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Verity Powering Online Search Capabilities for E*TRADE Financial Customers

With Verity K2 Catalog, Customers Gain Quicker, More Tailored Access to E*TRADE Financial's Comprehensive Content, Products and Services

Sunnyvale, Calif. - 2002-07-30 - Verity Inc. (NASDAQ: VRTY) a leading provider of infrastructure software that powers enterprise and e-commerce portals as well as e-business applications, today announced that E*TRADE Financial is now utilizing Verity® K2 Catalog software to enhance the experience of its customer households by helping them find what they are looking for faster and easier when visiting the high-traffic Web site, www.etrade.com.

E*TRADE Financial provides its customer households the investing, banking, lending, planning and advice solutions they seek to accomplish their lifetime financial goals. The company has integrated Verity K2 Catalog's advanced search capabilities into its platform to make it easier for its customers to access the broadening array of tailored products, services, information resources, and interactive planning tools they need to manage their finances.

"With more than three million households and four million account holders, we wanted to leverage a robust search technology that could grow with our business and support the platform of our choosing. With Verity's experience and expertise in the search market, we are choosing to work with them to continuously enhance the world-class financial experience we provide to our customers," said Pam Kramer, chief media and content officer, E*TRADE Group Inc.

In addition, E*TRADE Financial utilizes Verity K2 Catalog to provide information around its products and services that are related to a customer's search query and applicable to his or her situation. For example, if a customer searches for a mortgage loan, the system may also provide relevant information on home insurance. This feature enables a customer to access useful information from just a single click.

"E*TRADE Financial provides the customized information consumers seek to manage their financial futures. As the company utilizes the Internet as one of its distribution channels, it seeks to leverage technology such as Verity K2 Catalog software to help customers find the information they need quickly and easily," said Anthony J. Bettencourt, Verity's president.

About Verity

Headquartered in Sunnyvale, Calif., Verity is a leading provider of business portal infrastructure software. Verity software gives businesses a multitude of ways to improve access to vital information and perform a range of e-business operations, while enhancing the end-user experience. Verity-powered business portals, which include corporate intranets used for sharing information within an enterprise; e-commerce sites for online selling; and market exchange portals for B2B activities, all provide personalized information to employees, partners, customers and suppliers.

Verity products are used by approximately 80 percent of the Fortune 50 and by more than 1,500 corporations in various markets. Customers include Adobe Systems, AT&T, Cisco, CNET, Compaq, Dow Jones, EDGAR Online, Cap Gemini Ernst & Young, FairMarket, Financial Times, Globe and Mail, Home Depot, Lotus, NewsEdge Corporation, SAP, Siemens, Sybase, Time New Media and Timex.

For more information, contact Verity at info@verity.com or at World Wide Web site http://www.verity.com or call 408-541-1500.

Verity and the Verity logo are registered trademarks or trademarks of Verity, Inc.

Winifred Shum

Verity, Inc.

408-542-2363

wshum@verity.com

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