PGP Corp. Purchases PGP Desktop Encryption and Wireless Product

[Network Associates]

Lines from NET

August 19, 2002


Dear Customer,

Today we are pleased to announce that PGP Corporation, a newly formed,
venture-funded security company, has acquired the PGP desktop encryption
and wireless product lines from Network Associates.  As you know, prior to
placing the products into maintenance mode, we were actively looking for a
buyer that would continue the development and support of the technology.

Network Associates has retained products developed using PGPsdk including
McAfee E-Business Server for encrypted server-to-server file transfer,
McAfee Desktop Firewall and McAfee VPN Client. These products will remain a
part of Network Associates’ existing product portfolio and we will continue
to develop them to meet your security needs. PGP Corporation has acquired
PGPmail, PGPfile, PGPdisk, PGPwireless, PGPadmin and PGPkeyserver
encryption software products for Win32 and Macintosh, PGPsdk encryption
software development kit, and PGP Corporate Desktop for Macintosh.

In addition to the technology, PGP Corporation has acquired all worldwide
customer license agreements and technical support obligations. To ensure a
seamless transition, Network Associates will work with PGP Corporation to
support PGP customers through October 26, 2002. PGP Corporation will
contact you shortly with details on its plans and product direction.

We trust that you will have continued success with the PGP desktop and
wireless encryption products through PGP Corporation. Network Associates
appreciates your business and we value our continued relationship across
our remaining product lines.


Best Regards,

Sandra England
Executive Vice President, Business Development and Strategic Research
Network Associates



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