LUCENT VENTURE PARTNERS AND COLUMBIA CAPITAL EQUITY PARTNERS LEAD $12.25M SECOND ROUND INVESTMENT IN COMANAGE CORPORATION, A FAST GROWING SERVICE MANAGEMENT COMPANY.

Pittsburgh, PA - August 23, 1999 - CoManage Corporation announced today that Lucent Venture Partners LLC., and Columbia Capital Equity Partners joined together to lead a $12.25 million second round investment in the company. This is the largest round of pre-product funding ever for a Pittsburgh-based high- tech company.

CoManage builds a service management system for next-generation Service Providers. The company is focusing on improving delivery of "managed services," including Transparent LAN Service, VPN Service and Cable Modem and DSL-based services.

"CoManage Corporation has built the nation's best team of network management developers. Their advanced software technology is extremely impressive. Early customer feedback clearly indicates that the CoManage solution is leading the next generation service management market," said Phil Herget, Managing Director, Columbia Capital Equity Partners.

"The complexity of next-generation networks requires even more advanced service management systems and software," said Maureen Lawrence, partner, Lucent Venture Partners. "Lucent is always looking at companies that can help service providers meet that challenge, and CoManage is clearly moving ahead in that space."

"Lucent and Columbia's investment in CoManage at this stage is a testimonial to the confidence the leading telecom investors have in our software technology. With their resources behind us, we will be able to accelerate delivery of our solutions to next generation Service Providers," said Dave Nelsen, CEO, CoManage Corporation.

CoManage Corporation started testing with initial customers this month. The system is expected to ship in the fourth quarter of 1999.

For additional information on CoManage Corporation, visit their web site at http://www.comanagecorp.com or call (724) 933-8850.