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Verity Named a "Company that Matters in Knowledge Management" by KMWorld Magazine

Success in Advancing Intellectual Capital Management Recognized for Fifth Consecutive Year

SUNNYVALE, Calif. - 2005-02-22 - Verity Inc. (NASDAQ: VRTY), a leading provider of enterprise software that enables organizations to maximize the return on their intellectual capital investment, today announced that 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 fifth consecutive year Verity has been honored by the publication.

"KMWorld's list of '100 Companies that Matter in Knowledge Management' was conceived as a way to identify the organizations leading the way in the knowledge economy," said Hugh McKellar, KMWorld's editor-in-chief. "While it is not intended to be the final word on the matter; the list is designed to encourage a broader discussion of knowledge management. Criteria for inclusion vary but Verity and the other companies have either helped to create a market, redefine one or enhance one-and they all share one thing: velocity of innovation."

The complete list will appear in the publication's March 2005 issue and was compiled by KMWorld editors through discussions with colleagues, KM practitioners, theorists, analysts and vendors as well as their customers.

"We are honored that Verity's efforts to bring to market industry-leading solutions that allow customers to maximize the return on their intellectual capital investments and assets have once again been acknowledged by KMWorld," said Andrew D. Feit, Verity's senior vice president of marketing. "This five-time distinction provides validation that our product solutions are market-changing and deliver significant return-on-investment to global enterprises."

About KMWorld

The leading information provider serving the Knowledge, Document and Content Management systems market, KMWorld informs more than 50,000 subscribers about the components and processes - and subsequent success stories - that together offer solutions for improving business performance. KMWorld is a publishing unit of Information Today, Inc.

About Verity

Headquarter in Sunnyvale, California, Verity provides software that enables organizations to maximize the return on their intellectual capital investment. The company's intellectual capital management (ICM) solutions provide integrated search, classification, recommendation, monitoring and analytics across the real-time flow of enterprise information, along with self-service Q & A. In addition, Verity's business process management and content capture solutions activate information and accelerate its flow from person to person and between systems. Verity technology also serves as a core component of more than 260 applications from leading independent software vendors.

Around the world, more than 11,500 organizations of all sizes and types rely on Verity to manage their intellectual capital. In the private sector, these include ABB, AT&T, AXA, Bristol-Myers Squibb, CapGemini, Capital One, Cisco, Deloitte Consulting, EDGAR Online, Ford, GMAC, Hewlett-Packard, Kaiser Permanente, KPMG, Mayo Foundation, PricewaterhouseCoopers, Roche Diagnostics, SAP, UBS and Verizon. In the public sector, customers come from all levels and branches of government, including the U.S. General Services Administration, the U.S. Air Force and Army, the U.S. Department of Defense, including the armed forces units, and the U.S. Departments of Energy and Justice. Independent software vendors that integrate Verity include EMC Documentum, FileNet, Lotus, Oracle, Stellent and TIBCO.

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

Euro RSCG Magnet

(212) 367-6901 or (914) 393-9219

steve.hoechster@eurorscg.com

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