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Verity Named One of KMWorld's '100 Companies that Matter'

Intellectual Capital Management Leader Recognized for Fourth Consecutive Year

SUNNYVALE, Calif - 2004-03-22 - Verity Inc. (NASDAQ: VRTY), a leading provider of enterprise software that enables organizations to maximize the return on their intellectual capital investment, today announced it has been selected again as one of the "100 Companies that Matter in Knowledge Management" by KMWorld, a leading industry publication. This is the fourth consecutive year Verity has been honored by the publication.

"KMWorld's list of ‘100 Companies that Matter in Knowledge Management' acknowledges the organizations that lead the way in the knowledge economy," said Hugh McKellar, KMWorld's editor-in-chief. "Inclusion in this fourth annual listing is based on the velocity and impact of a company's innovations as well as its ability to strengthen and create new infrastructure for KM initiatives."

The complete list will appear in the publication's April 2004 issue and was compiled by KMWorld editors through discussions with colleagues, analysts, and vendors. Its aim is to encourage a broader discussion of knowledge management, according to the publication.

"Verity feels privileged to be recognized as a company that matters in knowledge management for four consecutive years by the editors of KMWorld," said Andrew D. Feit, Verity's senior vice president of marketing. "It is an honor that underscores Verity's continued commitment to help organizations make the most of intellectual capital across their entire dynamic information flow."

About KMWorld

KMWorld is the leading information provider serving the Knowledge Management systems market. We inform our more than 56,000 subscribers about the components and processes - and subsequent success stories - that together offer solutions for improving your business performance.

About Verity

Headquartered in Sunnyvale, Calif., Verity provides software solutions that enable organizations to maximize the return on their intellectual capital investment of all sizes and types by utilizing Verity's industry-leading enterprise search, classification and recommendation technologies across their entire dynamic information flow. Verity software is used to capture content, drive automated business processes, share information within and between enterprises and facilitate e-commerce sales and service activities. Verity technology also serves as a core component of many leading business applications.

Verity software solutions are used by more than 11,500 customers in the private and public sectors. Customers include Adobe Systems, American Express, AT&T, Bristol-Myers Squibb, Cap Gemini Ernst & Young, Cardinal Health, Cisco Systems, EMC Documentum, Dow Jones, Financial Times, Hewlett-Packard, Home Depot, Lotus, Kaiser Permanente, META Group, SAP, Siemens, the State of California, Stellent, Sybase, the U.S. Departments of Energy and Justice, and the U.S. Army.

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.

Verity Editorial Contacts:

Winifred Shum

Verity, Inc.

(408) 542-2363

wshum@verity.com

Steve Hoechster

ElsterGroup

(646) 495-5401 or (914) 393-9219

shoechster@elstergroup.com

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