Verisity (VRST) - 500 Beiträge pro Seite

[panik]

Profile:Verisity Ltd. provides proprietary technologies and software products used to verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs and enable customers to: deliver higher quality products; accelerate time-to-market; and reduce overall product development costs. Verisity`s products target the global communications industry, as well as other rapidly growing segments of the electronics industry, such as computers, business automation and consumer electronics.
http://www.verisity.com/

[panik]

Verisity Announces Sixth Consecutive Quarter of Record Revenue
Reports Revenue of $9.8 Million for Third Quarter 2001
Pro forma Net Income Was $1.4 Million
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Oct. 22, 2001--Verisity Ltd. (Nasdaq:VRST - news), a leading provider of functional verification automation software tools, today announced financial results for the third fiscal quarter ended September 30, 2001. Revenue for the quarter was $9.8 million, a 63% increase from revenue of $6.0 million for the third quarter ended September 30, 2000, and a 8.5% increase from revenue of $9.0 million for the second quarter ended June 30, 2001.

Excluding stock-based compensation expense, pro forma net income was $1.4 million, or $0.07 per diluted share, for the third quarter of 2001, compared to a pro forma net income of $87,000 for the third quarter 2000, or a pro forma net income of $0.01 per diluted share, and pro forma net income of $1.2 million for the second quarter 2001, or $0.06 per diluted share.

The Company`s net income for the quarter ended September 30, 2001 was $1.3 million, or $0.06 per diluted share, compared to a net loss of $194,000, or a loss of $0.03 per share, for the quarter ended September 30, 2000 and net income of $1.0 million, or $0.05 per diluted share, for the quarter ended June 30, 2001.

Revenue for the nine months ended September 30, 2001, was $27.4 million, a 96% increase from revenue of $13.9 million for the nine months ended September 30, 2000. Excluding stock-based compensation expense, pro forma net income was $3.3 million, or $0.17 per diluted share, for the nine months ended September 30, 2001, compared to a pro forma net loss of $3.8 million for the nine months ended September 30, 2000, or a pro forma net loss of $0.56 per share.

For the nine months ended September 30, 2001, the Company`s net income was $2.8 million, or $0.15 per diluted share, compared to a net loss of $4.5 million, or $0.66 per share, for the nine months ended September 30, 2000.

``We are very pleased with our financial results. We grew revenues by 8.5% and pro forma net income by 10.5%, sequentially and generated approximately $3.0 million of positive cash flow from operations, reflecting fundamental strength in our business model,`` said Moshe Gavrielov, Chief Executive Officer of Verisity. ``As the complexity of system and IC designs increase, the need for automating the verification process has definitely accelerated. Only by dramatically improving their approach to functionally verifying new complex designs will customers be able to deliver quality products in a timely manner. This is evidenced by the rapidly growing market size for functional verification automation tools where Verisity is undeniably gaining market share.``

Verisity`s earnings call will be webcast today at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com. The company plans to include a business outlook in the conference call.

About Verisity

Verisity is a leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices and the corporate headquarters of Verisity Ltd. are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. Words such as ``anticipate,`` ``estimate,`` ``expects,`` ``projects,`` ``intends,`` ``plans,`` ``believes`` and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.


VERISITY LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

Three Months Ended Nine Months Ended
September 30, September 30,
2001 2000 2001 2000
---- ---- ---- ----
(unaudited) (unaudited)
Revenue:
License $ 6,525 $ 4,074 $ 17,918 $ 9,147
Maintenance 2,956 1,557 7,903 3,853
Other Services 308 366 1,539 939
-------- -------- -------- --------
Total revenue 9,789 5,997 27,360 13,939
-------- -------- -------- --------
Total cost of revenue 883 640 2,773 1,737
-------- -------- -------- --------
Gross profit 8,906 5,357 24,587 12,202
Operating expenses:
Research and development 2,216 1,876 6,392 5,405
Sales and marketing 4,352 2,483 12,198 8,112
General and administrative 1,306 962 3,661 2,560
Stock-based compensation 110 281 492 716
-------- -------- -------- --------
Total operating expenses 7,984 5,602 22,743 16,793
-------- -------- -------- --------
Income (loss) from operations 922 (245) 1,844 (4,591)
Other income (expense) 409 51 1,130 107
-------- -------- -------- --------
Income (loss) before income
taxes 1,331 (194) 2,974 (4,484)

Provision for income taxes 66 -- 151 --
-------- -------- -------- --------
Net income (loss) $ 1,265 $ (194) $ 2,823 $ (4,484)
======== ======== ======== ========
Basic earnings per share:
Basic net income (loss)
per ordinary share $ 0.07 $ (0.03) $ 0.20 $ (0.66)
======== ======== ======== ========
Shares used in per
share calculation 17,563 7,088 14,424 6,749
======== ======== ======== ========
Diluted earnings per share:
Diluted net income
(loss) per ordinary
share $ 0.06 $ (0.03) $ 0.15 $ (0.66)
======== ======== ======== ========
Shares used in per
share calculation 20,668 7,088 19,294 6,749
======== ======== ======== ========
Pro forma earnings per
share: (1)
Pro forma net
income (loss) $ 1,375 $ 87 $ 3,315 $ (3,768)
======== ======== ======== ========
Diluted pro forma
net income (loss)
per ordinary share $ 0.07 $ 0.01 $ 0.17 $ (0.56)
======== ======== ======== ========
Shares used in pro
forma per share
calculation 20,668 15,913 19,294 6,749
======== ======== ======== ========

(1) Pro forma net income (loss) excludes the impact of stock-based
compensation charges.


VERISITY LTD.
CONSOLIDATED BALANCE SHEETS
(in thousands)

September 30, December 31,
2001 2000 (1)
---------- ------------
(Unaudited)
Assets:
Current assets:
Cash, cash equivalents and
short-term investments $ 52,425 $ 18,775
Accounts receivable 9,425 7,854
Other current assets 3,005 3,837
-------- --------
Total current assets 64,855 30,466
Property and equipment, net 2,148 1,623
Other assets 235 198
-------- --------
Total assets $ 67,238 $ 32,287
======== ========

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $ 7,519 $ 6,689
Deferred revenue 24,382 16,989
Current portion of long-term debt 8 265
-------- --------
Total current liabilities 31,909 23,943
Long-term liabilities 194 159
Long-term portion of deferred revenue 3,877 3,110
Shareholders` equity:
Share Capital 50,445 27,085
Accumulated deficit (19,187) (22,010)
-------- --------
Total shareholders` equity 31,258 5,075
-------- --------
Total liabilities and
shareholders` equity $ 67,238 $ 32,287
======== ========

(1) Derived from audited financial statements at December 31, 2000.

Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.


--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Charlie Alvarez, 650/934-6800 (Investor Relations)
[e-mail]
Francine Ferguson, 650/934-6800 (Media Relations)
[e-mail]

[panik]

STARC Selects Verisity`s e Verification Language for IP Reuse
Semiconductor Technology Academic Research Center -STARC- Selects Market-Proven Verification Language
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Dec. 3, 2001--Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation tools, and the Semiconductor Technology Academic Research Center (STARC), today announced that STARC has selected Verisity`s e verification language for IP reuse. STARC is a semiconductor industry association in Japan that is developing new semiconductor technologies through cooperation between the industry and academia. The IP Reuse Technology Committee selected e for protocol definition and verification of IP compliance to these protocols. STARC member companies include Fujitsu, Hitachi, Matsushita, Mitsubishi, NEC, OKI, Rohm, Sanyo, Sharp, Sony and Toshiba.

``We have chosen Verisity`s e verification language for the verification language on which next generation IP will be based,`` said Tadahiko Nakamura, Senior Manager, IP Reuse Group, for STARC. ``We chose e after careful evaluation of several offerings, and e was the best fit for STARC`s requirements. We are pleased to have Verisity and the e language be an important part of our development.``

STARC will use the temporal portion of the e language as the Interface Specification Description Language for IP reuse. STARC will also promote e to be an open industry standard, and is planning to build an open library, which contains general property descriptions such as PCI bus protocol monitor using the Interface Specification Description Language to make IP integration easier.

``STARC fosters the standardization of advanced methodologies, which has significant impact not just in Japan, but worldwide,`` said Yaron Kashai, vice president of research and strategic technologies for Verisity Design. ``Our verification methodologies uniquely enable verification reuse and STARC`s endorsement of the e language is a strong validation.``

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices and the corporate headquarters of Verisity Ltd. are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

About STARC

STARC was founded by Japan`s leading eleven semiconductor manufacturers in December 1995 to foster collaboration between the semiconductor industry and the academic world in Japan. The founders are Fujitsu , Hitachi, Matsushita Electrical Industrial, Mitsubishi Electric, NEC, Oki Electric Industry, Rohm, Sanyo Electric, Sharp, Sony and Toshiba Corp.

By establishing a close working relationship among the members, STARC aims to strengthen Japan`s fundamental R&D power for semiconductors, thus enabling the Japanese semiconductor industry to increase its competitive edge worldwide.

Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.


--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]

[Allure]

Verisity Best Performing IPO for 2001
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 3, 2002--Verisity, Ltd. (Nasdaq: VRST - news), a leading provider of functional verification automation tools, earned recognition as the Best Performing IPO for 2001. Since its IPO on March 21, 2001 until December 31, 2001, Verisity`s stock price achieved a +170.7 percent increase over its initial offering price.

Verisity offers verification methodology and technology solutions that are used by the leading semiconductor, IP, communications and systems companies to verify their latest designs of electronic systems and complex integrated circuits. Verisity`s products automate the process of detecting flaws in these designs at an early stage which enables customers to deliver higher quality products, accelerate time to market, and reduce overall development costs.

``We are very pleased that Verisity met with such strong interest from the investment community in 2001,`` said Moshe Gavrielov, chief executive officer of Verisity. ``Verisity`s functional verification solutions help our customers more effectively innovate with their designs and better capitalize on the complex advancements routinely being made in the semiconductor industry.``

About Verisity

Verisity is a leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices of Verisity Ltd. are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Magnolia Communications
Debra Jones, 650/327-4960
[e-mail]

[Allure]

ARM and Verisity Advance IP Verification and Validation
ARM Delivers Pure IP Toolkit for the ARM PrimeXsys Wireless Platform
CAMBRIDGE, UK & MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 7, 2002--ARM (LSE:ARM)(Nasdaq:ARMHY - news), the industry`s leading provider of 16/32-bit embedded RISC processor solutions, and Verisity Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation, today announced another step forward in intellectual property (IP) integration. ARM, a member of Verisity`s Pure IPTM program, is now delivering verification and validation toolkits based on Verisity`s e verification language and testbench automation tool, Specman Elite(TM). The testbenches are part of the ARM® PrimeXsys(TM) platform to enable complex ASICs to be developed around the PrimeXsys Wireless Platform.

ARM PrimeXsys platforms are integrated, extendible platforms that deliver pre-validated, application-targeted hardware sub-systems, along with all relevant application software and a wide range of operating system (OS) ports, to enable the development of application-focused devices, rapidly and with minimal risk.

The ARM PrimeXsys platform verification toolkit addresses the most time-consuming aspects of ASIC development, which is verifying that the ASIC will meet its functional requirements.

There are four key aspects to this:

The verification toolkit is re-usable (across multiple Partners and multiple projects) which saves a lot of engineering effort.
ARM supplies many of the verification tests with the testbench that again saves time and effort. ARM supplies tests to check that all the components of the ASIC are AMBA® technology-compliant.
The verification toolkit is extendible to test an entire ASIC`s functionality, not just the ARM PrimeXsys Wireless Platform.
The verification toolkit allows for detailed and complex test scenarios to be built-up to thoroughly test the ASIC design in ways that have been previously only been possible in silicon. This significantly reduces the risk of building ASICs with design flaws.
``One of the biggest challenges developers face when integrating external IP is knowing if it was integrated correctly,`` said Ian Thornton, product manager, ARM. ``Verisity`s Pure IP program solves this problem by enabling us to deliver executable verification toolkits alongside our IP. We chose to base these toolkits on Verisity`s e verification language because we believe it to be the best solution available today and it is ideally suited for this purpose. This methodology for ensuring correct integration is absolutely vital for our Partners to accelerate time-to-market.``

As the lead licensee for the ARM PrimeXsys Wireless Platform, STMicroelectronics has adopted the ARM PrimeXsys Wireless Platform as the foundation of its large mobile internet ASSP product line and is utilizing the verification and validation testbenches to add its own unique differentiating IP.

``The PrimeXsys Wireless Platform is part of ST`s ongoing mobile multimedia development program and ST is using the ARM PrimeXsys Wireless Platform verification toolkit as well as Specman Elite,`` said Vincent Coeffe, ARM PrimeXsys platform leader, DSP & Micro Division, STMicroelectronics. ``We already use Specman Elite for increasing the quality of the functional verification in our own IP developments, and the ARM PrimeXsys Wireless Platform verification toolkit allows us to reuse the standalone IP verification at the system level in a very fast and efficient way. It allows us to ensure that each IP block is correctly integrated in the system and to determine system performance such as average throughput of each AHB bus, or interrupt latency for all possible corner cases of the system.``

The ARM PrimeXsys Wireless Platform deliverables include RTL, simulation models, development tools, firmware, OS ports, validation suites and methodologies. This provides the foundation functionality for support of base platform operating system execution and provides interfaces for the inclusion of additional functionality for the development of complete designs. System modeling is also supported to accelerate the development of entire system solutions.

``The ARM PrimeXsys Wireless Platform is uniquely designed to give customers the flexibility to add their own IP and expertise when incorporating it into their wireless designs,`` said Dave Tokic, director of strategic marketing, Verisity. ``By delivering the ARM PrimeXsys Wireless Platform with a Pure IP verification toolkit, ARM is also providing their customers with an efficient integration process. This is just one more step in our long-standing relationship with ARM to enable platform-based design and verification.``

Availability

The PrimeXsys Wireless Platform is available now from ARM. It is being licensed under ARM`s normal IP model for implementation within an application-specific integrated circuit (ASIC) or application-specific standard product (ASSP) design. The first PrimeXsys Wireless Platform samples will be available from key ARM Partners in 1H02.

About ARM

ARM is the industry`s leading provider of 16/32-bit embedded RISC microprocessor solutions. The company licenses its high-performance, low-cost, power-efficient RISC processors, peripherals, and system-on-chip designs to leading international electronics companies. ARM also provides comprehensive support required in developing a complete system. ARM`s microprocessor cores are rapidly becoming the volume RISC standard in such markets as portable communications, hand-held computing, multimedia digital consumer and embedded solutions. More information on ARM is available at www.arm.com.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products simplify the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

ARM and AMBA are registered trademarks of ARM Limited. PrimeXsys is a trademark of ARM Limited. All other brands or product names are the property of their respective holders. ``ARM`` is used to represent ARM Holdings plc (LSE:ARM and Nasdaq:ARMHY); its operating company ARM Limited; and the regional subsidiaries ARM INC.; ARM KK; ARM Korea Ltd.; ARM Taiwan; and ARM France SAS.

Verisity is a registered trademark of Verisity Design, Inc. Pure IP and Specman Elite are trademarks of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]


Email this story - Most-emailed articles - Most-viewed articles


--------------------------------------------------------------------------------

[Allure]

Rambus Joins Verisity`s Pure IP Program
Verification Toolkits Deliver Automated Methodology for IP Integration
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 7, 2002--Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation, today announced that Rambus Inc. (Nasdaq:RMBS - news) has joined Verisity`s Pure IP(TM) program to supply an automated methodology for ensuring accurate integration of Rambus` intellectual property (IP) cells into customer designs. As a member of the Pure IP program, Rambus can deliver IP cells with verification toolkits written in the market-proven e verification language, significantly easing the IP integration process.

``Rambus is committed to providing the tools our customers need to be successful. We have used Verisity`s functional verification tools for quite some time and have been pleased with the results they have provided,`` said Frank Fox, vice president of the RDRAM Standards Division at Rambus Inc. ``Rambus joined the Pure IP Program to simplify the integration process for our customers.``

``We are pleased to have such a significant IP designer as Rambus teaming with Verisity to provide their customers with a more streamlined integration methodology,`` said Moshe Gavrielov, chief executive officer for Verisity. ``We have a long standing successful relationship with Rambus, and this commitment represents a key endorsement of our technology and the e language.``

The Pure IP toolkits contain checking and coverage analysis capabilities from the core`s original verification environment that aid customers in integrating the IP into their systems. The toolkits act as an invisible wrapper around the IP, allowing customers to automatically check for adherence to the rules and flag incorrect usage as well as measure the coverage of the IP interface. The first IP to be shipped with an e verification toolkit is the RDRAM® Memory Controller (RMC).

The Pure IP Program

Verisity`s Pure IP program eases the development, delivery and integration of IP. The program enables IP developers to thoroughly verify their IP prior to delivery, then package and transfer their knowledge of the IP and integration rules in an executable form through verification toolkits. The toolkits are delivered with the cores and contain a bus functional model (BFM) and checking and coverage analysis capabilities to aid customers in integrating the IP into their system. Customers using the toolkits can automatically check for correctness of the integration and measure the interface coverage between the IP and the system.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

About Rambus

Rambus Inc. designs, develops and licenses high-bandwidth chip-connection technology, and provides the comprehensive engineering support necessary for a complete system solution. Rambus` technology and intellectual property are licensed to leading semiconductor suppliers, including DRAM, controller and microprocessor manufacturers, ASIC developers, and foundries for use in computer, consumer and networking systems such as personal computers, workstations, servers, game consoles, set top boxes, digital HDTVs, high-speed switches and routers.

For more information, visit www.rambus.com.

Verisity is a registered trademark of Verisity Design, Inc. Pure IP is a trademark of Verisity Design, Inc. Rambus and RDRAM are registered trademarks of Rambus Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]
or
Rambus Inc.
Kristine Wiseman, 650/947-5319
[e-mail]

[Chipdesign]

Verisity Announces Record Revenue and EPS for Fourth Quarter and Fiscal 2001
Fourth Quarter Pro-forma Net Income Grew 57% Sequentially on Revenue Growth of 16%
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 22, 2002--Verisity Ltd. (Nasdaq:VRST - news)

Selected Highlights for 2001:

Best Performing IPO of the year
Annual Revenue Growth of 80%
Sixth consecutive quarters of increased pro-forma profitability
Generated $17.7 million in cash from operations
Verisity Ltd. (Nasdaq:VRST - news), a leading provider of functional verification automation software tools, today announced financial results for the fourth fiscal quarter and year ended December 31, 2001. Revenue for the quarter was $11.4 million, a 50% increase from revenue of $7.6 million for the fourth quarter ended December 31, 2000, and a 16% increase from revenue of $9.8 million for the third quarter ended September 30, 2001.

Excluding stock-based compensation expense, pro forma net income was $2.2 million, or $0.10 per diluted share, for the fourth quarter of 2001, compared to a pro forma net income of $270,000 for the fourth quarter 2000, or a pro forma net income of $0.02 per diluted share, and pro forma net income of $1.4 million for the third quarter 2001, or $0.07 per diluted share.

The Company`s net income per generally accepted accounting principles (GAAP) for the quarter ended December 31, 2001 was $1.9 million, or $0.09 per diluted share, compared to a net income of $76,000, or $0.00 per share, for the quarter ended December 31, 2000 and net income of $1.3 million, or $0.06 per diluted share, for the quarter ended September 30, 2001.

Revenue for the year ended December 31, 2001, was $38.7 million, an 80% increase from revenue of $21.5 million for the year ended December 31, 2000. Excluding stock-based compensation expense, pro forma net income was $5.5 million, or $0.28 per diluted share, for the year ended December 31, 2001, compared to a pro forma net loss of $3.5 million for the year ended December 31, 2000, or a pro forma net loss of $0.51 per share.

For the year ended December 31, 2001, the Company`s net income per GAAP was $4.7 million, or $0.24 per diluted share, compared to a net loss of $4.4 million, or $0.64 per share, for the year ended December 31, 2000.

``I am extremely pleased with our accomplishments in 2001. Our fourth quarter and annual financial performance were exceptional in a difficult global economic climate. In particular, we posted solid increases in revenue and profits throughout the year,`` said Moshe Gavrielov, Chief Executive Officer of Verisity. ``Over the course of the year, we expanded our customer base and provide mission critical solutions to leading systems, semiconductor and Star IP companies.``

``In the past six years, Verisity has focused on automating the solutions that verify the front-end of the design process where customers spend most of their time and efforts. This is a very significant untapped market and provides one of the largest growth opportunities in the EDA space today. Traditionally, customers have used their own in-house developed software to validate their designs, but as the complexity of these designs has increased, customers required a more timely and efficient method for verifying their designs and looked to Verisity to provide the solution,`` added Gavrielov. ``As we look forward, we are confident in our business strategy and competitive position and will continue to invest and develop leading-edge verification tools for our customers.``

Verisity`s earnings call will be webcast today at 4:10 p.m. Eastern Time / 1:10 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com. The company plans to include a business outlook in the conference call.

About Verisity

Verisity is a leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. Words such as ``anticipate,`` ``estimate,`` ``expects,`` ``projects,`` ``intends,`` ``plans,`` ``believes`` and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.

-0-


VERISITY LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

Three Months Ended Twelve Months Ended
December 31, December 31,
2001 2000 2001 2000
-------- -------- -------- --------
(unaudited)
Revenue:
License $ 7,442 $ 4,938 $ 25,360 $ 14,085
Maintenance 3,471 1,886 11,374 5,739
Other Services 464 736 2,003 1,675
-------- -------- -------- --------
Total revenue 11,377 7,560 38,737 21,499
-------- -------- -------- --------
Total cost
of revenue 659 755 3,432 2,492
-------- -------- -------- --------
Gross profit 10,718 6,805 35,305 19,007
Operating expenses:
Research and
development 2,467 1,924 8,859 7,329
Sales and marketing 4,900 3,357 17,098 11,469
General and
administrative 1,417 1,357 5,078 3,917
Stock-based
compensation 284 194 776 910
-------- -------- -------- --------
Total operating
expenses 9,068 6,832 31,811 23,625
-------- -------- -------- --------
Income (loss)
from operations 1,650 (27) 3,494 (4,618)
Other income
(expense) 324 103 1,454 210
-------- -------- -------- --------
Income (loss)
before income
taxes 1,974 76 4,948 (4,408)

Provision for
income taxes 99 -- 250 --
-------- -------- -------- --------
Net income (loss) $ 1,875 $ 76 $ 4,698 $ (4,408)
======== ======== ======== ========
Basic earnings
per share:
Basic net
income (loss)
per ordinary
share $ 0.10 $ 0.01 $ 0.31 $ (0.64)
======== ======== ======== ========
Shares used
in per share
calculation 18,121 13,301 15,356 6,870
======== ======== ======== ========
Diluted earnings
per share:
Diluted net
income (loss)
per ordinary
share $ 0.09 $ 0.00 $ 0.24 $ (0.64)
======== ======== ======== ========
Shares used
in per share
calculation 20,630 16,200 19,623 6,870
======== ======== ======== ========
Pro forma earnings
per share1)
Pro forma net
income (loss) $ 2,159 $ 270 $ 5,474 $ (3,498)
======== ======== ======== ========
Diluted pro
forma net income
(loss) per
ordinary share $ 0.10 $ 0.02 $ 0.28 $ (0.51)
======== ======== ======== ========
Shares used
in pro forma
per share
calculation 20,630 16,200 19,623 6,870
======== ======== ======== ========

(1) Pro forma net income (loss) excludes the impact of stock-based
compensation charges.


VERISITY LTD.
CONSOLIDATED BALANCE SHEETS -
(in thousands)

December 31, December 31,
2001(1) 2000(1)
------------ ------------
Assets:
Current assets:
Cash, cash equivalents and
short-term investments $ 58,488 $ 18,775
Accounts receivable 8,498 7,854
Other current assets 2,511 3,837
---------- ----------
Total current assets 69,497 30,466
Property and equipment, net 2,112 1,623
Other assets 229 198
---------- ----------
Total assets $ 71,838 $ 32,287
========== ==========

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $ 8,023 $ 6,689
Deferred revenue 26,694 16,989
Current portion of long-term debt 9 265
---------- ----------
Total current liabilities 34,726 23,943
Long-term liabilities 197 159
Long-term portion of deferred revenue 2,397 3,110
Shareholders` equity:
Share Capital 51,830 27,085
Accumulated deficit (17,312) (22,010)
---------- ----------
Total shareholders` equity 34,518 5,075
---------- ----------
Total liabilities and
shareholders` equity $ 71,838 $ 32,287
========== ==========

(1) Derived from audited financial statements at December 31, 2000 and
December 31, 2001.




--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Charlie Alvarez, 650/934-6800 (Investor Relations)
[e-mail]
Francine Ferguson, 650/934-6800 (Media Relations)
[e-mail]

[Chipdesign]

CoWare and Verisity Provide a Unified System-Level Design Flow With a Re-usable Testbench
SANTA CLARA & MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 28, 2002--CoWare(TM), Inc. and Verisity, Ltd. (Nasdaq:VRST - news) announced that Verisity`s Specman Elite(TM) functional verification software now is integrated with the CoWare N2C(TM) hardware/software co-design and co-verification environment. Designers can now quickly develop and re-use functional testbenches in the System-on-Chip (SoC) design process.

``We asked CoWare and Verisity to work together to provide an integrated verification solution,`` stated Jean-Marc Chateau, director, Consumer and Microcontroller Groups, STMicroelectronics. ``Now we can use Verisity`s Specman Elite to build powerful testbenches and thoroughly check the functionality of our designs with CoWare N2C. Then, we can use those same testbenches in the rest of our design flow and in derivative designs.``

STMicroelectronics uses the C-based CoWare N2C design system to reduce time to market and improve productivity through hardware/software co-design and co-verification. STMicroelectronics uses Verisity`s Specman Elite as their testbench automation tool of choice to verify the functionality of their ST bus-based products. Until now, testbenches developed in CoWare N2C were not easily re-used. With this interface between the tools, CoWare N2C communicates with Verisity`s Specman Elite during simulation runs to enable test generation and data checking capabilities. Designers can then use and improve on the same testbench as they move from the CoWare environment to RTL implementation.

An additional benefit of this integration is that testbenches developed for one design using Specman Elite can easily be re-used with other designs, making it ideal for platform-based design.

``The earlier in the design process that you can verify the functionality of a design, the easier and faster it is to make any necessary corrections,`` stated CoWare`s President and CEO, Guido Arnout. ``Verisity`s Specman Elite provides first class testbench generation capabilities that now can be used throughout the entire hardware/software co-design and co-verification flow.``

According to Verisity`s CEO, Moshe Gavrielov, the CoWare partnership marks an important step in Verisity`s evolution. ``Customers brought us together because they wanted to use our tools together for platform design and verification. With CoWare, we are able to team with a market-proven provider of hardware/software co-design and co-verification tools and deliver our customers an integrated verification flow.``

By modeling the system in C and using the CoWare N2C methodology, the designer can now verify the component or the system at several design abstraction levels, building the testbench with Specman Elite along the way. System architects designing a new system will develop an executable specification in CoWare N2C and a functional testbench in Verisity`s proprietary `e` language. The executable specification will be simulated and tested, and the design will be refined through abstraction levels as notions of timing and clocks are added. The designer can access the Verisity testbench in CoWare N2C for co-design and co-verification.

This integrated environment, available in the CoWare N2C design system, requires that customers buy licenses from each company. For more information, please contact [e-mail].

About CoWare

CoWare, Inc. provides tools and methodologies that help engineering teams cut their system-on-a-chip design times in half. CoWare N2C provides an efficient means to capture, analyze, and implement a system specification, with parallel development by hardware and software teams. In addition, CoWare N2C greatly enhances IP re-use and selection, further reducing design time. The CoWare N2C software is employed by major systems and semiconductor companies including Alcatel, Canon, Fujitsu, Matsushita, Mitsubishi, Motorola, Nokia, Sony and STMicroelectronics. For more information, visit www.CoWare.com.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View. Verisity`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: CoWare and CoWare N2C are trademarks of CoWare, Inc.

Verisity is a registered trademark and Specman Elite is a trademark of Verisity Design, Inc.

All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]
or
CoWare, Inc.
Mindy Powers, 408/845-7613
[e-mail]
or
New Ideas in Communications
Paula Jones, 650/967-3711
[e-mail]

[Chipdesign]

Verisity Launches Breakthrough Testbench Acceleration Technology
eCelerator is Powerful New Synthesis Technology for Accelerating Verification
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--March 4, 2002--Verisity Ltd. (Nasdaq: VRST - news), the leading provider of functional verification automation, today announced innovative new verification technology, eCelerator(TM). eCelerator is a testbench acceleration tool that enables the power of Specman Elite(TM) with the high performance of hardware-assisted verification. This provides users with a significant increase in verification performance while still taking advantage of an automated verification process. Testbench acceleration is the process of partitioning and synthesizing portions of the testbench to run on the hardware verification platform in order to optimize overall performance. This powerful new technology will initially support the following hardware emulation/acceleration systems - Palladium and CoBALT from Quickturn Design Systems a Cadence company, Celaro(TM) hardware emulator from Mentor Graphics®, and VStation from IKOS Systems.

eCelerator provides users with the ability to accelerate their verification by synthesizing and accelerating testbenches written in the e verification language. eCelerator synthesizes the most time-consuming parts of an e testbench onto the hardware, resulting in a dramatic increase in performance. Users retain access to all of the power in Specman Elite, providing them with a high degree of visibility into their design and complete consistency between their software simulations and accelerated simulations. This enables a single flow from simulation to emulation without requiring any changes to the e testbench.

``Specman Elite has captured a significant percentage of the market. As more people adopt testbench automation, the market for a solution like eCelerator becomes tremendously compelling. We`ve worked extremely closely with all three of our partners to develop this highly advanced technology to increase our customers` productivity and quality,`` said Moshe Gavrielov, chief executive officer for Verisity. ``The testbench acceleration methodology opens up new markets for both Verisity and our hardware partners, while providing a solution that addresses a critical need for our customers.``

``One of the biggest challenges of platform-based design is the size and complexity of the verification process,`` said John Goodenough, Global Design Methodology manager, ARM. ``Verisity`s eCelerator greatly expands our ability to use our standard Specman Elite-based methodology while taking advantage of high-performance hardware acceleration and emulation.``

Evolution of Testbench Acceleration

Specman Elite has gained tremendous popularity among verification engineers because of its ability to automatically generate tests and perform checking and functional coverage analysis. Hardware verification solutions have typically only accelerated the RTL design. Not being able to accelerate these powerful testbenches caused a significant impact in the price performance value to customers who use hardware verification solutions. Because of this, hardware verification solutions were typically employed later in the verification cycle, where it`s more difficult and costly to find and fix bugs. With eCelerator, the most time consuming portions of the e testbench are synthesized, greatly improving the price performance value and facilitating the use of hardware solutions earlier in the verification cycle.

eCelerator Technology

eCelerator synthesizes e code for acceleration and enables Specman Elite to interact directly with the hardware platforms. Through the use of constraints, users can easily indicate which portions of the testbench to target for synthesis. Using the proper methodology, a significant subset of e--almost anything that does not require dynamic allocation--can be synthesized including, bus functional models, monitors, data checkers, protocol checkers and error messaging. Since the e language is an easily layered, extensible language, it is easy to partition and synthesize legacy code.

Specman Elite interacts with the hardware platforms through a transaction-based interface. This open interface links the Specman Elite testbench directly with the synthesized e testbench running in the hardware, enabling Specman Elite to quickly send large amounts of data to the hardware and perform more comprehensive test runs. The user is able to configure the volume of transactions Specman Elite sends to the hardware, giving them more control over the performance on a per test basis. This enables the maximum throughput for regression test suites. Early benchmarking has shown a 10x to 60x improvement in performance.

``Combining these technologies into a single, highly integrated methodology is extremely powerful,`` said Francine Ferguson, vice president of worldwide marketing for Verisity. ``Testbench acceleration provides users with what they need most: power and performance.``

Promoting Verification Reuse

The testbench acceleration methodology can also be applied to verification reuse strategies. Verisity promotes verification reuse through the availability of e Verification Components (eVC(TM)s). eVCs are pre-verified, reusable plug-and-play verification environments for standard interfaces such as AMBA AHB, PCI and Ethernet. They drastically cut the time it takes to create a verification environment and get to first test in simulation. Accelerated eVCs are eVCs specifically developed for testbench acceleration, enabling these eVCs to be synthesized and accelerated on the hardware platform as well. The first accelerated eVC to be targeted for testbench acceleration is the AMBA AHB eVC from Verisity.

Availability

eCelerator will be available in limited release in the third quarter of 2002. The accelerated AHB eVC will be available in the fourth quarter of 2002.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. eVC, eCelerator, and Specman Elite are trademarks of Verisity Design, Inc. All other trademarks are the property of their respected owners.



--------------------------------------------------------------------------------
Contact:

Verisity Ltd.
Jennifer Bilsey, 650/934-6823
[e-mail]

[Chipdesign]

Mentor Graphics` Celaro Hardware Emulator Adds Support for Verisity`s eCelerator
Integrated Methodology Combines Testbench Automation and Emulation
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--March 4, 2002--Verisity Ltd. (Nasdaq: VRST - news), the leading provider of functional verification automation, and Mentor Graphics® Corporation today announced that Meta Systems, the emulation division of Mentor Graphics, is integrating Verisity`s eCelerator(TM) to the Celaro(TM) hardware emulator and has joined Verisity`s VIP(TM) Program. eCelerator is innovative new synthesis technology that enables the power of Specman Elite(TM) with the high performance of hardware-assisted verification (see press release dated March 4, 2002 ``Verisity`s Launches Breakthrough Testbench Acceleration Technology``). An integrated solution between eCelerator and the Celaro hardware emulator provides users with a significant increase in verification performance while maintaining a high degree of visibility, flexibility, and control over the verification process.

``We will benefit, both in terms of design time and design quality, by being able to re-use the same Specman Elite testbench environment on the hardware emulator, that we`ve already developed for simulation on a workstation. Using Verisity`s eCelerator, this can be done and provide much greater verification performance,`` said Philippe Magarshack, Central R&D Group Vice-President, Design Automation at STMicroelectronics. ``This new methodology will allow us to quickly move our verification environment from simulation to emulation, thereby allowing us to save weeks or possibly months on the critical path of our complex SoC designs.

eCelerator synthesizes and accelerates testbenches written in the e verification language onto the Celaro system, resulting in a dramatic increase in performance for Specman Elite users. Using the proper methodology, a significant subset of the e testbenches can be synthesized and mapped onto the hardware emulator, including bus functional models, monitors, data checkers, protocol checkers, and error messaging. A key benefit of this integration is the ability of designers to use the Celaro emulator earlier in the verification process, improving productivity in the validation of today`s complex SoC (System-on-Chip) designs. Users are able to control the verification progress because they retain all of the power of Specman Elite, including automatic generation of tests, data and temporal checking and functional coverage analysis while taking advantage of the Celaro emulator performance, capacity and flexibility.

``The integration of emulation and testbench automation is a critical next-step in verification methodologies that enables users to dramatically speed up their verification process and easily move emulation earlier into the flow,`` said Gabriele Pulini, marketing director at Meta Systems, the emulation division of Mentor Graphics. ``Mentor Graphics and Verisity have a long-standing, successful partnership and this new technology partnership extends our relationship and customer offerings one step further.``

eCelerator Integration with Celaro Hardware Emulator

eCelerator synthesizes e code for acceleration to enable Specman Elite to interact directly with the Celaro system, enabling the user to perform more comprehensive test runs. Specman Elite interacts with the hardware system through Mentor Graphics Celaro Transaction-based Interface (CTI). This interface removes the bottleneck of using a software simulator to connect Specman Elite to the Celaro system. Providing a direct connection fully customized to the Celaro emulator enables it to optimize the verification environment. CTI offers several levels of communication layers, from events or signals to higher abstraction level such as bus protocol or packet and frame transactions.

``Leveraging the Celaro hardware emulator`s high performance with Specman Elite`s powerful verification automation dramatically improves the users` ability to verify their designs,`` said Dave Tokic, director of strategic marketing for Verisity. ``Customers can now take full advantage of the benefits that both technologies offer.``

About Celaro Hardware Emulator

The Celaro emulator is the world leader in custom emulation technology using Mentor`s unique `Custom Emulator on Silicon` (CEOS) architecture. The patented Celaro design debug features give design visibility, which is comparable to a software simulator, but orders of magnitude faster. The Celaro systems also have design compilation times which are far better than commercial FPGA-based emulators, and design capacity which compares favorably with any competitor. The Celaro emulator is the only system which has sufficient performance for today`s complex SoC designs. It excels in the field of hardware/software co-verification, a critical factor in the design of modern SoCs with their high software content. World Wide Web site: www.celaro.com

Availability

eCelerator support through Celaro Transaction-based Interface will be available in limited release in the third quarter of 2002.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

About Mentor Graphics

Mentor Graphics Corporation (Nasdaq: MENT - news) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world`s most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of more than $600 million and employs approximately 3,100 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777; Silicon Valley headquarters are located at 1001 Ridder Park Drive, San Jose, California 95131-2314. World Wide Web site: www.mentor.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. eVC, eCelerator, and Specman Elite are trademarks of Verisity Design, Inc. All other trademarks are the property of their respected owners.

Mentor Graphics currently does not sell or market Meta Systems products in the United States.



--------------------------------------------------------------------------------
Contact:

Verisity Ltd.
Jennifer Bilsey, 650/934-6823
[e-mail]

[Chipdesign]

IKOS Systems` VStation Emulator Adds Support for Verisity`s eCelerator
Integrated Methodology Combines Specman Elite and High Performance Emulation
SAN JOSE, Calif.--(BUSINESS WIRE)--March 4, 2002--IKOS Systems, Inc. (Nasdaq: IKOS - news), a leading provider of high-performance design verification solutions, and Verisity Ltd. (Nasdaq: VRST - news), the leading provider of functional verification automation, today announced that IKOS Systems has created a transaction-based integration to Verisity`s eCelerator(TM). eCelerator is a testbench acceleration tool that contains innovative new synthesis technology that enables the power of Specman Elite(TM) to be combined with the high performance of hardware-assisted verification (see press release dated March 4, 2002 ``Verisity`s Launches Breakthrough Testbench Acceleration Technology``). The combination of IKOS` VStation(TM) with testbench acceleration provides a powerful, system-level testbench environment that enables designers to quickly generate high-quality tests while dramatically reducing overall verification time.

IKOS offers innovative and powerful accelerated solutions for Specman Elite on both the NSIM(TM) accelerator and VStation emulator platforms so that mutual customers can benefit from the immediate increase in verification productivity. ``The powerful combination of Specman Elite and IKOS` hardware verification platforms is key to delivering our sophisticated designs faster to market and with high quality,`` said Avinash Gautam, General Manager, DSP Designs, TI-India. ``The performance boost of 15-25x over software-only simulations allows us to quickly achieve verification completeness and higher design confidence.``

With this latest solution, eCelerator synthesizes and accelerates testbenches written in the e verification language onto VStation, resulting in increased verification throughput for Specman Elite users. Using the proper methodology, highly active portions of the e testbench can be synthesized, including bus functional models, monitors, data checkers, protocol checkers, and error messaging. A key benefit of this integration is the ability of users to apply emulation with VStation earlier in the design process to perform system-level verification and ensure that the design works in the system environment before committing to silicon. Users are also able to automate the verification process because they retain all of the power of Specman Elite, including automatic generation of tests, data and temporal checking and functional coverage analysis.

``This truly innovative approach to verification productivity using eCelerator with VStation speeds the process by accelerating Specman Elite testbenches and gives users more control by moving hardware-assisted verification earlier in the design life cycle,`` said Linda Prowse-Fosler, vice president of marketing for IKOS Systems. ``Improving verification performance has always been a main concern for both IKOS and Verisity and this technology partnership enabled us to work together to make it happen.``

``Combining these two technologies enables users to take advantage of the benefits of both approaches,`` said Dave Tokic, director of strategic marketing for Verisity. ``This integration provides another dramatic step in verification technology and methodology for extremely complex designs.``

Transaction-Based Co-modeling with Specman Elite

eCelerator takes advantage of IKOS` Co-modeling technology, which utilizes a fast interface between IKOS` high-performance VStation emulator and Specman Elite to deliver maximum verification productivity. The foundation for this high-performance interface is IKOS` Transaction Interface Portal (TIP), the industry`s first and fastest, high-bandwidth, low-latency, workstation-to-emulator connection that is specifically optimized for processing transactions. With IKOS` breakthrough co-modeling technology, transactions, as opposed to clocked events, are passed across the testbench interface to reduce the I/O congestion between the software running on the workstation and the design running in VStation, which increases e testbench performance up to 50 times over a software-only simulation environment.

IKOS` VStation emulator is a complete, system-on-chip (SoC) verification platform offering a simulation-like user interface; easy-to-use in-circuit emulation; high-performance co-modeling through TIP; data streaming with virtually unlimited vector width; and fully integrated RTL compile and debug capabilities. VStation verifies highly complex designs of up to 15 million gates, and operates at emulation speeds of up to 2 MHz. It also incorporates IKOS` patented VirtuaLogic(TM) compiler and VirtualWires(TM) technology to enable easy memory modeling; accurate modeling of asynchronous clocks; fast, fully automated partitioning and compilation; 100% visibility of internal and external signals; and scalable capacity at a lower cost per gate with each successive generation of the emulator to stay ahead of designers` expanding needs for hardware development and software and system validation.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s Website at http://www.verisity.com.

About IKOS Systems

IKOS Systems, Inc. (Nasdaq:IKOS - news) is a technology leader in high-performance, hardware assisted design verification. IKOS` mission is to develop and deliver high-performance solutions that enable its customers to verify the functional correctness of their complex electronic system designs.

IKOS has direct sales operations in North America, the U.K., France, Germany, The Netherlands, Japan, and India, and a distribution network throughout Asia-Pacific. The corporate headquarters is located at 79 Great Oaks Blvd., San Jose, Calif., 95119, [phone]. For more information, visit IKOS` Website at http://www.ikos.com.

Note to Editors: IKOS, NSIM, VStation, Transaction Interface Portal (TIP), VirtuaLogic, and VirtualWires are trademarks of IKOS Systems, Inc. Verisity is a registered trademark of Verisity Design, Inc. eVC, eCelerator, and Specman Elite are trademarks of Verisity Design, Inc. All other trademarks are the property of their respected owners.



--------------------------------------------------------------------------------
Contact:

Verisity Ltd.
Jennifer Bilsey, 650/934-6823
[e-mail]
or
IKOS Systems, Inc.
Linda Prowse-Fosler, 408/361-9667

[Chipdesign]

Verisity and CyberTec Meet the Demand for Verification Reuse
CyberTec Offers AMBA APB and PowerPC MPC8xx eVCs Developed Exclusively for Verisity`s Specman Elite
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 3, 2002--Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation, and CyberTec today announced the availability of an AMBA APB and PowerPC MPC8xx eVCs(TM) (e Verification Components) developed through Verisity`s Verification Alliance Program(TM). eVCs are reusable plug-and-play verification components for standard interfaces based on Verisity`s high-level verification language, e. The APB eVC from CyberTec contains all of the verification components for the AMBA APB (Advanced Peripheral Bus) portion of an ARM based SOC design and dramatically cuts the time it takes to create the system`s verification environment. The AMBA APB eVC can be used in conjunction with the ARM AHB eVC offered by Verisity. The PowerPC MPC8xx eVC can be configured as multiple masters, slaves and protocol checkers for designs incorporating the PowerPC 8xx series processors, such as MPC823, MPC850 or MPC860.

``We are delighted to see CyberTec leveraging their extensive experience in ARM and PowerPC based SOC verification using Specman Elite(TM). The addition of these two new eVCs will offer our customer base valuable verification IP to ramp up their verification environments and hit those interface bugs quicker,`` said Dave Tokic, director of strategic marketing for Verisity.

``We have completed many embedded processor projects which utilize ARM cores and system level verification using the MPC8xx PowerPC family,`` said Hiroshi Nonoshita, director of Engineering for CyberTec. ``It seemed natural for us to leverage our Specman Elite and CPU core knowledge to develop these reusable verification environments. In addition to having interfaces to Verilog and VHDL simulators, all of our eVCs have been verified with SystemC using Specman Elite as the verification engine.``

About AMBA APB eVC

The AMBA APB eVC is a configurable e verification environment suitable for any device-under-test (DUT) that contains an APB bus. The APB eVC includes APB master and slave bus functional models, which can emulate master and slave behavior. The APB eVC supports the generation and injection of bus traffic as a master. The APB eVC also includes bus protocol checker and coverage collection of bus traffic. This APB eVC can be used for a single APB device (master and slave) and/or a system-level APB environment with several APB devices.

The APB eVC is available immediately on all platforms supported by Verisity`s Specman Elite.

About PowerPC MPC8xx eVC

The PowerPC MPC8xx eVC is a configurable e verification environment suitable for any device-under-test (DUT) that contains a PowerPC 8xx bus interface. The MPC8xx eVC includes MPC8xx master and slave bus functional models, which can emulate master and slave behavior. The MPC8xx eVC supports the generation and injection of bus traffic as a master with arbitration for multi-master systems. The MPC8xx eVC also includes bus protocol checker and coverage collection of bus traffic. This MPC8xx eVC can be used for a single MPC8xx device (master and slave) and/or a system-level MPC8xx environment with several MPC8xx devices.

The MPC8xx eVC is available immediately on all platforms supported by Verisity`s Specman Elite.

About CyberTec

CyberTec International Inc., provides verification methodology and consulting services exclusively based on Verisity`s Specman Elite. Areas of expertise include SOC, networking and telecommunications verification with detailed knowledge of processors such as ARM, PowerPC and standards such as the AMBA Bus, I2C, Infiniband and RapidIO.

For more information, see our website at http://www.cybertec-int.com.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. eVC, Verification Alliance and Specman Elite are trademarks of Verisity Design. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

CyberTec International Inc.
John Rochfort, 408/445-2616
[e-mail]
or
Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]

[Chipdesign]

Verisity Adds 80th Member to Its Verification Alliance Program
Verification Alliance Program Yields 30 eVCs
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 22, 2002--Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation software tools, today announced Obsidian Software is the 80th consulting firm to join Verisity`s Verification Alliance(TM) program. Verisity`s Verification Alliance program was established in April of 2000 to link Verisity with leading industry consulting firms to provide customers with verification engineering resources and expertise based on Verisity`s products, including Specman Elite(TM), the market-leading testbench automation solution. Overwhelming demand for leading-edge functional verification solutions has spurred consulting firms such as Obsidian Software to join Verisity`s program and base their services on Verisity`s tools and methodology.

In addition to providing consulting and training, Verification Alliance members also develop and distribute e Verification Components (eVCs(TM)). eVCs are reusable plug-and-play verification components for standard interfaces based on Verisity`s high-level verification language, e. There are 26 eVCs currently available from Verisity and its Verification Alliance partners with another four to be delivered in the next quarter.

``We are proud to be members of Verisity`s Alliance Partner Program,`` said Eric Hennenhoefer, president and chief executive officer of Obsidian Software. ``Specman Elite and SureCov(TM) are required in any robust SoC verification strategy. Verisity`s tools allow us to build a thorough verification environment giving us the feedback necessary to know when we have hit those difficult corner cases.``

In 1997, Obsidian® Software began with the goal of solving challenging processor verification problems. As a result, the RAVEN® verification tool was developed. Using an extensible software architecture, RAVEN is able to support multiple processors using the same code base. RAVEN is a full custom tool supporting proprietary architectures, and solving customer specific process issues. Blackbird is an off-the-shelf version of RAVEN supporting the MIPS32® and MIPS64® soft cores. As Obsidian grew, it expanded into SoC verification and verification outsourcing. The need for transactional random test generators and coverage tools became apparent. Verisity`s tools are a key component in Obsidian SoC verification strategy. Today, Obsidian is a supplier of verification tools and verification outsourcing to leading semiconductor companies.

``The verification community is growing rapidly around Verisity because only Verisity can provide the technology, methodology, infrastructure and reusable components to ensure the highest quality silicon on time,`` said Moshe Gavrielov, chief executive officer for Verisity. ``The overwhelming interest from the consulting community to join Verisity`s Verification Alliance program is a testament to our success, as well as our customers` success. The sheer number of eVCs being offered by our Verification Alliance partners provides just another means for customers to speed their verification process without sacrificing quality.``

e Verification Components

eVCs foster verification reuse because they can easily be moved from the module-level verification to SoC-level verification, as well as from one chip design to another. Users can drop them into their designs and drastically cut the time it takes to create a verification environment.

``Verisity`s Specman Elite and eVCs have been a major component of our verification process,`` said Ari Cohen, vice president of Hardware Engineering and Operations for Silverback Systems. ``We are using multiple eVCs from different Verification Alliance partners as well as Verisity because they give us a fast path to verification. The powerful combination of Specman Elite and eVCs has given us extraordinary capabilities to expedite our verification tasks and turn out high quality designs.``

Each eVC includes three integrated components: a stimuli generator for injecting and generating traffic, monitors and checkers for viewing outputs and checking protocol rules, and coverage reports showing the functional coverage of scenarios. They can be used in a variety of design applications and are available for a wide array of industry standards.

``One of the biggest challenges our customers face is the verification of their complex designs,`` said Parag Mehta, vice president of Business Development, eInfochips. ``Specman Elite together with eVCs deliver the most powerful solution offered in the market today. Working with Verisity through the Verification Alliance Program we enable our customers to get through the verification bottleneck much quicker by leveraging our expertise, eVCs and Verisity`s tools.``

``Through the Verification Alliance Program, Verisity addresses the demands of customers for consulting expertise and eVCs,`` said Bob Ionta, director of verification for Paradigm Works, Inc. of Andover, MA. ``Specman Elite and eVCs are providing Paradigm Works and our customers great advantages in the quality and time-to-market of their ASIC and FPGA based products.``

``CyberTec is a charter member of the Verification Alliance program and has been providing customers with verification consulting services based on Verisity`s tools for quite a while now,`` said John Rochfort, president, CyberTec. ``Our customers face very demanding verification challenges and we can provide an unparalleled solution with Specman Elite and our eVCs.``


eVCs Currently Available

AHB RapidIO
APB SDH
ARM v4T ISA SGMII
CAN (Controller Area Network) 2.0B SONET
DS3 SPI 4
Ethernet SPI 4.2
FiberChannel SPI-3 Link Layer
Gigabit Ethernet UART
GMII USB
HDLC Utopia Level 1
I(2)C Utopia Level 2
PCI Utopia Level 4
PCIX
PowerPC

eVCs Under Development

CSIX Q2`02 XGMII Q2`02
InfiniBand Q2`02 Bluetooth Q3`02


You can find out more information on our website at www.verisity.com and customers may access the eVC store in Verisity`s Verification Vault at https://www.VerificationVault.com.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. eVC, Specman Elite, SureCov and Verification Alliance are trademarks of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc., Mountain View
Jennifer Bilsey, 650/934-6823
[e-mail]

[Chipdesign]

Sonics Joins Verisity`s Pure IP Program
Sonics Delivers OCP Compliance Solution for SOC Designers
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 22, 2002--Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation, and Sonics, Inc. today announced that Sonics has joined Verisity`s Pure IP(TM) program to provide their customers a compliance solution based on the industry standard Open Core Protocol(TM) (OCP) managed by the OCP-IP consortium. As a user of Verisity`s Specman Elite(TM) product and member of the Pure IP program, Sonics can develop and deliver robust OCP compliance toolkits, written in the defacto standard e verification language, to enable customers to ensure their intellectual property (IP) cores are compliant to the OCP protocol, and prepared for plug-and-play SOC integration using Sonics` smart interconnect IP, the SiliconBackplane(TM) MicroNetwork and Sonics` memory scheduler MemMax(TM).

``Sonics is committed to supporting bus-independent IP core interfaces that enable reuse without rework,`` said Dave Lautzenheiser, vice president of marketing at Sonics, Inc. ``Our smart SOC interconnect IP automatically creates appropriate integration interfaces for any IP core interfaced with the specification from OCP-IP. Mutual success with our customers therefore depends on a properly verified OCP implementation. This relationship allows us to leverage Verisity`s leading verification technology and methodologies to deliver a solution that improves our customers` OCP compliance verification, ensuring they maximize the benefits of smart interconnect.``

The OCP-IP organization delivers the first openly licensed, core-centric protocol that comprehensively fulfills system-level integration requirements for semiconductor IP. The OCP`s configurable interface includes all of the signals required to describe IP core communication including data flow, control, and verification and test signals. Using this specification to format an IP core`s on-chip signals ensures independence from limitations imposed by specific bus protocols, yet enables a simple bridging of a core`s full capability to suit a particular bus protocol, or as in Sonics case, for the interconnect to automatically adapt to the core`s signals.

``Sonics directly addresses the issue of `plug-and-play` SOC design with their innovative technologies and we are pleased to enable them to ensure OCP compliance, facilitating reuse and improved time-to-market,`` said Dave Tokic, director of strategic marketing at Verisity. ``Our relationship with Sonics provides customers with a powerful verification capability and represents a key endorsement of our technology and the e verification language.``

Through Pure IP, Sonics can offer compliance toolkits written in the e verification language to their customers to ensure their IP cores are compliant to the OCP standard and ready to be immediately integrated into an SOC using their smart interconnect IP. The toolkit will facilitate OCP protocol checking, signal and data traffic generation, and functional coverage analysis leveraging Sonics` existing OCP verification environments that also package all views of a core as a virtual component.

The Pure IP Program

Verisity`s Pure IP program eases the development, delivery and integration of IP. The program enables IP developers to thoroughly verify their IP prior to delivery, then package and transfer their knowledge of the IP and integration rules in an executable form through verification toolkits. Customers using the toolkits can automatically check for correctness of the integration and measure the interface coverage between the IP and the system.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, Calif. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

About Sonics

Sonics, Inc., the premier developer of MicroNetworks for ``plug and play`` integration of semiconductor intellectual property (IP) cores into system-on-chip (SOC) designs, is a privately held company in Mountain View, Calif. A Sonics MicroNetwork manages all communications between SOC subsystems, guarantees end-to-end performance, and ensures real-time quality of service. MicroNetwork technology enables flexible, platform-based SOC design through a robust development environment that uses an open standard core interface, the Open Core Protocol (OCP). Major semiconductor and systems companies have adopted Sonics` technology for SOC applications in the communications, networking and multimedia markets. For more information, see http://www.sonicsinc.com.

Verisity is a registered trademark of Verisity Design, Inc. Pure IP and Specman Elite are trademarks of Verisity Design, Inc. Sonics and SIliconBackplane are registered trademarks of Sonics Inc., OCP is a trademark of OCP-IP. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]
or
Sonics, Inc.
Ed Smith, 650/938-2500 ext. 126
[e-mail]

[Chipdesign]

Verisity Announces Record Revenue and EPS for First Quarter Fiscal 2002
Net Income of $2.2 Million Grew 19% Sequentially
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 22, 2002--Verisity Ltd. (Nasdaq:VRST - news), a leading provider of functional verification automation software tools, today announced financial results for the first fiscal quarter ended March 31, 2002. Revenue for the quarter was $11.5 million, a 34% increase from revenue of $8.5 million for the first quarter ended March 31, 2001, and a 1.0% increase from revenue of $11.4 million for the fourth quarter ended December 30, 2001.

The Company`s net income under generally accepted accounting principles (GAAP) for the quarter ended March 31, 2002 was $2.2 million, or $0.11 per diluted share, compared to a net income of $530,000, or $0.03 per diluted share, for the quarter ended March 31, 2001 and net income of $1.9 million, or $0.09 per diluted share, for the quarter ended December 31, 2001.

Excluding stock-based compensation expense, pro forma net income was $2.4 million, or $0.11 per diluted share, for the first quarter of 2002, compared to a pro forma net income of $696,000 for the first quarter 2001, or a pro forma net income of $0.04 per diluted share, and pro forma net income of $2.2 million for the fourth quarter 2001, or $0.10 per diluted share.

``Despite the uncertain economic environment, we were able to report record revenues and earnings, demonstrating once again the significant benefit that our verification tools provide to our customers. Net income for first quarter of 2002 rose 19% sequentially, and, on a pro-forma basis, by 11%, marking our seventh consecutive quarter of increased pro-forma profitability,`` said Moshe Gavrielov, Chief Executive Officer of Verisity.

``The demand for functional verification tools continues as electronic devices become more complex. In order to stay ahead of the competition, our customers need to add new capabilities to their products to ensure that high quality products are released to the market on time,`` added Gavrielov. ``As a result of using our solutions to detect design flaws, our customers are reducing the amount of time verifying their designs, where, by many estimates, they spend over 60% of the overall design cycle.``

Verisity`s earnings call will be webcast today at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com through May 3, 2002. The Company plans to include a business outlook in the conference call.

About Verisity

Verisity is a leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. Words such as ``anticipate,`` ``estimate,`` ``expects,`` ``projects,`` ``intends,`` ``plans,`` ``believes`` and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.

-0-


VERISITY LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

Three Months Ended March 31,
2002 2001
----------- -----------
(unaudited)
Revenue:
License $ 6,685 $ 5,839
Maintenance 4,214 2,064
Other Services 580 643
----------- -----------
Total revenue 11,479 8,546
----------- -----------
Total cost of revenue 768 952
----------- -----------
Gross profit 10,711 7,594

Operating expenses:
Research and development 2,288 2,125
Sales and marketing 4,719 3,963
General and administrative 1,219 1,036
Stock-based compensation 149 166
----------- ------------
Total operating expenses 8,375 7,290
----------- ------------
Income from operations 2,336 304
Other income, net 208 255
----------- ------------
Income before income taxes 2,544 559

Provision for income taxes 305 29
------------ ------------
Net income $ 2,239 $ 530
============ ============
Basic earnings per share:
Basic net income
per ordinary share $ 0.12 $ 0.06
============ ============
Shares used in per
share calculation 18,576 8,457
============ ============
Diluted earnings per share:
Diluted net income
per ordinary share $ 0.11 $ 0.03
============ ============
Shares used in per
share calculation 21,217 16,508
============ ============
Pro forma earnings per share: (1)
Pro forma net income $ 2,388 $ 696
============ ============
Diluted pro forma net income
per ordinary share $ 0.11 $ 0.04
============ ============
Shares used in pro forma
per share calculation 21,217 16,508
============ ============

(1) Pro forma net income excludes the impact of stock-based
compensation charges.


VERISITY LTD.
CONSOLIDATED BALANCE SHEETS
(in thousands)

March 31, December 31,
2002 2001 (1)
---------- ----------
(Unaudited)
Assets:
Current assets:
Cash and cash equivalents $ 61,237 $ 58,488
Accounts receivable 7,874 8,498
Other current assets 2,656 2,511
--------- ---------
Total current assets 71,767 69,497
Property and equipment, net 2,128 2,112
Other assets 250 229
--------- ---------
Total assets $ 74,145 $ 71,838
========= =========

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $ 7,262 $ 8,024
Deferred revenue 26,616 26,694
Current portion of long-term debt 9 9
--------- ---------
Total current liabilities 33,887 34,727
Long-term liabilities 207 197
Long-term portion of deferred revenue 2,477 2,397
Shareholders` equity:
Share Capital 52,647 51,829
Accumulated deficit (15,073) (17,312)
--------- ---------
Total shareholders` equity 37,574 34,517
--------- ---------
Total liabilities and
shareholders` equity $ 74,145 $ 71,838
========== =========

(1) Derived from audited financial statements as at December 31, 2001.



--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Charlie Alvarez, 650/934-6800 (Investor Relations)
[e-mail]
Jennifer Bilsey, 650/934-6800 (Media Relations)
[e-mail]

[Chipdesign]

Europe Technologies Selects Verisity`s e Verification Language For IP Verification
Europe Technologies Selects Market-Proven Verification Language
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--May 6, 2002--Europe Technologies (ET) and Verisity, Ltd. (Nasdaq:VRST - news), the leading provider of functional verification automation tools, today announced that ET has selected Verisity`s e verification language and the Specman Elite(TM) testbench automation tool for intellectual property (IP) reuse. ET is a fabless company in France that is developing System-On-Chip products for the consumer, automotive and industrial markets. ET selected the e language for protocol verification of IP compliance to standard protocols like USB, Ethernet and the AMBA bus.

"We have chosen Verisity`s e verification language for the verification language on which next generation IP will be based," said Pascal Jullien, IC design manager for Europe Technologies. "We chose e after careful evaluation of several offerings, and e was the best fit for ET`s requirements. We are pleased to have Verisity and the e language as an important part of our development."

ET will use the e language and Verisity`s Specman Elite to verify and debug all new IPs developed by ET in order to improve the design quality of ET products. As ET IPs are used for several applications, and so by several customers, it`s crucial for ET to completely validate all functions attached to an IP, especially corner cases. This makes them easily reusable and exchangeable among ET engineers and partners. In addition, as time-to-market is a critical factor in the ET competitive environment, the development time of new IP is a key success factor, and a major reason ET has chosen Verisity`s Specman Elite.

"IP reuse is a high priority in ET`s strategy. Specman Elite`s market-proven methodology uniquely enables verification reuse to give engineers higher quality products in less time," said Michel Telera, area director for Southern Europe for Verisity. "The introduction of Specman Elite in ET`s design flow is an important step in their strategy of building reusable IPs."

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. Verisity`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

About ET

Europe Technologies is a fables company with headquarters in Sophia Antipolis, South France Cote d`azur, providing ARM based System-On-Chip (SoC) products.

Europe Technologies key differentiating factors are its easy SoC design methodology and its Fast Configurable Microchip platform, which decreases drastically the cost and time required for the development of electronic systems based on SoC by allowing customers to integrate hardware and software and validate their system just one week after the project has started while ET is still designing the chip. This methodology and FCM platform secure the system development and guarantee first pass success for the SoC development.

For more information see ET`s web site at www.europe-technologies.com

Verisity is a registered trademark and Specman Elite is a trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]

[Chipdesign]

Verisity Announces Specman Elite Version 4
Version 4 Speeds Performance and Enhances Coverage-Driven Verification
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--May 13, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading provider of functional verification automation, today announced the immediate availability of Specman Elite(TM) version 4. The latest release of Specman Elite features significantly improved performance, delivering about a 27 percent average speed improvement for compiled mode and about 15 percent for interpreted mode, enabling users to significantly shorten their verification whether using interpreted, compiled or mixed mode. In addition, Specman Elite v4 provides enhanced functional coverage analysis, including an integration with Verisity`s SureCov(TM) code coverage tool and new usability features including a generation debugger that enables users to view all aspects of the generation process.

"As designs grow ever more complex, it is crucial that verification tools keep pace," said Michael Mertz, director of product marketing for Verisity. "Specman Elite v4, with its significant performance improvements, an innovative new generation debugger and support for coverage-driven verification, continues to provide the means necessary to handle the verification of today`s most complex designs."

Specman Elite v4 provides several new coverage features that promote coverage-driven verification methodologies. New coverage features in v4 include:

Integration with SureCov -- combines SureCov`s code coverage with Specman Elite`s functional coverage capabilities, enabling engineers to measure the effectiveness of their test plan and easily identify holes in both overall coverages, as well as, holes in the testplan itself.
Coverage-per-instance -- enables users to measure and compare coverage of different instances of individual objects. This is particularly important in complex SoCs which often have multiple instances of buses, etc.
Coverage extensibility -- provides more flexibility in defining and adding to the desired coverage base, enabling easy verification reuse of the coverage data from one design to the next. This is particularly useful in customizing the functional coverage of an eVC for a particular application.
Coverage test ranking -- enables users to determine which tests give a high degree of coverage, per unit simulation time. With the new integration between Specman Elite and SureCov, this capability is available for functional, code or combined functional and code coverage.
"Our verification performance is significantly enhanced using Specman Elite v4," said Olivier Schuler, IP verification engineer for STMicroelectronics. "Verisity has also enhanced Specman Elite`s functional coverage features in v4 which makes it easier for us to obtain crucial coverage metrics for our verification efforts. Specman Elite v4 is an extremely powerful functional verification tool."

Generation Debugger

Specman Elite`s patented constraint-solving algorithms have made Specman Elite`s generator the most innovative in the industry. In v4, Verisity has created a new generation debugger to make it even easier to debug and understand how tests are being generated. The generation debugger enables users to view all aspects of the generation process and trace generation events by displaying key generation information graphically. This gives users the ability to quickly find and resolve issues that arise during generation.

Specman Elite v4 also contains many other new features including a data browser, a new memory manager and support for mixed hardware description languages (HDLs). The new data browser displays verification constructs graphically, easing navigation through the testbench data structures. The new memory manager provides robustness and fine-grain control over memory allocation during verification.

"Using the new memory manager in Specman Elite version 4 we built very memory-intensive packet generation code to generate long vectors of packets," said Greg Fife, principal verification engineer at Lucent IP Services Group in Westford, Mass. "This has made Specman Elite even better at creating datastreams that closely resemble real stimulus. In addition, we used the new data browser graphical user interface to examine data structures and list contents. These are very useful improvements in our verification flow."

Simulator Support

Specman Elite v4 supports the following simulator interfaces from Verisity: the Verilog-XL(TM) simulator and the Affirma(TM) family of simulators (NC sim, NC Verilog, and NC VHDL) from Cadence Design Systems; the SpeedSim(TM) cycle-based simulator from Quickturn (a company of Cadence Design Systems); ModelSim from Model Technology; and VCS(TM) from Synopsys. Additional interfaces are available from Verisity`s VIP(TM) program partners.

Pricing and Availability

Specman Elite v4 is available now on the Linux Operating System, Solaris and HP workstations running HP-UX. The price is $50,000 U.S. for a floating LAN license.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. Verisity`s products simplify the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, Calif. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Verisity is a registered trademark of Verisity Design, Inc. Specman Elite, SureCov and VIP are trademarks of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]

[panik]

Globetech Solutions Joins Verisity`s Verification Alliance Program
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--June 4, 2002--Globetech Solutions, the advanced technology engineering and consulting services company, and Verisity Ltd. (Nasdaq:VRST - News), leading provider of functional verification automation, today announced that Globetech Solutions has joined Verisity`s Verification Alliance(TM) program. The Verification Alliance program was established to link Verisity with leading, industry consulting firms to provide customers with verification engineering resources and expertise based on Verisity`s Specman Elite(TM) testbench automation solution. Globetech has the full resources to offer consulting services on Specman Elite, and furthermore, has moved forward with the development of a series of eVCs(TM) (e Verification Components), clearly demonstrating its expertise and capabilities. eVCs are configurable, reusable, plug-and-play verification components written in Verisity`s e verification language.

"The Verification Alliance program has been tremendously successful," said Coby Hanoch, vice president and general manager of European Operations for Verisity. "The program brings us together with top-notch consulting firms to deliver more complete methodologies and technologies to our customers. Globetech Solutions` experience is a great fit."

"We have found Verisity`s Specman Elite platform to be more than a verification tool; it is a well defined methodology that encompasses significant design trends such as System-on-Chip and IP-cores," said Stylianos Diamantidis, Chairman and Chief Executive Officer of Globetech Solutions. "By becoming one of the first companies in Southern Europe to participate in Verisity`s Verification Alliance program, Globetech Solutions is once again re-affirming its commitment to strive for new technologies, methodologies and global business practices."

About Globetech Solutions

Globetech Solutions specializes in providing technology companies the engineering power to build better products quicker and more cost effectively.

With demonstrated expertise in digital design, verification, design-for-testability and system software, Globetech Solutions offers Scalable Engineering Services(TM) designed to turn ambitious projects into successful products. A growing IP portfolio, currently comprising a variety of configurable testability cores, complements these services.

In its design center in Greece, Globetech Solutions has combined Silicon Valley expertise with rich local talent to create a powerful engineering center and is currently helping key customers in the United States create exciting technology. For more information, visit Globetech Solutions at www.globetechsolutions.com.

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. The Company`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]
or
Globetech Solutions
Ann Germany, ++30 310 313 553
[e-mail]

[panik]

IDT Selects eInfochips` PCI-X eVC
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--June 10, 2002--eInfochips and Verisity Ltd. (Nasdaq:VRST - News), the leading provider of functional verification automation tools, today announced that IDT (Integrated Device Technology, Inc.(Nasdaq:IDTI - News)) has selected eInfochips` PCI-X e Verification Component (eVC(TM)) to be used in their Specman Elite(TM) verification environment. eVCs are reusable plug-and-play verification components for standard interfaces based on Verisity`s high-level verification language, e. IDT chose the PCI-X eVC to cut the time it takes to create their verification environment and ensure a higher-quality design.

eInfochips developed the PCI-X eVC through Verisity`s Verification Alliance(TM) program. eInfochips Inc., is at the forefront in advanced verification methodologies and has developed several eVCs using Specman Elite to reduce the time it takes to create verification infrastructure and automated testbench environments. Thus eInfochips supports Verisity`s verification reuse strategy for improving productivity.

"With the use of eInfochips` PCI-X eVC in our verification environment and the support of their team, which has assisted in generating test cases to debug the RTL, we have been able to rapidly address the verification bottleneck," said John Mick, vice president of engineering and general manager for IDT`s Dallas Design Center. "Test suites accompanying the eVC have helped in identifying corner cases and in reaching a greater verilog coverage. Within weeks of adopting the eVC into our environment, we have reduced nearly 100 percent of our verification effort for the PCI-X portion of our design and have a powerful advantage of getting to market faster with a high-quality design."

"The Verification Alliance program has been a great resource for both additional consulting services and eVCs," said Dave Tokic, director of strategic marketing for Verisity. "eInfochips` eVC for PCI-X is a very important piece of the verification environment for any design containing the PCI-X standard."

"eInfochips` eVCs leverage the power of Specman Elite and superior verification methodologies to accelerate the development of complete verification suites and aid verification engineers in quickly building the overall verification environment. Our expert services on Specman Elite`s methodology enable our customers to come up with complex testbench solutions in the fastest possible time," said Niraj Patel, Head, ASIC division at eInfochips, Inc.

About PCI-X eVC

The eInfochips PCI-X eVC is a ready-made highly configurable e verification component suitable for any DUT that interfaces with a PCI-X bus. It is easy to configure and integrate with your ASIC. The eInfochips PCI-X eVC is the set of the behavioral models and test suites written in e language. The models are tools for system designers to exercise and debug the design of components/ systems based on PCI-X standard. The objective of the eVC is to aid in the functional verification process and to reduce errors prior to silicon.

The environment includes models of PCI-X master and target devices, a PCI-X arbiter to control bus access, a protocol and timing monitor to check for and report protocol violation and functional coverage analysis. In addition to this, it also includes a full suite of compliance test scenarios that verify compliance to PCI-X and PCI 2.2 specification.

For more information please visit our website at http://www.einfochips.com.

e Verification Components

eVCs foster verification reuse because they can easily be moved from the module-level verification to SoC-level verification, as well as from one chip design to another. Users can drop them into their designs and drastically cut the time it takes to create a verification environment.

Each eVC includes three integrated components: a stimuli generator for injecting and generating traffic, monitors and checkers for viewing outputs and checking protocol rules, and coverage reports showing the functional coverage of scenarios. They can be used in a variety of design applications and are available for a wide array of industry standards.

For a complete listing of eVCs available please visit our web site at http://www.verisity.com/products/evc.html. Customers can log into the eVC Store in the Verification Vault https://www.verificationvault.com.

About IDT

IDT enhances the global network with semiconductor solutions for communications companies that lead innovation and drive convergence in voice, data and wireless networks. IDT is focused on enhancing system bandwidth with communications-specific products including integrated communications processors, IP co-processors and telecom products. The portfolio is also comprised of key support products optimized for communications applications, including the industry`s broadest selection of FIFOs, multi-ports, and clock management products. In addition, the product mix includes high-performance digital logic and high-speed SRAMs to meet the requirements of leading communications companies.

Headquartered in Santa Clara, Calif., the company employs approximately 3,700 people worldwide and has manufacturing facilities in California and Oregon, and test and assembly facilities in the Philippines and Malaysia. IDT stock is traded on the Nasdaq Stock Market® under the symbol "IDTI." The company is included in the S&P 1000, which is a combination of the S&P MidCap 400 and S&P SmallCap 600 Indices, as well as the Nasdaq-100 Index® (NDX), which includes the largest non-financial companies on the Nasdaq Stock Market. Additional information about IDT is easily accessible at www.idt.com or on CD-ROM by calling 800/345-7015. The investor hotline is 408/654-6420.

About eInfochips

eInfochips delivers high-quality services based on Hardware Verification Languages (HVL),that enable customers to compete effectively in their target markets and to widen their client base by dramatically reducing the time-to-verify. It has a large team of engineers dedicated to reusable Verification IP design. eInfochips` expertise with HVLs, test bench automation tools and the various eVCs that they have designed help the design and verification engineers to devise verification models and methodologies, with highest efficiency in the shortest time.

The engineering teams in India as well as in USA have considerable amount of experience at designing and verifying complex ASICs, IP/Cores, System-on-Chip and custom ICs, vast exposure to EDA tools & HVL based verification methodologies and also possess comprehensive knowledge of seeing a chip all the way through to tape-out.

eInfochips has chosen the route of partnership with cutting edge technology companies to meet the ever-emerging needs of customer for the design and verification services. For more information on eInfochips visit http://www.einfochips.com or write to us at [e-mail]

About Verisity

Verisity is the leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, Calif. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. eVC, Specman Elite and Verification Alliance are trademarks of Verisity Design, Inc. All other trademarks are the property of their respective holders. All other trademarks are the property of their respective owners.



--------------------------------------------------------------------------------
Contact:

Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]

[panik]

Verisity`s University Program Gains Momentum On Campuses Worldwide
Rapid Proliferation of Program Further Establishes Verisity as Verification Leader
Monday October 14, 11:01 am ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Oct. 14, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced the significant expansion of its University Program with 16 new universities joining in less than a year, bringing the total number of participating academic institutions to 27. Commenced in December 2001 with eleven charter members, the program enables students to gain valuable experience with best-in-class verification solutions, and better prepares the next generation of verification engineers for real-world experiences. As functional verification becomes an increasingly critical part of the overall design process, Verisity`s University Program is supplying universities with the latest in market-proven technology. The 16 new program members are: Bournemouth University, Poole, England; Concordia University, Quebec, Canada; De Montfort University, Leicester, England; Faculty of Electrical Engineering and Computing, Zagreb, Croatia; George Mason University, Fairfax, Virginia; Michigan State University, East Lansing, Michigan; North Carolina State University, Raleigh, North Carolina; Pennsylvania State University, University Park, Pennsylvania; Polytechnic University, Brooklyn, New York; Politecnico di Torino, Torino, Italy; State University of New York at New Paltz, New York; Syracuse University, Syracuse, New York; Transilvania University, Brasov, Romania; University of Bristol, Bristol, England; University of Pittsburgh, Pittsburgh, Pennsylvania; Washington University, St. Louis, Missouri.
ADVERTISEMENT


Verisity`s University Program was designed to support universities in their verification-related education and research. The program unites Verisity with universities all over the world by providing access to the most advanced verification technologies and methodologies. University members receive free access to Verisity`s functional verification solutions, including the e verification language, Specman Elite(TM) testbench automation and SureCov(TM) code coverage, as well as support for ongoing research projects.

"With Specman Elite quickly becoming the verification engine of choice for engineers worldwide, and e well on its way to becoming the verification language standard, it`s imperative we get these solutions into the hands of students so they are prepared to address industry issues now and in the future," said Yaron Kashai, vice president of research and strategic technologies, Verisity Design. "The industry`s support of the program has been overwhelming due to critical need for well-trained students. University Program members are laying a strong foundation for students by incorporating Verisity tools and methodologies into their curriculum, as well as advanced research projects."

"The growing shortage of verification engineers presents a critical problem for the microelectronics industry," said Dr. Nazanin Mansouri, assistant professor at Syracuse University. "The absence of functional verification from the computer engineering curriculums at most universities, as well as the unavailability of state-of-the-art verification tools to students, has fostered this shortage. We believe that the solution of such deficiencies in microelectronics education relies on close partnership between universities and industry. As an example, at Syracuse University we have been able to develop a course on testing and verification through collaboration with industry. The use of Specman Elite gives students the opportunity to experiment with real designs, using an industrial-scale verification tool."

Verisity Solutions Proliferate in Classrooms Worldwide

The increasing demand for Verisity solutions by universities is accredited, in part, to the company`s reputation as the verification technology leader. Universities are looking for leading tools by which to train their student population; and companies are looking for a substantial pool of well-trained student and graduate resources by which to hire from and conduct research. The universities in the program are using Verisity`s solutions for a range of projects including, e-based tool research and development, student research projects in verifying complex designs, cooperative research with commercial companies, course laboratories, and tool and methodology instruction. Any educational institution with research programs focusing on innovative verification techniques, formal methods, language semantics and high-level specifications, or research projects involving complex verification tasks may join the program.

Many universities are using Verisity tools to introduce functional verification concepts to their undergraduate students, while others are developing courses based on the e verification language for senior-level and graduate students.

"Students are the future verification engineers," states Vijaykrishnan Narayanan, professor at Pennsylvania State University. "Hence, it is vital that they be exposed not only to concepts but also industrial-strength tools if they are to be productive in the real world. In fact, we started a course due to industry feedback that students were better trained for design jobs as opposed to verification tasks."

Other program members are using Verisity tools for research projects in cooperation with commercial companies.

"Our research policy is mainly based on mutual benefit between academia and industry," said Sofiene Tahar, associate professor at Concordia University in Canada. "Specman Elite is no doubt one of the best testbench generators in the market. Its cutting-edge technology is very promising for our on-going SoC verification endeavors."

Professors and Students Give University Program High Marks

Access to the e verification language and Verisity`s industry-leading tools is proving to be invaluable to students and teachers alike.

At the University of Pittsburgh, professors teach courses in the verification of digital systems using VHDL, Verisity, Model Technology and IBM`s Rulebase for seniors and first year graduate students. "We teach Specman Elite to students who have had previous experience writing vector files by hand, and testbenches in VHDL," said Steven Levitan, assistant professor at the University of Pittsburgh. "Once they `get it` they`re hooked."

"With Specman Elite, I`m able to do things that I didn`t think possible in a verification environment," said Jixiong Yang, student at State University of New York at New Paltz. "My classroom experience is preparing me for situations I will surely encounter in the commercial industry, and my knowledge of Specman Elite and the e verification language will make me significantly ahead of the learning curve when I graduate."

For more information regarding the University Program and a complete listing of participating universities, please go to: http://www.verisity.com/programs/university/index.html

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company delivers mission critical software, technologies, and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in every technology sector. Verisity is a global organization headquartered in California with offices throughout Asia, Europe, Israel, and North America. For more information, visit www.verisity.com.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. Specman Elite and SureCov are trademarks of Verisity Design, Inc. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[panik]

Verisity Announces Record Revenue and EPS for Third Quarter Fiscal 2002
Thursday October 17, 4:16 pm ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Oct. 17, 2002--Verisity (Nasdaq:VRST - News)
-- Sequentially, Net Income Grew 20% on Revenue Growth of 12%
-- Generated $6.5 Million in Cash from Operations

Verisity Ltd. (Nasdaq:VRST - News), a leading provider of functional verification automation software tools, today announced financial results for the third fiscal quarter ended September 30, 2002. Revenue for the quarter was $14 million, a 43% increase from revenue of $9.8 million for the third quarter ended September 30, 2001, and a 12% increase from revenue of $12.5 million for the second quarter ended June 30, 2002.

The Company`s net income under generally accepted accounting principles (GAAP) for the quarter ended September 30, 2002 was $3.9 million, or $0.18 per diluted share, compared to a net income of $1.3 million, or $0.06 per diluted share, for the quarter ended September 30, 2001 and net income of $3.2 million, or $0.15 per diluted share, for the quarter ended June 30, 2002. Stock based compensation charges were not material therefore pro forma and GAAP net income were not materially different in the period.

Revenue for the nine months ended September 30, 2002, was $37.9 million, a 39% increase from revenue of $27.4 million for the nine months ended September 30, 2001. For the nine months ended September 30, 2002, the Company`s net income was $9.3 million, or $0.44 per diluted share, compared to a net income of $2.8 million, or $0.15 per diluted share, for the nine months ended September 30, 2001.

"Our market position as a leading supplier of functional verification software tools has once again driven our strong financial performance," said Moshe Gavrielov, Chief Executive Officer of Verisity. "Although our customers are still facing a challenging environment, they continue to purchase research and development tools that are essential to providing competitive products to the marketplace.

"Our success is not only driven by our robust product offerings in detecting design flaws, but we provide methodology and expertise that help our customers verify their systems and ICs designs," added Gavrielov. "To extend our reach, we recently announced our e Reuse Methodology (eRM) which provides comprehensive guidelines for e Verification Component (eVC) development, increasing productivity and ensuring interoperability for all e Verification Components. We will continue to invest in broadening our industry support and channels through partnerships focused on verification consultants, EDA tool providers, IP companies, and educational institutions to create additional infrastructure to service our customers."

Verisity`s earnings call will be webcast today at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com through November 5, 2002. The Company plans to include a business outlook in the conference call.

About Verisity

Verisity is a leading provider of proprietary technologies and software products used to efficiently verify designs of electronic systems and complex integrated circuits that are essential to the communications and other high growth segments of the electronics industry. Verisity`s products automate the process of detecting flaws in these designs, enabling customers to deliver higher quality products, accelerate time-to-market and reduce overall product development costs.

Verisity Design, Inc.`s principal executive offices are located in Mountain View, CA. The Company`s principal research and development offices are located in Rosh Ha`ain, Israel. For more information, see Verisity`s web site at www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. Words such as "anticipate," "estimate," "expects," "projects," "intends," "plans," "believes" and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. In particular, the company`s ability to broaden industry support and channels is subject to a variety of internal and external factors. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: Verisity is a registered trademark of Verisity Design, Inc. All other trademarks are the property of their respective holders.

VERISITY LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)


Three Months Ended Nine Months Ended
September 30, September 30,
2002 2001 2002 2001
------- ------- ------- --------
(unaudited) (unaudited)

Revenue:
License $ 8,939 $ 6,525 $23,629 $17,918
Maintenance 4,664 2,956 13,046 7,903
Other Services 351 308 1,249 1,539
------- ------- ------- -------
Total revenue 13,954 9,789 37,924 27,360
------- ------- ------- -------
Total cost of revenue 754 883 2,197 2,773
------- ------- ------- -------
Gross profit 13,200 8,906 35,727 24,587

Operating expenses:
Research and development 2,291 2,216 6,724 6,392
Sales and marketing 5,275 4,352 14,683 12,198
General and administrative 1,487 1,306 4,168 3,661
Stock-based compensation (1) 34 110 243 492
------- ------- ------- -------
Total operating expenses 9,087 7,984 25,818 22,743
------- ------- ------- -------
Income from operations 4,113 922 9,909 1,844
Other income, net 274 409 688 1,130
------- ------- ------- -------
Income before income taxes 4,387 1,331 10,597 2,974

Provision for income taxes 527 66 1,272 151
------- ------- ------- -------
Net income $ 3,860 $ 1,265 $ 9,325 $ 2,823
======= ======= ======= =======
Basic earnings per share:
Basic net income
per ordinary share $ 0.20 $ 0.07 $ 0.50 $ 0.20
======= ======= ======= =======
Shares used in per
share calculation 18,983 17,563 18,798 14,424
======= ======= ======= =======
Diluted earnings per share:
Diluted net income
per ordinary share $ 0.18 $ 0.06 $ 0.44 $ 0.15
======= ======= ======= =======
Shares used in per
share calculation 21,102 20,668 21,205 19,294
======= ======= ======= =======
Pro forma earnings per share1)
Pro forma net income $ 3,894 $ 1,375 $ 9,568 $ 3,315
======= ======= ======= =======
Diluted pro forma net income
per ordinary share $ 0.18 $ 0.07 $ 0.45 $ 0.17
======= ======= ======= =======
Shares used in pro forma
per share calculation 21,102 20,668 21,205 19,294
======= ======= ======= =======

(1) Pro forma net income excludes the impact of stock-based
compensation charges.




VERISITY LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

September 30, December 31,
2002 2001 (1)
---------- ------------
(Unaudited)
Assets:
Current assets:
Cash and cash equivalents $ 71,119 $ 58,488
Accounts receivable 12,523 8,498
Other current assets 2,674 2,511
-------- --------
Total current assets 86,316 69,497
Property and equipment, net 2,185 2,112
Other assets 219 229
-------- --------
Total assets $ 88,720 $ 71,838
======== ========

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $ 9,933 $ 8,024
Deferred revenue 24,989 26,694
Current portion of long-term debt 9 9
-------- --------
Total current liabilities 34,931 34,727
Long-term liabilities 162 197
Long-term portion of deferred revenue 7,712 2,397
Shareholders` equity:
Share Capital 53,902 51,829
Accumulated deficit (7,987) (17,312)
-------- --------
Total shareholders` equity 45,915 34,517
-------- --------
Total liabilities and
shareholders` equity $ 88,720 $ 71,838
======== ========

(1) Derived from audited financial statements as at December 31, 2001.



--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Bonnie Mott, 650/934-6800 (Investor Relations)
[e-mail]
Francine Ferguson, 650/934-6800 (Media Relations)
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Ltd.

[Allure]

[panik]

ARM Joins Verisity`s LicenseE(TM) Program
Tuesday November 12, 5:00 am ET


MOUNTAIN VIEW, Calif. and CAMBRIDGE, England, Nov. 12 /PRNewswire/ -- Verisity Ltd. (Nasdaq: VRST - News), the leading supplier of essential technology and methodology for functional verification, and ARM [(LSE: ARM - News); (Nasdaq: ARMHY - News)], the industry`s leading provider of 16/32-bit embedded RISC processor solutions, today announced that ARM has joined Verisity`s LicenseE program, with a view to opening up access to the e verification language. As a member of the LicenseE program, ARM will be a strong supporter of the drive toward e language standardization.
ADVERTISEMENT


"As the Specman Elite(TM) tool continues to proliferate within ARM and our Partner base, it is now more important than ever to make e an open language," said Jonathan Morris, systems program manager, ARM. "Our goal as members of the LicenseE program is to ensure that the e language becomes easily available to everyone."

ARM has adopted Verisity`s testbench automation solutions because of the powerful capabilities that the e language provides. ARM also distributes e verification toolkits to its customers to aid in the integration of IP and measurement of compliance with the AMBA® on-chip bus specification. As a member in the LicenseE program, ARM will receive open access to the e language and will participate in the e Steering Committee. The Steering Committee`s purpose is to drive the e language to standardization to better serve the verification market. All companies on the Steering Committee have equal say, including Verisity.

"Top industry companies are coming together through the LicenseE program in support of the e verification language," said Francine Ferguson, vice president of worldwide marketing for Verisity. "Technology leaders such as ARM are welcomed additions to the e Steering Committee and to the standardization effort."

ARM joins a prestigious list of strategic industry players supporting the e language initiative through the LicenseE program. Participating in the program are a number of Verisity customers, today including: Cisco Systems, Infineon Technologies, LSI Logic, Philips, PMC-Sierra and ST Microelectronics.

About Verisity

Verisity, Ltd. (Nasdaq: VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time-to-market. The company`s strong market presence is driven by its proven technology, methodology and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, Israel and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com .

About ARM

ARM is the industry`s leading provider of 16/32-bit embedded RISC microprocessor solutions. The company licenses its high-performance, low-cost, power-efficient RISC processors, peripherals and system-on-chip designs to leading international electronics companies. ARM also provides comprehensive support required in developing a complete system. ARM`s microprocessor cores are rapidly becoming a volume RISC standard in such markets as portable communications, hand-held computing, multimedia digital consumer and embedded solutions. More information on ARM is available at www.arm.com .

ends -
Verisity is a registered trademark of Verisity Design, Inc. LicenseE is a trademark of Verisity Design. All other trademarks are the property of their respective holders.

ARM and AMBA are registered trademarks of ARM Limited. All other brands or product names are the property of their respective holders. "ARM" is used to represent ARM Holdings plc (LSE: ARM and Nasdaq: ARMHY); its operating company ARM Limited; and the regional subsidiaries ARM INC.; ARM KK; ARM Korea Ltd.; ARM Taiwan; ARM France SAS; and ARM China.

For further information please contact: Michelle Spencer of ARM, [phone], [e-mail]; or Patrick Hall of The Townsend Agency, [phone] ext. 112, [e-mail], for ARM

Make Your Opinion Count - Click Here




--------------------------------------------------------------------------------
Source: ARM

[panik]

LSI Logic Joins Verisity`s LicenseE Program
Tuesday November 12, 11:01 am ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Nov. 12, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced that LSI Logic Corporation (NYSE:LSI - News), has joined its LicenseE(TM) program. LSI Logic is the latest in a growing number of key customers to join the LicenseE program in an effort to drive Verisity`s e verification language toward public standardization.
ADVERTISEMENT


"The LicenseE program was developed to drive the adoption and maturation of the e verification language," said Francine Ferguson, vice president of worldwide marketing for Verisity. "With industry-leading companies like LSI Logic joining the standardization effort, we are making significant progress in making what has already achieved de facto acceptance by the verification community, an open public standard. LSI Logic`s participation in the LicenseE program and e Steering Committee will be a welcome addition."

The increasing interest from customers, EDA vendors and the industry at large has created significant momentum around Verisity`s LicenseE program. As a member in the program, LSI Logic will receive open access to the e language and will participate in the e Steering Committee. The Steering Committee guides the future direction of the language to better serve the verification community and drives the standardization process to completion. All companies on the Steering Committee have equal say, including Verisity.

"We use Verisity extensively in the verification of our high-performance processor subsystems, memory controllers, and other key AMBA IP used with our broad portfolio of ARM and MIPS cores. We therefore have a substantial interest in the evolution and standardization of e," said Doug McKenney, director of processor engineering at LSI Logic. "As a member of the LicenseE program, our goal is to participate in the drive toward e language standardization so that it is open and available to everyone."

LSI Logic joins a prestigious list of strategic industry players supporting the e language initiative through the LicenseE program. Currently participating in the program are a number of Verisity customers including: ARM, Cisco Systems, Infineon Technologies, LSI Logic, PMC-Sierra, and STMicroelectronics.

About LSI Logic Corporation

LSI Logic Corporation (NYSE:LSI - News) is a leading designer and manufacturer of communications, consumer and storage semiconductors for applications that access, interconnect and store data, voice and video. In addition, the company supplies storage network solutions for the enterprise. LSI Logic is headquartered at 1551 McCarthy Boulevard, Milpitas, CA 95035, 866/574-5741 (within U.S.), 408/954-3108 (outside U.S.), http://www.lsilogic.com.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, Israel, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Note to Editors: Verisity, Specman Elite and LicenseE are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[panik]

Infineon Technologies Joins Verisity`s LicenseE Program
Tuesday November 12, 11:01 am ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Nov. 12, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced that Infineon Technologies (FSE:IFX)(NYSE:IFX - News), a leading provider of semiconductor and system solutions for applications in the wired and wireless communications markets, has joined its LicenseE(TM) program. Infineon joins the growing list of companies coming together through the LicenseE program in an effort to drive Verisity`s e language towards public standardization.
ADVERTISEMENT


"As LicenseE program members, we are committed to working with Verisity and our fellow program participants to see the e standardization process through to completion," said Pramod K Pandey, director R&D, Communication ICs at Infineon Technologies Asia Pacific, Singapore. "We look forward to serving on the Steering Committee and having an impact on the future direction of the e language. The standardization of e will benefit our company as well as the industry as a whole."

The EDA industry has seen significant momentum around the standardization of Verisity`s e language. By joining the LicenseE program, Infineon will help to accelerate that effort. LicenseE partners automatically become part of the e language Steering Committee. The Steering Committee`s purpose is to drive the e language to standardization to better serve the verification market. All companies on the Steering Committee have equal say, including Verisity.

"We are pleased at the large number of industry leaders making a strong commitment to the e language through their membership in the LicenseE program," said Francine Ferguson, vice president of worldwide marketing for Verisity. "We are committed to making our e verification language an open public standard with the support of leading companies like Infineon."

Infineon Technologies joins a prestigious list of strategic industry players supporting the e language initiative through the LicenseE program. Currently participating in the program are a number of Verisity customers including: ARM, Cisco Systems, Infineon Technologies, LSI Logic, PMC-Sierra, and STMicroelectronics.

About Infineon

Infineon Technologies AG, Munich, Germany, offers semiconductor and system solutions for applications in the wired and wireless communications markets, for security systems and smartcards, for the automotive and industrial sectors, as well as memory products. With a global presence, Infineon operates in the US from San Jose, CA, in the Asia-Pacific region from Singapore and in Japan from Tokyo. In the fiscal year 2001 (ending September), the company achieved sales of Euro 5.67 billion with about 33,800 employees worldwide. Infineon is listed on the DAX index of the Frankfurt Stock Exchange and on the New York Sock Exchange (ticker symbol: IFX). Further information is available at www.infineon.com.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, Israel, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Note to Editors: Verisity, Specman Elite and LicenseE are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[panik]

PMC-Sierra Joins Verisity`s LicenseE Program
Tuesday November 12, 11:01 am ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Nov. 12, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced that PMC-Sierra, a leading provider of high-speed broadband communications semiconductors and MIPS-based processors, has joined its LicenseE(TM) program. PMC-Sierra is the latest company to join the rapidly expanding program, adding to the growing momentum around Verisity`s e verification language.
"We have several projects in development using the e verification language," said Colin Harris, vice president of IC Technology at PMC-Sierra. "A standardized verification language will bring numerous benefits to the industry. As members of the LicenseE program and the e Steering Committee, we are hoping to accelerate the standardization effort, making the e language open and available as soon as possible."

LicenseE partners automatically become part of the e language Steering Committee. The Steering Committee`s purpose is to drive the e language to standardization and better serve the verification community. All companies on the Steering Committee have equal say, including Verisity.

"PMC-Sierra is an excellent addition to a powerful group of companies who have come together to drive the e language standardization effort," said Francine Ferguson, vice president of worldwide marketing for Verisity. "The company brings tremendous experience and is well versed in the ways of standard bodies. They`ll be an extremely valuable asset to the e standardization movement."

PMC-Sierra joins a prestigious list of strategic industry players supporting the e language initiative through the LicenseE program. Currently participating in the program are a number of Verisity customers including: ARM, Cisco Systems, Infineon Technologies, LSI Logic, PMC-Sierra, and STMicroelectronics.

About PMC-Sierra

PMC-Sierra is a leading provider of high speed broadband communications and storage semiconductors and MIPS-based processors for Enterprise, Access, Metro Optical Transport, Storage Area Networking and Wireless network equipment. The company offers worldwide technical and sales support, including a network of offices throughout North America, Europe and Asia. PMC-Sierra is included in the S&P 500 Index which consists of 500 stocks chosen for market size, liquidity, and industry group representation and in the NASDAQ-100 Index (NDX) which contains the largest non-financial companies on the NASDAQ Stock Market. The company is publicly traded on the NASDAQ Stock Market under the PMCS symbol. For more information, visit http://www.pmc-sierra.com.

About Verisity

Verisity, Ltd. (Nasdaq: VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, Israel, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Verisity, Specman Elite and LicenseE are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[panik]

Press Release Source: Novas Software, Inc.


Verisity, Novas Facilitate Standardization and Extend Debug Interoperability For Advanced Chip and System Verification
Monday December 2, 8:05 am ET
Debug Leader Novas Joins The e Standardization Effort Through The LicenseE Program, Verisity Brings More Verification Support To Novas` Harmony Program


SAN JOSE, Calif.--(BUSINESS WIRE)--Dec. 2, 2002-- Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, and Novas Software, Inc., the leader in debug systems for complex chip designs, today announced that long-standing Verisity Interoperability Partner (VIP(TM)) Novas has joined Verisity`s LicenseE(TM) program. As a member of the LicenseE program, Novas will implement support for Verisity`s defacto standard e verification language in its popular debug systems, as well as participate in the e language standardization efforts. Verisity has also announced that it will join Novas` Harmony program to further promote best-in-class verification methodologies and tool interoperability.
ADVERTISEMENT


Verifying today`s advanced integrated circuit, system-on-chip (SoC) and system designs requires an environment made up of a variety of tools. While high-level design (HDL) languages, such as Verilog and VHDL, have traditionally been used to drive verification tools, they are no longer sufficient for complex, system-level verification tasks. Verisity`s e verification language was created especially for verification and is a proven, mature format. In addition, engineers are now demanding solutions that allow them to stay in the same design and debug environment for both logic design (e.g., using an HDL), as well as, testbench development (e.g., using e).

"Novas is a long-time Verisity VIP partner and we are glad to see them furthering their commitment to Verisity and the e verification language through their membership in the LicenseE program," said Dave Tokic, director of strategic marketing for Verisity. "Enhancing the integration of Novas` Debussy® with e verification language support will provide our mutual customers with significant productivity gains during verification, and address their need for greater interoperability during design and debug."

Expanded Coverage for System Design & Testbench Debug

By joining Verisity`s LicenseE program, Novas will build on the existing data transfer integration between Specman Elite(TM) and the Debussy Knowledge-Based Debug System, and work toward providing more integrated support of the e language in conjunction with HDL-based design debug.

The cooperation between the two companies aims to provide users of Novas` debug systems including Debussy, and the new Verdi(TM) Behavior-Based Debug System, with the ability to analyze system-level testbench structures written in e for Specman Elite. This will allow designers to work at higher levels when developing test strategies for system designs, and seamlessly trace between e and HDL source code to debug designs that utilize both.

"More engineers are leveraging the capabilities of Verisity`s e verification language and methodologies to more thoroughly and efficiently verify their designs," said George Bakewell, director of technical marketing for Novas. "It is important that they can stay in the same environment to debug the design and also the testbenches they are developing. We applaud Verisity`s support for open integration, and look forward to providing our mutual customers with a much more fluid way to explore, analyze and debug their system designs."

Novas and Verisity will also work on innovative ways of utilizing the Novas Knowledge Database (KDB) and Verisity`s e language for enhanced interoperability across block, chip and system hierarchies. This is in support of Novas` previously announced technology roadmap, one component of which is expansion of its system architecture to address the need for integrated design and testbench exploration and debugging. In addition to providing a cohesive system for design and testbench debug, this approach will also leverage the ability of Novas` systems to facilitate a deeper and faster understanding of unfamiliar design elements such as third-party IP used in SoCs, an important benefit when implementing verification and design IP reuse strategies.

Interoperability Programs

Verisity`s LicenseE program was created to facilitate verification tool interoperability and standardization. Program members receive open access to the e language, including a stand-alone e parser, and participate in the e Steering Committee. The Steering Committee`s purpose is to drive the future direction of the language to better serve the verification market. All companies on the Steering Committee have equal say, including Verisity.

The Novas Harmony program consists of more than 30 complementary design tool suppliers, and underscores the company`s commitment to developing open, interoperable debug systems.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market.

The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit http://www.verisity.com.

About Novas

Novas is the pioneer of knowledge-based debug systems that reduce the functional verification costs for complex IC designs. Building upon the strength of its market-leading Debussy® Knowledge-Based Debug System, Novas` second-generation Verdi(TM) Behavior-Based Debug System further improves the efficiency of designers in the system-on-chip era with advanced design exploration and debug capabilities. These allow design teams to better understand and analyze complex or unfamiliar design behavior, and cuts by half or more the time it takes to locate, isolate and understand the root causes of design problems. There are more than 7,000 Novas systems in use today at customer sites worldwide. Novas is headquartered in San Jose, Calif. with offices in Europe, Japan and Asia-Pacific. For more information visit http://www.novas.com or send email to [e-mail]

Verisity, Specman Elite, LicenseE and VIP are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. Debussy is a registered trademark and Verdi is a trademark of Novas Software, Inc. All other trademarks or registered trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Novas Software, Inc., San Jose
Lorie Bowlby, 408/467-7871
[e-mail]
or
Public Relations for Novas:
Wired Island, Ltd.
Laurie Stanley, 510/656-0999
[e-mail]
or
Verisity Design, Ltd.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Novas Software, Inc.

[panik]

Verisity Named Leader in the Functional Verification Automation Market
Monday December 2, 11:00 am ET
Market Adoption On Fast Track as Customers Embrace Best-in-Class Technology


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Dec. 2, 2002--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, has been named the undisputed leader in the functional verification automation market according to the most recent study conducted by Gartner Dataquest. With 58% market share - nearly twice that of its nearest competitor - Verisity is the top ranked company in the Electronic System Level (ESL) Test and Verification market. Today`s news signals continued enthusiastic market adoption and brand loyalty by customers for the company`s market-proven technology and superior verification methodology.
According to the latest Gartner Dataquest EDA Market Trends report, "EDA2002: The Automation of RTL Design" (October 31, 2002), the continued expansion of the ESL market for 2001 was driven by the rapid 49.2 percent growth of the ESL test and verification segment. "This market segment is the shining star of ESL and had the fastest rate of growth," said Gary Smith, Chief Analyst Design & Engineering.

Customers Embrace Verisity`s Leading Technology

Customers have recognized that Verisity has the essential technology and methodology to meet the critical needs of the growing verification challenge. Verisity provides solutions that automate the functional verification aspect of the design cycle, thereby providing customers with the means to perform more thorough verification in the shortest amount of time. Customers employing Verisity`s solutions cut their design schedules by up to two thirds and identify bugs that otherwise would have gone undetected. Dedication to customer success, expanding technology leadership, and continued innovation in driving verification methodology has contributed to Verisity earning the number one position in the market.

"The numbers speak for themselves," said Moshe Gavrielov, CEO of Verisity. "Customer loyalty and customer success is at an all-time high due to the fact that Verisity is enabling companies to address their mission-critical business challenges. As we head into 2003 and beyond, we are right where we want to be - number one."

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Verisity and Specman Elite are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Ric Chope, 650/934-6820
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[panik]

Verisity Announces Record Revenue and EPS for Fourth Quarter and Fiscal 2002
Wednesday January 22, 4:01 pm ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Jan. 22, 2003--Verisity Ltd. (Nasdaq:VRST - News)
2002 Highlights:

Net Income Grew 184% on Revenue Growth of 36%
Generated $18 Million in Cash from Operations
Verisity Named Functional Verification Automation Market Leader by Gartner Dataquest
Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced financial results for the fourth fiscal quarter and year ended December 31, 2002. Revenue for the quarter was $14.6 million, a 28% increase from revenue of $11.4 million for the quarter ended December 31, 2001, and a 5% increase from revenue of $14.0 million for the quarter ended September 30, 2002.

The Company`s net income under generally accepted accounting principles (GAAP) for the quarter ended December 31, 2002 was $4.0 million, or $0.19 per diluted share, compared to a net income of $1.9 million, or $0.09 per diluted share, for the quarter ended December 31, 2001, and net income of $3.9 million, or $0.18 per diluted share, for the quarter ended September 30, 2002. GAAP and non-GAAP (which excludes stock-based compensation expense) net income per share were not materially different in the period.

Revenue for the year ended December 31, 2002 was $52.5 million, a 36% increase from revenue of $38.7 million for the year ended December 31, 2001.

For the year ended December 31, 2002, the Company`s net income per GAAP was $13.4 million, or $0.63 per diluted share, compared to a net income of $4.7 million, or $0.24 per diluted share, for the year ended December 31, 2001. Excluding stock-based compensation expense, non-GAAP net income was $13.7 million, or $0.65 per diluted share, for the year ended December 31, 2002, compared to a non-GAAP net income of $5.5 million, or $0.28 per diluted share, for the year ended December 31, 2001.

"Fiscal 2002 was a year of significant accomplishments for Verisity particularly in light of the difficult economic environment. We achieved record revenue and profits, generated $18 million in cash from operations, continued to gain market share and were named the Functional Verification Automation Market Leader by Gartner Dataquest," said Moshe Gavrielov, Chief Executive Officer of Verisity. "While the timing of the electronics industry recovery remains uncertain, we are confident in our strategy to grow the business in the long-term and maintain our technology leadership position through continued development and enhancement of our verification solutions."

The following statements are based on current expectations. These statements are forward-looking and actual results may differ materially. We do not plan to update, confirm or change this guidance until our next earnings conference call except by press release in the case of material events.

Revenue in the first quarter of 2003 is expected to be approximately $11.5 to 11.7 million
Non-GAAP earnings (which excludes stock-based compensation expense) per fully diluted share in the first quarter of 2003 is expected to be approximately $0.06 to $0.07
Revenue for fiscal 2003 is expected to grow to be between $55 and $57 million
Non-GAAP earnings (which excludes stock-based compensation expense) per fully diluted share for fiscal 2003 is expected to be between $0.45 and $0.50
Verisity`s earnings call will be webcast today at 4:10 p.m. Eastern Time / 1:10 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com through January 31, 2003. For those without access to the Internet, a replay of the call will be available from 5:00 p.m. Pacific Time on January 22, 2003 through January 31, 2003. To listen to a replay, call [phone], access code 701506. The Company plans to include a business outlook in the conference call.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s Specman Elite® testbench automation solution automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, as discussed in the company`s filings with the Securities and Exchange Commission. Words such as "anticipate," "estimate," "expects," "projects," "intends," "plans," "believes" and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. In particular, these include the Company`s ability to accurately forecast the company`s short term and long operating performance, predict customer demand due to the continued economic uncertainty and the affect on customers budgets, maintain market leadership position, and predict the timing of significant orders. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: Verisity and Specman Elite are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.

-0-


VERISITY LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

Three Months Ended Year Ended
December 31, December 31,
2002 2001 2002 2001
(unaudited) (unaudited)
Revenue:
License $ 8,983 $ 7,442 $ 32,612 $ 25,360
Maintenance 5,272 3,471 18,318 11,374
Other Services 345 464 1,594 2,003
--------- --------- --------- ---------
Total revenue 14,600 11,377 52,524 38,737
--------- --------- --------- ---------
Total cost
of revenue 761 659 2,958 3,432
--------- --------- --------- ---------
Gross profit 13,839 10,718 49,566 35,305

Operating expenses:
Research and
development 2,490 2,467 9,214 8,859
Sales and marketing 5,409 4,900 20,092 17,098
General and
administrative 1,391 1,417 5,559 5,078
Stock-based
compensation(1) 150 284 393 776
--------- --------- --------- ---------
Total operating
expenses 9,440 9,068 35,258 31,811
--------- --------- --------- ---------
Income from operations 4,399 1,650 14,308 3,494
Other income, net 176 324 864 1,454
--------- --------- --------- ---------
Income before
income taxes 4,575 1,974 15,172 4,948

Provision for
income taxes 550 99 1,822 250
--------- --------- --------- ---------
Net income $ 4,025 $ 1,875 $ 13,350 $ 4,698
========= ========= ========= =========
Basic earnings
per share:
Basic net income
per ordinary share $ 0.21 $ 0.10 $ 0.71 $ 0.31
========= ========= ========= =========
Shares used in per
share calculation 19,337 18,121 18,934 15,356
========= ========= ========= =========
Diluted earnings
per share:
Diluted net income
per ordinary share $ 0.19 $ 0.09 $ 0.63 $ 0.24
========= ========= ========= =========
Shares used in per
share calculation 21,430 20,630 21,254 19,632
========= ========= ========= =========
Non-GAAP earnings
per share1)
Non-GAAP net income $ 4,175 $ 2,159 $ 13,743 $ 5,474
========= ========= ========= =========
Diluted non-GAAP
net income per
ordinary share $ 0.19 $ 0.10 $ 0.65 $ 0.28
========= ========= ========= =========
Shares used in
non-GAAP per share
calculation 21,430 20,630 21,254 19,632
========= ========= ========= =========

(1) Non-GAAP net income excludes the impact of stock-based
compensation charges.



VERISITY LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

December 31, December 31,
2002 2001(1)
(unaudited)
Assets:
Current assets:
Cash and cash equivalents $ 79,509 $ 58,488
Accounts receivable 11,963 8,498
Other current assets 2,173 2,511
---------- ----------
Total current assets 93,645 69,497
Property and equipment, net 2,277 2,112
Other assets 495 229
---------- ----------
Total assets $ 96,417 $ 71,838
========== ==========

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $ 10,665 $ 8,024
Deferred revenue 26,861 26,694
Current portion of long-term debt 9 9
---------- ----------
Total current liabilities 37,535 34,727
Long-term liabilities 533 197
Long-term portion of deferred revenue 5,900 2,397
Shareholders` equity:
Share Capital 56,411 51,829
Accumulated deficit (3,962) (17,312)
---------- ----------
Total shareholders` equity 52,449 34,517
---------- ----------
Total liabilities and
shareholders` equity $ 96,417 $ 71,838
========== ==========

(1) Derived from audited financial statements as at December 31, 2001.




--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Bonnie Mott, 650/934-6800 (Investor Relations)
[e-mail]
Francine Ferguson, 650/934-6800 (Media Relations)
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity

[Allure]

Mentor Graphics Joins Verisity`s Verification Alliance Program
Monday February 24, 11:01 am ET
Mentor Consulting 100th Member to Join Program


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Feb. 24, 2003--Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced that Mentor Graphics Corporation (Nasdaq:MENT - News), a world leader in electronic hardware and software design solutions, as the 100th member of Verisity`s Verification Alliance(TM) program. The program links Verisity with leading industry consultants and consulting firms to provide customers with much needed relief for the two most critical problems they face: verification of their complex integrated circuit, system-on-chip and system designs; and sophisticated engineering resources. Mentor Consulting, the professional services division of Mentor Graphics® recognized for its expertise in functional verification, will provide engineers with verification methodology training and consulting services based on Verisity`s solutions.
ADVERTISEMENT


By joining the Verification Alliance program, Mentor Consulting is addressing an increasing customer demand for training and consulting services in the verification field. Verisity`s Specman Elite® testbench automation solution is used by a vast number of Mentor Consulting customers and is tightly integrated with leading Mentor Graphics verification solutions such as the Seamless® co-verification environment, the VStation(TM) and Celaro(TM) emulation platforms, and the ModelSim® simulator. Through its participation in this program, Mentor consultants will build on their knowledge of tools and methodologies to offer verification engineering resources and expertise based on Verisity`s tools and methodologies.

"Because verification takes up a very large portion of the overall design process, we are seeing a significant increase in requests for verification-related consulting services," said Brian Bailey, chief technologist for verification methodologies, Mentor Consulting Division, Mentor Graphics. "As part of the Verification Alliance program, Mentor Consulting will be equipped with the complete resources to offer Specman Elite consulting services, which will complement our strong portfolio of existing verification services for customers worldwide."

"The Verification Alliance program connects our market-proven verification methodologies with some of the best consulting talent in the industry," said Francine Ferguson, vice president of corporate and strategic marketing for Verisity. "Mentor Consulting is a welcome addition to the program and we look forward to joining forces to help mutual customers create top-quality designs while saving time and valuable engineering resources."

About Mentor Consulting

Mentor Consulting is a leader in worldwide semiconductor intellectual property services and maintenance and a provider of innovative solutions addressing today`s design and verification challenges. The company`s infrastructure and methodology solutions for SoC design, board process, system verification and design reuse are used worldwide by forward-looking electronics companies to optimize their design productivity and advance adoption of the latest industry design best practices. For more information on these and other services and products email Mentor Consulting at [e-mail] or visit www.mentor.com/consulting.

About Mentor Graphics

Mentor Graphics Corporation (Nasdaq:MENT - News) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world`s most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $600 million and employs approximately 3,500 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777; Silicon Valley headquarters are located at 1001 Ridder Park Drive, San Jose, California 95131-2314. World Wide Web site: www.mentor.com.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s Specman Elite® testbench automation solution automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Verisity, the Verisity logo, Specman Elite, and Verification Alliance are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.



--------------------------------------------------------------------------------
Contact:
Verisity Design, Inc.
Jennifer Bilsey, 650/934-6823
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Design, Inc.

[Chipdesign]

Verisity Announces First Quarter Fiscal 2003 Financial Results
Monday April 21, 4:16 pm ET


MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 21, 2003--Verisity Ltd. (Nasdaq:VRST - News)
Company reports 10th sequential quarter of profitability
Company generates $2.2 million cash from operations
Release of Specman Elite Version 4.1 strengthens leading competitive position
Verisity Ltd. (Nasdaq:VRST - News), the leading supplier of essential technology and methodology for functional verification, today announced financial results for the first fiscal quarter ended March 31, 2003. Revenue for the quarter was $11.7 million, a 2% increase from revenue of $11.5 million for the quarter ended March 31, 2002, and a 20% decrease from revenue of $14.6 million for the quarter ended December 31, 2002.

The Company`s net income for the quarter ended March 31, 2003 was $1.9 million, or $0.09 per diluted share, compared to net income of $2.2 million, or $0.11 per diluted share, for the quarter ended March 31, 2002 and net income of $4.0 million, or $0.19 per diluted share, for the quarter ended December 31, 2002.

"We are pleased with our financial results for the quarter in what continues to be a challenging global economic environment. While customers continued to scrutinize their product plans and struggle with budget priorities, the need for functional verification tools remained essential for those customers with increasingly complex designs," said Moshe Gavrielov, Chief Executive Officer of Verisity.

"Verisity is committed to extending our market leading position in functional verification. Last month we announced the latest version of our Specman Elite testbench automation solution, our flagship product that provides the most powerful capabilities for automating verification," added Gavrielov. "In addition, we announced seven new e Verification Components providing customers with reusable verification components for standard interfaces. e Verification Components reduce the time it takes to develop a verification environment and increases the productivity of the engineering teams, both critical elements in a cost conscious environment."

The following statements are based on current expectations. These statements are forward-looking and actual results may differ materially. We do not plan to update, confirm or change this guidance until our next earnings conference call except by press release in the case of material events.

Revenue in the second quarter of 2003 is expected to be approximately $12.5 to $13.0 million
Earnings per fully diluted share in the second quarter of 2003 is expected to be approximately $0.09 to $0.10
Revenue for fiscal 2003 is expected to be between $55 and $57 million
Earnings per fully diluted share for fiscal 2003 is expected to be between $0.45 and $0.50
Verisity`s earnings call will be webcast today at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time, and may be accessed at http://www.verisity.com. Following the conclusion of the webcast, a replay will be available via Verisity`s web site at http://www.verisity.com through April 28, 2003. For those without access to the Internet, a replay of the call will be available from 5:00 p.m. Pacific Time on April 21, 2003 through April 28, 2003. To listen to a replay, call 719/457-0820, access code 694379. The Company plans to include a business outlook in the conference call.

About Verisity

Verisity, Ltd. (Nasdaq:VRST - News), is the leading supplier of essential technology and methodology for the functional verification market. The company addresses customers` critical business issues with its market-leading software and intellectual property (IP) that effectively and efficiently verify the design of electronic systems and complex integrated circuits for the communications, computing, and consumer electronics global markets. Verisity`s flagship verification solution, Specman Elite(TM), automates manual processes and detects critical flaws in hardware designs enabling delivery of the highest quality products and accelerating time to market. The company`s strong market presence is driven by its proven technology, methodology, and solid strategic partnerships and programs. Verisity`s customer list includes leading companies in all strategic technology sectors. Verisity is a global organization with offices throughout Asia, Europe, Israel, and North America. Verisity`s principal executive offices are located in Mountain View, California, with its principal research and development offices located in Rosh Ha`ain, Israel. For more information, visit www.verisity.com.

Forward-Looking Statements

To the extent statements contained herein are not purely historical, they are forward-looking statements. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, as discussed in the company`s filings with the Securities and Exchange Commission. Words such as "anticipate," "estimate," "expects," "projects," "intends," "plans," "believes" and words and terms of similar substance used in connection with any discussion of future operating or financial performance identify forward-looking statements. All forward-looking statements represent only management`s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results or performance to differ materially from those described in the forward-looking statements. In particular, these include the Company`s ability to accurately forecast the company`s short term and long term operating performance, predict customer demand due to the continued economic and geopolitical uncertainty and the related affects on customers` budgets, maintain market leadership position, and predict the timing of significant orders. Verisity Ltd. is not under any obligation, and expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: Verisity and Specman Elite are either registered trademarks or trademarks of Verisity Design, Inc. in the United States and/or other jurisdictions. All other trademarks are the property of their respective holders.

-0-


VERISITY LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)


Three Months Ended March 31,
2003 2002
---------- -----------
(unaudited)
Revenue:
License $ 6,966 $ 6,685
Maintenance 4,504 4,214
Other Services 227 580
---------- -----------
Total revenue 11,697 11,479
---------- -----------
Total cost of revenue 698 768
---------- -----------
Gross profit 10,999 10,711

Operating expenses:
Research and development 2,599 2,288
Sales and marketing 5,172 4,719
General and administrative 1,390 1,219
Stock-based compensation (34) 149
---------- -----------
Total operating expenses 9,127 8,375
---------- -----------
Income from operations 1,872 2,336
Other income, net 167 208
---------- -----------
Income before income taxes 2,039 2,544

Provision for income taxes 162 305
---------- -----------
Net income $ 1,877 $ 2,239
========== ===========
Basic earnings per share:
Basic net income
per ordinary share $ 0.10 $ 0.12
========== ===========
Shares used in per
share calculation 19,619 18,576
========== ===========
Diluted earnings per share:
Diluted net income
per ordinary share $ 0.09 $ 0.11
========== ===========
Shares used in per
share calculation 21,047 21,217
========== ===========



VERISITY LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)


March 31, December 31,
2003 2002 (1)
---------- ------------
(unaudited)
Assets:
Current assets:
Cash and cash equivalents $81,608 $79,509
Accounts receivable 5,677 11,963
Other current assets 3,059 2,173
---------- ------------
Total current assets 90,344 93,645
Property and equipment, net 2,290 2,277
Other assets 457 495
---------- ------------
Total assets $93,091 $96,417
========== ============

Liabilities and Shareholders` Equity:
Current liabilities:
Accounts payable and
accrued liabilities $10,176 $10,665
Deferred revenue 23,703 26,861
Current portion of long-term debt 8 9
---------- ------------
Total current liabilities 33,887 37,535
Long-term liabilities 425 533
Long-term portion of deferred revenue 4,620 5,900
Shareholders` equity:
Share Capital 56,244 56,411
Accumulated deficit (2,085) (3,962)
---------- ------------
Total shareholders` equity 54,159 52,449
---------- ------------
Total liabilities and
shareholders` equity $93,091 $96,417
========== ============

(1) Derived from audited financial statements as at December 31, 2002.




--------------------------------------------------------------------------------
Contact:
Verisity Ltd.
Bonnie Mott, 650/934-6800 (Investor Relations)
[e-mail]
Francine Ferguson, 650/934-6800 (Media Relations)
[e-mail]



--------------------------------------------------------------------------------
Source: Verisity Ltd.

[panik]

Off the radar
Synergy manager likes Gildan, Hurricane, Verisity

By Russ Britt, CBS.MarketWatch.com
Last Update: 12:02 AM ET April 22, 2003







TORONTO (CBS.MW) - Unfollowed and unloved.


That`s the kind of stock Peter Hodson, manager of the Synergy Canadian Small Cap fund, is looking for when he sets out to buy stocks.

But don`t include unsavory in his criteria. Hodson says he seeks firms that have a strong competitive advantage and financial position - but just aren`t on anyone`s radar screens right now.

His fund, which trades under the Canadian symbol SRG 125, is trailing the S&P 500 year-to-date. The fund is off 6.2 percent, while the S&P is up 0.37 percent as of April 18. But it beat the S&P over the last 12 months, losing 14.3 percent vs. the index`s 21 percent. Over three years, the fund lost 14.9 percent vs. 12.7 percent for the S&P.

Hodson`s first pick is T-shirt maker Gildan Activewear (GIL: news, chart, profile). The company`s stock has soared in recent days to near the $28 level, with Gildan flush with cash and looking for new product lines.

While the industry`s growth rate averages about 4 percent, Gildan is climbing at a 20 percent to 30 percent rate, he said. Gildan helped usher rival Fruit-Of-The-Loom into bankruptcy in 2000, Hodson believes, by offering higher-quality products at a lower cost. "Their modus operandi is to be the lowest-cost producer in the world," he said. Shares of Gildan finished 3 cents lower at $27.16 on Monday.

Pick number 2 is a little-noticed oil producer that is headquartered in Calgary, Alberta, but has most of its operations in Kazakhstan: Hurricane Hydrocarbons (HHL: news, chart, profile). The stock is languishing in the $10 range mostly because investors are concerned about the country`s political climate, Hodson said. But it is able to produce oil much more cheaply than its rivals.

"It is just a cheap, cheap stock because of where they operate," he said. "Last year, they paid a $200 million dividend, just to prove they can get money out of the country." Shares of Hurricane Hydrocarbons closed up 12 cents at $10.50.

His last pick is software maker Verisity (VRST: news, chart, profile). The company, also hanging around the $10 level, is cash-rich and has enough on hand to cover half of its market cap.

Verisity could be a takeover target, Hodson said. Yet he is not confident about the tech sector`s ability to rebound in coming weeks despite recent moves upward, and he considers Verisity to be a short-term prospect for investors. Shares of Verisity finished down 17 cents at $10.07.

Russ Britt is the Los Angeles Bureau Chief for CBS.MarketWatch.com.