A NM N/A N/A NM N/A N/A NM Mean 77.8% 950 896 172 191 218 16 35 44 16.3% 0.47 0.56 23.2% 66.6% 4.9x 4.7x 4.1x 40.0x 27.2x 21.2x 45.2x 46.0x 38.5x 2.08 Median 84.6% 688 653 173 179 194 9 25 33 14.1% 0.24 0.31 22.0% 67.9% 4.5x 4.0x 3.5x 31.3x 18.7x 15.3x 48.7x 38.2x 33.6x 2.43 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 12

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO Global Diversified Google Inc. $1,180.97 99.5% $394,547 $342,449 $59,825 $68,604 $78,281 $17,905 $25,695 $30,807 29.9% $52.96 62.93 16.6% 56.8% 5.7x 5.0x 4.4x 19.1x 13.3x 11.1x 44.2x 22.3x 18.8x 2.60 Microsoft Corporation 37.84 97.1% 315,887 256,590 83,433 88,525 95,825 31,828 31,717 34,213 38.1% 2.75 3.03 7.9% 71.5% 3.1x 2.9x 2.7x 8.1x 8.1x 7.5x 18.3x 13.7x 12.5x 2.29 International Business Machines Corporation 176.68 81.8% 191,849 220,638 99,751 99,454 100,843 24,299 27,733 29,267 24.4% 17.85 19.82 10.6% 48.6% 2.2x 2.2x 2.2x 9.1x 8.0x 7.5x 16.0x 9.9x 8.9x 1.45 Oracle Corporation 36.90 95.2% 165,954 153,624 37,552 39,318 41,312 16,289 19,508 21,326 43.4% 3.04 3.34 10.2% 81.6% 4.1x 3.9x 3.7x 9.4x 7.9x 7.2x 20.2x 12.1x 11.0x 2.02 Amazon.com Inc. 358.69 87.9% 164,185 157,874 74,452 89,773 107,519 3,547 6,785 9,095 4.8% 1.88 4.21 46.0% 27.2% 2.1x 1.8x 1.5x 44.5x 23.3x 17.4x NM NM 85.1x NM Intel Corporation 24.54 90.5% 121,988 115,347 52,708 53,147 54,542 20,632 20,907 22,020 39.1% 1.86 1.97 10.9% 59.8% 2.2x 2.2x 2.1x 5.6x 5.5x 5.2x 16.2x 13.2x 12.4x 1.47 Cisco Systems, Inc. 21.91 82.7% 117,144 85,181 48,816 47,744 46,905 14,058 15,868 16,321 28.8% 2.02 2.01 9.7% 61.1% 1.7x 1.8x 1.8x 6.1x 5.4x 5.2x 16.1x 10.9x 10.9x 1.61 SAP AG 76.49 87.2% 91,285 93,373 23,159 24,218 25,910 7,577 8,734 9,399 32.7% 4.77 5.25 11.8% 70.3% 4.0x 3.9x 3.6x 12.3x 10.7x 9.9x 23.7x 16.0x 14.6x 1.98 Hewlett-Packard Company 29.00 96.2% 55,355 66,273 112,298 111,120 109,216 13,029 13,948 13,533 11.6% 3.58 3.70 0.4% 23.3% 0.6x 0.6x 0.6x 5.1x 4.8x 4.9x 11.6x 8.1x 7.8x NM EMC Corporation 24.24 88.7% 49,882 47,862 23,222 24,570 26,248 6,040 7,389 7,894 26.0% 1.95 2.18 12.6% 62.3% 2.1x 1.9x 1.8x 7.9x 6.5x 6.1x 22.4x 12.4x 11.1x 1.73 VMware, Inc. 90.14 88.8% 38,793 33,068 5,207 6,023 6,977 1,503 2,158 2,550 28.9% 3.56 4.28 18.6% 86.0% 6.4x 5.5x 4.7x 22.0x 15.3x 13.0x 51.2x 25.3x 21.0x 2.70 Adobe Systems Inc. 59.19 95.5% 29,588 27,929 4,055 4,077 4,883 770 1,059 1,679 19.0% 1.12 2.03 16.5% 85.5% 6.9x 6.9x 5.7x 36.2x 26.4x 16.6x NM 53.0x 29.1x NM Intuit Inc. 73.25 94.2% 20,869 20,252 4,231 4,335 4,633 1,437 1,652 1,831 34.0% 3.17 3.68 13.2% 86.7% 4.8x 4.7x 4.4x 14.1x 12.3x 11.1x 29.2x 23.1x 19.9x 2.24 Symantec Corporation 21.41 79.0% 14,902 13,106 6,799 6,650 6,828 1,960 2,092 2,233 28.8% 1.78 1.97 8.2% 83.6% 1.9x 2.0x 1.9x 6.7x 6.3x 5.9x 17.5x 12.1x 10.8x 2.19 Dassault Systemes SA 118.66 85.3% 14,753 12,843 2,794 2,869 3,079 862 957 1,037 30.9% 4.77 5.06 9.3% 87.2% 4.6x 4.5x 4.2x 14.9x 13.4x 12.4x 35.0x 24.9x 23.4x 3.89 CA Technologies 32.09 88.6% 14,481 13,398 4,582 4,492 4,589 1,566 1,751 1,810 34.2% 2.59 2.70 11.0% 85.8% 2.9x 3.0x 2.9x 8.6x 7.7x 7.4x 16.4x 12.4x 11.9x 1.49 Citrix Systems, Inc. 54.07 70.1% 10,078 9,344 2,918 3,172 3,473 648 915 1,030 22.2% 2.91 3.29 13.8% 86.1% 3.2x 2.9x 2.7x 14.4x 10.2x 9.1x 42.0x 18.6x 16.4x 3.00 Mean 88.7% 106,561 98,185 37,988 39,888 42,415 9,644 11,110 12,120 28.0% 6.62 7.73 13.4% 68.4% 3.4x 3.3x 3.00x 14.4x 10.9x 9.3x 25.3x 18.0x 19.2x 2.19 Median 88.7% 55,355 66,273 23,222 24,570 26,248 6,040 7,389 9,095 28.9% 2.91 3.34 11.0% 71.5% 3.1x 2.9x 2.69x 9.4x 8.1x 7.5x 20.2x 13.5x 12.5x 2.10 Business Intelligence Tableau Software, Inc. $80.82 98.2% $4,781 $4,554 $193 $315 $412 ($2) $4 $20 NM ($0.22) $0.15 30.0% 91.8% 23.6x 14.5x 11.1x NM NM NM NM NM NM NM $226 Informatica Corporation 40.36 92.2% 4,380 3,702 948 1,059 1,180 164 289 329 17.3% 1.63 1.86 14.7% 83.2% 3.9x 3.5x 3.1x 22.6x 12.8x 11.3x 50.2x 24.8x 21.7x 3.35 677 Qlik Technologies, Inc. 27.02 71.9% 2,398 2,163 446 467 550 4 41 62 1.0% 0.25 0.42 29.0% 87.1% 4.8x 4.6x 3.9x NM 53.0x 34.9x NM NM 64.1x NM 235 Pegasystems Inc. 45.44 88.2% 1,725 1,537 499 514 576 81 72 86 16.2% 1.37 1.50 20.0% 69.6% 3.1x 3.0x 2.7x 19.0x 21.5x 17.9x 46.5x 33.1x 30.4x 2.32 188 MicroStrategy Inc. 125.70 93.8% 1,421 1,063 576 622 665 46 70 75 8.0% 2.45 2.98 25.0% 75.9% 1.8x 1.7x 1.6x 23.2x 15.3x 14.2x NM 51.3x 42.2x NM 357 PROS Holdings, Inc. 38.01 92.4% 1,069 978 139 145 176 9 25 29 6.7% 0.55 0.57 25.0% 69.7% 7.1x 6.8x 5.6x NM 39.5x 34.2x NM 68.8x 67.3x NM 91 Actuate Corporation 7.60 92.3% 362 283 135 146 156 1 31 35 0.6% 0.38 0.42 15.0% 85.6% 2.1x 1.9x 1.8x 18.7x 9.0x 8.2x 60.5x 20.1x 18.1x 4.03 80 Mean 89.9% 2,305 2,040 419 467 531 43 76 91 8.3% 0.92 1.13 22.7% 80.4% 6.6x 5.1x 4.3x 20.9x 25.2x 20.1x 52.4x 39.6x 40.6x 3.24 265 Median 92.3% 1,725 1,537 446 467 550 9 41 62 7.3% 0.55 0.57 25.0% 83.2% 3.9x 3.5x 3.1x 20.8x 18.4x 16.1x 50.2x 33.1x 36.3x 3.35 226 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 13

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO ERP Sage Group plc $6.72 93.0% $7,369 $7,952 $2,228 $2,277 $2,259 $646 $653 $676 29.0% $0.37 $0.39 7.5% 94.2% 3.6x 3.5x 3.5x 12.3x 12.2x 11.8x 22.2x 18.0x 17.3x 3.17 QAD Inc. 18.19 98.3% 286 236 259 262 278 11 18 20 4.2% 0.61 0.64 15.0% 56.0% 0.9x 0.9x 0.8x 21.6x 12.8x 11.6x 74.0x 30.1x 28.6x 4.93 American Software, Inc. 10.08 95.1% 277 216 99 102 111 15 20 24 15.4% 0.44 0.46 N/A 54.7% 2.2x 2.1x 1.9x 14.2x 10.6x 8.9x 32.5x 22.9x 21.9x NM Hubwoo 0.27 87.0% 35 30 41 N/A N/A 3 N/A N/A 8.3% N/A N/A N/A 9.5% 0.7x N/A N/A 8.7x N/A N/A NM N/A N/A NM Mean 93.4% 1,992 2,108 656 880 882 169 230 240 14.2% 0.47 0.49 11.2% 53.6% 1.8x 2.2x 2.11x 14.2x 11.9x 10.7x 42.9x 23.7x 22.6x 4.05 Median 94.1% 282 226 179 262 278 13 20 24 11.9% 0.44 0.46 11.2% 55.4% 1.5x 2.1x 1.95x 13.2x 12.2x 11.6x 32.5x 22.9x 21.9x 4.05 Supply Chain Management and Logistics Aspen Technology, Inc. $45.57 99.0% $4,238 $4,019 $349 $399 $432 $97 $129 $111 27.7% $0.85 $0.71 13.0% 85.6% 11.5x 10.1x 9.3x 41.6x 31.2x 36.3x 74.7x 53.4x 64.3x 5.74 Manhattan Associates, Inc. 33.72 98.8% 2,591 2,458 415 448 487 107 128 143 25.8% 1.01 1.14 N/A 56.3% 5.9x 5.5x 5.0x 22.9x 19.2x 17.2x 40.8x 33.5x 29.6x NM The Descartes Systems Group Inc 14.37 98.1% 902 870 145 151 171 41 44 52 28.2% 0.69 0.81 10.0% 67.5% 6.0x 5.8x 5.1x 21.3x 19.6x 16.8x 75.6x 20.8x 17.8x 7.56 ModusLink Global Solutions, Inc. 5.15 87.6% 265 197 749 N/A N/A 11 N/A N/A 1.4% N/A N/A N/A 10.4% 0.3x N/A N/A 18.3x N/A N/A NM N/A N/A NM Mean 95.9% 1,999 1,886 414 332 363 64 101 102 20.8% 0.85 0.88 11.5% 55.0% 5.9x 7.1x 6.49x 26.0x 23.3x 23.4x 63.7x 35.9x 37.3x 6.65 Median 98.4% 1,746 1,664 382 399 432 69 128 111 26.8% 0.85 0.81 11.5% 61.9% 6.0x 5.8x 5.10x 22.1x 19.6x 17.2x 74.7x 33.5x 29.6x 6.65 Storage / Content Management NetApp, Inc. $42.34 92.1% $14,430 $10,153 $6,413 $6,410 $6,638 $938 $1,403 $1,511 14.6% $2.59 $2.94 13.6% 60.4% 1.6x 1.6x 1.5x 10.8x 7.2x 6.7x 34.9x 16.4x 14.4x 2.49 Open Text Corporation 98.90 94.9% 5,844 5,875 1,373 1,870 1,996 409 602 662 29.8% 6.95 7.97 15.1% 72.8% 4.3x 3.1x 2.9x 14.3x 9.8x 8.9x 42.6x 14.2x 12.4x 2.84 Brocade Communications Systems, Inc. 9.34 96.3% 4,147 3,759 2,223 2,185 2,220 518 590 644 23.3% 0.80 0.83 9.0% 63.4% 1.7x 1.7x 1.7x 7.3x 6.4x 5.8x 24.8x 11.6x 11.3x 2.76 CommVault Systems, Inc. 69.07 76.7% 3,266 2,765 568 655 749 103 168 209 18.2% 1.99 2.33 21.1% 87.3% 4.9x 4.2x 3.7x 26.8x 16.4x 13.2x 55.7x 34.6x 29.7x 2.65 Carbonite, Inc. 10.11 61.3% 267 202 107 122 141 4 8 14 3.7% (0.13) (0.02) 27.5% 67.5% 1.9x 1.7x 1.4x 50.7x 24.1x 14.0x NM NM NM NM Falconstor Software Inc. 1.50 51.9% 72 43 66 N/A N/A (8) N/A N/A NM N/A N/A N/A 73.5% 0.7x N/A N/A NM N/A N/A NM N/A N/A NM Platforms, Development Tools & Deployment Mean 78.9% 4,671 3,799 1,792 2,248 2,349 328 554 608 17.9% 2.44 2.81 17.3% 70.8% 2.49x 2.47x 2.26x 22.0x 12.8x 9.7x 39.5x 19.2x 16.9x 2.69 Median 84.4% 3,706 3,262 970 1,870 1,996 256 590 644 18.2% 1.99 2.33 15.1% 70.1% 1.79x 1.72x 1.69x 14.3x 9.8x 8.9x 38.8x 15.3x 13.4x 2.71 Red Hat, Inc. $56.50 93.9% $10,709 $9,742 $1,482 $1,691 $1,935 $303 $479 $557 20.4% $1.56 $1.81 18.5% 84.8% 6.6x 5.8x 5.0x 32.2x 20.3x 17.5x 73.7x 36.2x 31.2x 4.10 TIBCO Software Inc. 21.29 78.4% 3,494 3,289 1,070 1,153 1,254 194 311 349 18.1% 1.16 1.34 13.5% 71.3% 3.1x 2.9x 2.6x 17.0x 10.6x 9.4x 46.1x 18.4x 15.9x 3.29 Software AG 37.20 87.2% 3,087 3,237 1,324 1,340 1,408 338 372 407 25.6% 2.90 3.23 2.6% 68.2% 2.4x 2.4x 2.3x 9.6x 8.7x 7.9x 19.2x 12.8x 11.5x 6.40 Progress Software Corp. 24.17 89.7% 1,255 1,023 334 344 355 93 124 131 28.0% 1.46 1.53 8.8% 89.9% 3.1x 3.0x 2.9x 11.0x 8.2x 7.8x 27.3x 16.6x 15.8x 3.04 Magic Software Enterprises Ltd. 8.01 89.0% 295 259 139 N/A N/A 27 N/A N/A 19.5% N/A N/A 13.0% 40.9% 1.9x N/A N/A 9.5x N/A N/A 29.6x N/A N/A 2.28 BSQUARE Corp. 3.54 91.2% 40 18 92 N/A N/A (2) N/A N/A NM N/A N/A N/A 16.9% 0.2x N/A N/A NM N/A N/A NM N/A N/A N/A Mean 88.2% 3,146 2,928 740 1,132 1,238 159 322 361 22.3% 1.77 1.98 11.3% 62.0% 2.9x 3.5x 3.21x 15.8x 12.0x 10.7x 39.2x 21.0x 18.6x 3.82 Median 89.3% 2,171 2,130 702 1,246 1,331 144 342 378 20.4% 1.51 1.67 13.0% 69.7% 2.8x 2.9x 2.75x 11.0x 9.6x 8.7x 29.6x 17.5x 15.8x 3.29 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 14

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO IT Security Management Check Point Software Technologies Ltd. $65.43 95.0% $12,853 $11,686 $1,394 $1,475 $1,562 $772 $852 $903 55.4% $3.65 $3.99 9.2% 88.4% 8.4x 7.9x 7.5x 15.1x 13.7x 12.9x 26.2x 17.9x 16.4x 2.92 Qihoo 360 Technology Co. Ltd. 101.08 99.8% 12,410 12,018 552 659 1,064 146 228 370 26.4% 1.44 2.30 52.9% 87.6% 21.8x 18.2x 11.3x 82.4x 52.8x 32.4x NM 70.4x 44.0x NM FireEye, Inc. 72.99 94.9% 8,819 8,511 136 160 406 (108) (118) (129) NM (3.20) (1.39) 35.0% 73.0% 62.6x 53.1x 20.9x NM NM NM NM NM NM NM Palo Alto Networks, Inc. 59.45 91.6% 4,310 3,873 438 477 640 (7) 47 88 NM 0.29 0.56 46.6% 72.8% 8.8x 8.1x 6.1x NM 83.0x 44.2x NM NM NM NM Trend Micro Inc. 31.20 76.3% 4,189 2,910 1,062 1,024 1,110 358 330 360 33.7% N/A N/A 12.5% 81.5% 2.7x 2.8x 2.6x 8.1x 8.8x 8.1x 23.1x N/A N/A 1.93 Fortinet Inc. 21.20 83.6% 3,465 2,974 615 700 792 88 137 170 14.3% 0.49 0.61 18.6% 70.6% 4.8x 4.2x 3.8x 33.9x 21.8x 17.5x 75.1x 43.1x 34.8x 3.95 Barracuda Networks, Inc. 34.31 83.1% 1,745 1,629 226 252 292 (0) 51 46 NM 0.01 0.12 28.1% 76.6% 7.2x 6.5x 5.6x NM 31.6x 35.0x NM NM NM NM Proofpoint, Inc. 40.48 93.3% 1,454 1,357 138 176 215 (20) (6) 3 NM (0.49) (0.22) 30.0% 69.8% 9.8x 7.7x 6.3x NM NM NM NM NM NM NM Imperva Inc. 55.00 95.5% 1,373 1,264 127 137 172 (14) 0 8 NM (0.13) 0.10 26.7% 78.3% 10.0x 9.2x 7.4x NM NM NM NM NM NM NM AVG Technologies N.V. 16.59 62.5% 903 887 400 400 394 132 142 132 33.0% 2.05 1.92 N/A 83.9% 2.2x 2.2x 2.3x 6.7x 6.2x 6.7x 15.2x 8.1x 8.6x NM Epiq Systems, Inc. 14.36 85.5% 499 774 406 442 470 73 100 109 17.9% 0.98 1.03 10.0% 52.6% 1.9x 1.8x 1.6x 10.7x 7.8x 7.1x 40.7x 14.7x 13.9x 4.07 F-Secure Oyj 2.89 99.5% 450 384 214 213 213 43 48 46 20.0% 0.15 0.16 (4.2% ) 95.5% 1.8x 1.8x 1.8x 9.0x 7.9x 8.3x 19.1x 18.9x 17.9x (4.77) Guidance Software, Inc. 10.79 84.3% 311 294 119 110 117 (9) (5) 8 NM (0.54) (0.06) N/A 67.5% 2.5x 2.7x 2.5x NM NM 37.2x NM NM NM NM VASCO Data Security International Inc. 7.47 82.5% 289 197 151 152 161 16 16 26 10.3% 0.24 0.38 N/A 64.0% 1.3x 1.3x 1.2x 12.6x 12.0x 7.7x 34.4x 31.1x 19.8x NM CYREN 3.66 91.7% 96 96 31 32 37 (1) N/A N/A NM 0.06 0.15 N/A 78.5% 3.1x 3.0x 2.6x NM N/A N/A NM 66.5x 25.2x NM Mean 87.9% 3,544 3,257 401 427 510 98 130 153 26.4% 0.36 0.69 24.1% 76.0% 9.9x 8.7x 5.6x 22.3x 24.6x 19.7x 33.4x 33.9x 22.6x 1.62 Median 91.6% 1,454 1,357 226 252 394 16 50 67 23.2% 0.20 0.27 26.7% 76.6% 4.8x 4.2x 3.8x 11.6x 12.9x 12.9x 26.2x 25.0x 18.9x 2.92 Systems & Network Management Splunk, Inc. $77.03 91.7% $8,263 $7,911 $268 $293 $397 ($44) $6 $30 NM ($0.01) $0.12 26.3% 89.1% 29.5x 27.0x 20.0x NM NM NM NM NM NM NM SolarWinds, Inc. 39.89 64.8% 2,998 2,792 312 330 406 149 176 176 47.8% 1.56 1.54 22.5% 92.3% 9.0x 8.5x 6.9x 18.7x 15.9x 15.9x 38.4x 25.5x 25.9x 1.67 Compuware Corporation 10.14 79.6% 2,196 2,108 946 772 764 130 169 210 13.7% 0.36 0.54 N/A 62.2% 2.2x 2.7x 2.8x 16.2x 12.5x 10.1x 35.7x 28.4x 18.8x N/A NetScout Systems, Inc. 35.32 94.5% 1,467 1,322 382 424 483 90 123 143 23.5% 1.59 1.87 16.0% 78.9% 3.5x 3.1x 2.7x 14.7x 10.7x 9.3x 31.5x 22.2x 18.9x NM Mean 82.7% 3,731 3,533 477 455 512 81 118 140 28.3% 0.88 1.02 21.6% 80.6% 11.0x 10.3x 8.08x 16.6x 13.0x 11.7x 35.2x 25.4x 21.2x 1.67 Median 85.7% 2,597 2,450 347 377 444 110 146 159 23.5% 0.96 1.04 22.5% 84.0% 6.2x 5.8x 4.82x 16.2x 12.5x 10.1x 35.7x 25.5x 18.9x 1.67 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 15

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO Technical & Embedded Applications Autodesk, Inc. $51.25 94.6% $11,562 $10,248 $2,294 $2,259 $2,246 $462 $588 $535 20.1% $1.62 $1.52 10.8% 88.5% 4.5x 4.5x 4.6x 22.2x 17.4x 19.1x 58.0x 31.7x 33.7x 5.27 Ansys, Inc. 78.53 87.5% 7,277 6,569 846 865 949 394 429 480 46.6% 3.16 3.32 14.0% 87.5% 7.8x 7.6x 6.9x 16.7x 15.3x 13.7x 38.3x 24.9x 23.6x 2.74 Synopsys Inc. 39.86 95.8% 6,152 5,235 1,962 1,968 2,111 362 517 637 18.4% 2.29 2.67 8.4% 82.2% 2.7x 2.7x 2.5x 14.5x 10.1x 8.2x 36.2x 17.4x 14.9x 4.53 Cadence Design Systems Inc. 14.12 88.5% 4,063 3,755 1,460 1,569 1,669 338 496 546 23.2% 0.98 1.09 12.5% 86.3% 2.6x 2.4x 2.2x 11.1x 7.6x 6.9x 32.5x 14.5x 13.0x 2.50 Mentor Graphics Corp. 20.80 85.6% 2,384 2,400 1,087 1,157 1,233 197 276 303 18.1% 1.59 1.74 10.0% 84.0% 2.2x 2.1x 1.9x 12.2x 8.7x 7.9x 29.7x 13.1x 11.9x 2.97 Opera Software ASA 13.59 89.8% 1,798 1,728 271 300 392 76 85 121 27.9% 0.32 0.53 N/A 44.7% 6.4x 5.8x 4.4x 22.9x 20.4x 14.3x 56.8x 41.9x 25.6x N/A PDF Solutions Inc. 23.70 88.7% 715 630 98 102 118 29 39 51 29.8% 1.05 1.30 20.0% 60.0% 6.4x 6.2x 5.3x 21.5x 16.2x 12.4x 42.3x 22.6x 18.2x 2.12 Exa Corporation 14.08 85.7% 188 166 52 54 60 2 4 5 4.0% 0.02 0.09 25.0% 70.1% 3.2x 3.1x 2.8x 79.4x 44.9x 34.5x NM NM NM NM Cimatron Ltd. 9.63 74.8% 99 86 44 45 45 7 7 9 15.1% 0.46 0.52 26.0% 87.1% 2.0x 1.9x 1.9x 13.0x 12.5x 10.1x 26.5x 20.9x 18.5x 0.81 GSE Systems Inc. 1.77 74.7% 32 14 48 N/A 45 (3) N/A N/A NM N/A (0.04) N/A 27.7% 0.3x 0.3x 0.3x NM N/A N/A NM NM NM NM Mean 86.6% 3,427 3,083 816 924 887 186 271 299 22.6% 1.28 1.27 15.8% 71.8% 3.8x 3.7x 3.29x 23.7x 17.0x 14.1x 40.0x 23.4x 19.9x 2.99 Median 88.0% 2,091 2,064 559 865 671 136 276 303 20.1% 1.05 1.20 13.3% 83.1% 2.9x 2.9x 2.62x 16.7x 15.3x 12.4x 37.3x 21.8x 18.4x 2.74 Comms Software VeriSign, Inc. $58.75 93.3% $8,052 $7,609 $950 $964 $1,025 $594 $615 $652 62.5% $2.35 $2.63 15.0% 80.8% 8.0x 7.9x 7.4x 12.8x 12.4x 11.7x 31.8x 25.0x 22.4x 2.12 Amdocs Limited 43.26 97.4% 6,920 5,709 3,384 3,612 3,738 627 715 764 18.5% 3.22 3.44 8.4% 35.3% 1.7x 1.6x 1.5x 9.1x 8.0x 7.5x 23.4x 13.4x 12.6x 2.92 Nuance Communications, Inc. 15.33 61.7% 4,859 6,366 1,855 1,954 2,102 240 587 517 12.9% 1.20 1.17 11.7% 62.1% 3.4x 3.3x 3.0x 26.6x 10.8x 12.3x NM 12.7x 13.2x NM NeuStar, Inc. 33.89 59.2% 2,122 2,519 902 958 956 388 455 432 43.0% 3.78 3.67 13.6% 76.4% 2.8x 2.6x 2.6x 6.5x 5.5x 5.8x 14.1x 9.0x 9.2x 0.64 Interactive Intelligence Group Inc. 75.94 94.4% 1,536 1,438 318 366 427 28 21 21 8.8% 0.29 0.59 32.5% 64.2% 4.5x 3.9x 3.4x 51.1x 67.0x 68.4x NM NM NM NM Vonage Holdings Corporation 4.61 93.3% 987 954 832 827 890 90 103 103 10.9% 0.19 0.17 14.0% 69.3% 1.1x 1.2x 1.1x 10.6x 9.3x 9.2x 26.4x 24.8x 26.6x 1.77 8x8 Inc. 10.14 81.6% 869 695 124 152 184 12 16 21 9.6% 0.14 0.21 18.0% 70.3% 5.6x 4.6x 3.8x 58.4x 44.1x 32.3x NM 72.0x 48.3x 4.00 Mavenir Systems, Inc. 12.74 95.3% 297 322 91 101 120 (7) (3) 0 NM (0.57) (0.30) N/A 54.7% 3.5x 3.2x 2.68x NM NM NM NM NM NM NM Evolving Systems Inc. 9.76 86.1% 112 98 25 25 31 7 7 10 26.5% 0.40 0.56 15.0% 71.7% 3.9x 3.9x 3.16x 14.7x 14.5x 10.2x 28.7x 24.7x 17.3x 1.65 Mean 84.7% 2,861 2,857 942 996 1,053 220 280 280 24.1% 1.22 1.35 16.0% 65.0% 3.8x 3.6x 3.19x 23.7x 21.5x 19.7x 24.9x 26.0x 21.4x 2.18 Median 93.3% 1,536 1,438 832 827 890 90 103 103 15.7% 0.40 0.59 14.5% 69.3% 3.5x 3.3x 3.03x 13.7x 11.6x 10.9x 26.4x 24.7x 17.3x 1.95 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 16

SOFTWARE SECTOR MONTHLY REVIEW As of January 31, 2014 ($ in millions, except per share) Market Statistics Operating Metrics Valuation Multiples % of LTM Next 5 Yr LTM Stock 52 Week Market Enterprise Revenue EBITDA EBITDA EPS EPS Growth Gross Profit EV / Revenue EV / EBITDA PE Multiple PEG Company Price High Cap. Value LTM 2014E 2015E LTM 2014E 2015E Margin 2014E 2015E Rate Margin LTM 2014E 2015E LTM 2014E 2015E LTM 2014E 2015E RATIO Healthcare Cerner Corporation $56.89 95.7% $19,528 $18,815 $2,911 $3,332 $3,736 $736 $1,164 $1,326 25.3% $1.66 $1.93 18.0% 82.3% 6.5x 5.6x 5.0x 25.6x 16.2x 14.2x 54.5x 34.2x 29.5x 3.03 Allscripts Healthcare Solutions, Inc. 16.56 94.2% 2,923 3,408 1,373 1,368 1,433 29 182 238 2.1% 0.27 0.45 16.0% 39.9% 2.5x 2.5x 2.4x NM 18.8x 14.3x NM 61.4x 37.1x NM MedAssets, Inc. 22.04 82.9% 1,364 2,166 674 676 712 208 218 235 30.8% 1.30 1.41 13.0% 78.0% 3.2x 3.2x 3.0x 10.4x 9.9x 9.2x 39.4x 17.0x 15.7x 3.03 Quality Systems Inc. 18.41 76.2% 1,108 1,014 441 467 528 73 104 106 16.5% 0.79 0.90 11.9% 55.8% 2.3x 2.2x 1.9x 13.9x 9.8x 9.6x 31.0x 23.2x 20.5x 2.58 Omnicell, Inc. 25.82 98.1% 920 803 365 417 460 51 80 90 13.9% 1.17 1.33 15.7% 0.0% 2.2x 1.9x 1.7x 15.8x 10.1x 8.9x 41.4x 22.0x 19.5x 2.58 Computer Programs & Systems Inc. 66.82 96.1% 746 723 201 211 222 54 60 63 26.7% 3.25 3.44 12.0% 46.7% 3.6x 3.4x 3.3x 13.5x 12.0x 11.5x 23.4x 20.6x 19.4x 1.95 Accelrys Inc. 12.58 100.0% 700 597 166 176 190 11 34 39 6.6% 0.32 0.39 18.0% 73.5% 3.6x 3.4x 3.1x 54.1x 17.6x 15.1x NM 39.1x 32.4x NM Merge Healthcare Incorporated 2.15 45.7% 202 429 243 236 241 16 39 49 6.7% 0.06 0.19 15.0% 57.8% 1.8x 1.8x 1.8x 26.2x 11.1x 8.7x NM 39.1x 11.5x NM Simulations Plus, Inc. 5.70 96.0% 92 81 10 12 13 4 N/A N/A 41.2% 0.23 0.26 20.0% 83.6% 7.8x 6.9x 6.2x 18.9x N/A N/A 34.2x 25.3x 22.4x 1.71 Mean 87.2% 3,065 3,115 709 766 837 131 235 268 18.9% 1.00 1.14 15.5% 57.5% 3.7x 3.4x 3.2x 22.3x 13.2x 11.5x 37.3x 31.3x 23.1x 2.48 Median 95.7% 920 803 365 417 460 51 92 98 16.5% 0.79 0.90 15.7% 57.8% 3.2x 3.2x 3.0x 17.3x 11.6x 10.5x 36.8x 25.3x 20.5x 2.58 Vertical / Other Constellation Software Inc. $214.97 98.9% $4,556 $4,657 $1,131 $1,192 $1,557 $96 $229 $308 8.5% $9.00 $11.72 28.6% 31.9% 4.12x 3.9x 3.0x 48.6x 20.3x 15.1x 80.2x 23.9x 18.3x 2.76 MICROS Systems, Inc. 55.53 93.4% 4,179 3,555 1,304 1,374 1,463 256 309 326 19.7% 2.70 3.00 14.5% 52.4% 2.7x 2.6x 2.4x 13.9x 11.5x 10.9x 29.5x 20.6x 18.5x 1.97 Tyler Technologies, Inc. 105.45 97.6% 3,400 3,348 401 415 478 76 90 115 19.0% 1.52 1.90 24.2% 46.1% 8.3x 8.1x 7.0x 44.0x 37.4x 29.2x 93.2x 69.5x 55.4x 3.88 Guidewire Software, Inc. 47.21 91.4% 3,162 2,633 304 309 362 4 34 44 1.2% 0.30 0.29 N/A 52.6% 8.7x 8.5x 7.3x NM 77.3x 60.4x NM NM NM NM Verint Systems Inc. 45.44 92.8% 2,429 2,705 881 905 1,021 177 195 213 20.1% 2.80 3.05 9.3% 68.3% 3.1x 3.0x 2.6x 15.3x 13.9x 12.7x 43.2x 16.2x 14.9x 4.80 NICE Systems Ltd. 39.17 92.4% 2,370 2,167 949 1,022 1,116 172 257 300 18.1% 2.83 N/A 12.0% 61.6% 2.3x 2.1x 1.9x 12.6x 8.4x 7.2x 46.0x 13.8x N/A 3.83 j2 Global, Inc. 45.35 80.6% 2,080 2,016 485 521 548 202 227 241 41.7% 2.83 2.96 13.5% 82.8% 4.2x 3.9x 3.7x 10.0x 8.9x 8.4x 22.4x 16.0x 15.3x 1.60 Blackbaud Inc. 34.46 81.6% 1,532 1,689 489 502 545 94 108 106 19.2% 1.23 1.30 16.5% 54.6% 3.5x 3.4x 3.1x 18.0x 15.7x 16.0x 56.2x 28.1x 26.5x 3.31 ServiceSource International, Inc. 7.98 58.3% 647 482 263 273 311 (10) 16 25 NM 0.07 0.13 25.0% 42.1% 1.8x 1.8x 1.5x NM 29.3x 19.4x NM NM 61.4x NM Jive Software, Inc. 9.25 50.1% 640 533 139 146 178 (54) (21) (15) NM (0.55) (0.46) 25.0% 62.0% 3.8x 3.7x 3.0x NM NM NM NM NM NM NM Saba Software, Inc. 13.00 93.5% 387 373 121 139 142 (10) 1 4 NM (0.04) (0.02) 20.0% 62.9% 3.1x 2.7x 2.6x NM NM 93.5x NM NM NM NM Sapiens International Corporation N.V. 7.06 89.6% 319 291 130 135 157 16 18 22 12.3% 0.34 0.33 16.1% 37.6% 2.2x 2.2x 1.9x 18.2x 15.9x 13.2x 38.4x 21.1x 21.7x 2.40 ClickSoftware Technologies Ltd. 8.72 91.3% 277 220 103 107 112 (3) 4 8 NM 0.05 0.10 15.0% 57.1% 2.1x 2.1x 2.0x NM 50.5x 27.2x NM NM 91.8x NM Support.com, Inc. 2.70 43.0% 142 74 83 88 71 11 17 (2) 13.0% 0.30 (0.07) 20.0% 52.8% 0.9x 0.8x 1.0x 6.9x 4.5x NM 24.6x 9.2x NM 1.23 Mean 82.5% 1,866 1,768 485 509 576 73 106 121 17.3% 1.67 1.86 18.4% 54.6% 3.6x 3.5x 3.1x 20.8x 24.4x 26.1x 48.2x 24.3x 36.0x 2.87 Median 91.3% 1,806 1,853 353 362 420 46 62 75 18.5% 0.78 0.33 16.5% 53.7% 3.1x 2.8x 2.6x 15.3x 15.8x 15.5x 43.2x 20.6x 21.7x 2.76 Source: Capital IQ, Bloomberg, Public Filings and consensus estimates. Page 17

JANNEY TEAM LEADERSHIP Chris White Head of Banking Jordie Maine Executive Vice President Head of Capital Markets Tim Scheve President CEO Gregory Voetsch Head of Equities Andrew Maddaloni Head of SOFTWARE & CAPITAL MARKETS Gregory Roth Investment Banking groth@janney.com Brandon Eck Investment Banking beck@janney.com James McNaughton Investment Banking jmcnaughton@janney.com Charlie Mather Capital Markets cmather@janney.com Will Corkhill Capital Markets wcorkhill@janney.com Shawn Milne smilne@janney.com Thomas McCrohan tmccrohan@janney.com Tony Wible twible@janney.com Joseph Foresi jforesi@janney.com Bill Choi bchoi@janney.com David Lau Director Capital Markets dlau@janney.com Andrew Kurz Vice President Investment Banking akurz@janney.com Robert Dickey Associate Investment Banking rdickey@janney.com Matt Corrado Associate Capital Markets mcorrado@janney.com Andrew Trask Associate Capital Markets atrask@janney.com Robert Simmons Associate rsimmons@janney.com Michael Carroll Associate mcarroll@janney.com Corbin Woodhull Associate cwoodhull@janney.com Len DeProspo Associate ldeprospo@janney.com Maurali Sankar Associate msankar@janney.com Jeff Rossetti Associate jrossetti@janney.com Wanda Lee Analyst Investment Banking wlee@janney.com Erik Hannemann Analyst Investment Banking ehannemann@janney.com Nicholas Petrick Analyst Investment Banking npetrick@janney.com Page 18

SOURCES 1. The Conference Board 2. US Department of Labor 3. Capital IQ 4. Bloomberg 5. Company Filings, Capital IQ 6. Ipreo 7. Press releases, Company Filings, Capital IQ MERGERS & ACQUISITIONS Exclusive Sales Acquisition Advisory Management Buyouts Leveraged Buyouts Fairness Opinions Corporate Defense PUBLIC OFFERINGS Initial Public Offerings Follow-on Offerings High-Grade and High-Yield Debt Subordinated Debt Convertible Securities PRIVATE PLACEMENTS PIPEs Private Equity Senior Debt Convertible Securities Preferred Securities Registered Direct Established in 1832, Janney Montgomery Scott LLC provides comprehensive financial advice and superior service to individual, corporate and institutional investors. A full-service, financial services firm, Janney is committed to providing our clients advice through a wealth management approach by focusing on the delivery of strategic financial plans that utilize a variety of financial products and services best suited to help meet their financial goals. Janney is equally committed to providing our corporate and institutional clients objective advice for the successful execution of their unique business plans. Janney provides advice and service to clients through a network of professionals in branch offices located along the entire east coast. Janney is an independently operated subsidiary of The Penn Mutual Life Insurance Company, the seventh largest mutual insurance company in the nation, and is a member of the New York Stock Exchange, Financial Industry Regulatory Authority and Securities Investor Protection Corporation. Page 19