Tecnomatix eMPower Products Help Improve Baggage Handling at One of Europe's Busiest Airports

Munich Airport's Terminal 2 Expected to Serve More than 25 Million Passengers Annually, Process Over 15,000 Bags per Hour

HERZLIA, Israel--(BUSINESS WIRE)--Aug. 21, 2003-- Tecnomatix Technologies Ltd. (NASDAQ: TCNO), the driving force in Manufacturing Process Management (MPM), announced today that eMPower(TM) products were used to simulate and optimize baggage handling for Munich Airport's newly opened Terminal 2.

Terminal 2 has doubled Munich Airport's current capacity with room for some 25 million additional passengers annually, and can process more than 15,000 bags per hour. eM-Plant, the company's leading factory floor simulation product, simulated the operation of a 25 mile-long baggage-handling transportation system, capable of transporting baggage at speeds surpassing 15 miles per hour. Over 17,000 individual elements (including conveyors, gates, baggage claims, security checkpoints, routing stations and many other components) interconnect to route baggage through the airport to its intended destination.

A central transportation computer manages the information collected across the network, identifying the shortest route for each individual piece of luggage between gates and baggage claims. To support the detailed planning of the baggage system as efficiently as possible, a complete model of the terminal layout was developed in eM-Plant. The project was directed by PPI-Informatik (Dr. Prautsch and Partner) in close cooperation with the Terminal 2 Project Team. "With the large number of components and highly complex logistics of Terminal 2's baggage -handling system, the typical static system performance measurement and simulation would be nearly impossible," said Lothar Nuessle, CEO of PPI-Informatik. "The eM-Plant simulations we have conducted will help identify and remove any bottlenecks in our network, validate and if necessary improve the layout of key transportation elements, and ensure the fast and accurate delivery of baggage."

"One of our major tasks in the future will be to simulate the effects of changes in traffic patterns and flight plans with eM-Plant, allowing us to more rapidly respond to the ever-changing world of airport management," said Stefan Fornasier, director of the simulation group at Munich Airport's Terminal 2.

Tecnomatix has a long history of successful large-airport simulation projects around the world, including airports in Frankfurt, Atlanta, Denver and Newark - earlier this year, Tecnomatix reported the adoption of its eM-Plant solution for other airport simulation projects, such as Russia's Domodedovo International and Amsterdam Airport Schiphol. Domodedovo is using eM-Plant to plan the reconstruction of its international terminal, as well as predict higher levels of passenger flow and schedule day-to-day passenger services operations - the airport has already reported significant improvements in check-planning, bus and gate scheduling, and boarding.

At Schiphol, one of the world's busiest airports, eM-Plant is being used to simulate the use of automated guided vehicles to transport goods through a proposed underground logistic system, increasing throughput and reducing the time it takes to relay goods through the airport and its rail and auto connections.

"Our eMPower solutions have proven to be effective not only on the factory floor, but also in any complex environment in which materials are processed," said Harel Beit-On, chairman and CEO of Tecnomatix Technologies. "Tecnomatix is pleased to have played such an important role in the success of Germany's newest air transportation terminal. As the world's larger airports anticipate the growth of passenger traffic through their terminals, heightened concerns about security do not lessen the need to move passengers and cargo effectively, quickly and safely. Products like eM-Plant can help airports ensure continued efficiency in their operations even as terminal traffic grows."

About Tecnomatix Technologies

Tecnomatix Technologies Ltd. is the driving force in Manufacturing Process Management (MPM). Today's leading global manufacturers are adopting MPM solutions to expand revenue potential and reduce costs by accelerating product introductions, shortening time to volume, and optimizing production execution. eMPower enables our customers to succeed with its collaborative, open platform and applications for defining, simulating, managing, and executing manufacturing processes across the extended enterprise. For more information please visit www.tecnomatix.com.

This press release includes forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated. Such statements may relate to the Company's plans, objectives and expected financial and operating results. The risks and uncertainties that may affect forward-looking statements include, but are not limited to: currency fluctuations, global economic and political conditions, market demand for Tecnomatix products and services, long sales cycles, new product developments, assimilating future acquisitions, maintaining relationships with customers and partners, and increased competition. For more details about the risks and uncertainties of the business, refer to the Company's filings with the Securities and Exchange Commission. Tecnomatix undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

CONTACT: Tecnomatix Technologies, Ltd.                
             Bill Siegel, 603-672-3019                               
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