As the world's leading provider of business software solutions, SAP has played a role in shaping the business world and the way it operates today. SAP has built a world-class reputation for open financial reporting and business practices and for software solutions that drive transparency, sound governance, innovation and growth. SAP believes that the private sector plays a vital role in creating a level playing field, an environment that embraces education, technology and innovation. By offering individuals a fair chance to develop their own skills, creativity, and solutions, they will be better equipped to help themselves and take an active rewarding role in their communities.

SAP recognizes and embraces its responsibility to contribute actively to society. In cooperation with other corporations, social agencies and institutions, nongovernmental organizations (NGOs) and the public sector, SAP is currently focusing its corporate citizenship efforts and funding on the following areas:

• Education. As a key driver of innovation and the growth of communities and economies fundamentals on which businesses dependeducation is an essential part of SAP's approach to community engagement.
• Governance. Transparency and integrity are basic values on which SAP's solid reputation is built. SAP has earned and continues to enhance its reputation by adhering to the Code of Business Conduct for Employees and by supporting programs that promote transparency and governance.

Global Guidelines

SAP's overall strategy, mission and values apply to its corporate citizenship program, regardless of location. While respecting local values and customs, all SAP-sponsored corporate citizenship activities adhere to global standards. Each initiative:

• Must establish clear goals, measure quantifiable results and be conducted transparently and neutrally. SAP annually reviews all projects, as well as global and regional guidelines, against a concrete set of measurements. SAP also produces an annual online report on corporate citizenship activities.
• Must comply with SAP's Code of Business Conduct for Employees and with the laws and ethical standards of the respective country.
• Must not discriminate, regardless of locally accepted practice.

Key Focus Area: Education

As its own history is proof of what can happen with an idea and the power of entrepreneurial spirit, SAP believes it is critical that people have the opportunity to reach their full potential and create their own future. Recognizing the value of education as a key driving force for innovation and constant replenishment of communities and economies, SAP is dedicated to educating today's students so they can play an active role in tomorrow's economies. To that end, SAP is actively engaged in projects around the globe that contribute to the development of communities in which we work and live, including:

• World Childhood Foundation. SAP is especially committed to helping provide young people with the skills they need to thrive in a rapidly changing world. SAP is a co-founder of the World Childhood Foundation, an organization founded and driven by Queen Silvia of Sweden that supports projects defending the right of all children to a life free of violence and poverty. SAP believes that the right of every young person to a secure and supportive environment is one of the fundamentals of a civilized, global society. Without this basis, no amount of training or technology will ever make a difference.
• SAP University Alliances. In over 600 universities worldwide and with around 160,000 students participating, the SAP University Alliances program helps create, capture, organize, and disseminate intellectual capital, helping today's students become tomorrow's business leaders. Membership in the University Alliances program enables faculty and students to experience real, everyday business environments and processes, increase their ability to handle and use information and business software applications, and understand the importance of good corporate governance.
• Education Alliances. Part of the university alliances program, Education Alliances offer educational institutions access to SAP's business applications as instructional tools for graduate and undergraduate programs. Education alliances also provide curriculum workshops, learning materials, a collaborative global network of scholars and opportunities for professional development, research and industry collaboration.
• FIRST LEGO League. SAP seeks to recognize and cultivate the innovative spirit of children through our participation in and support of FIRST LEGO League (FLL), a program developed in a partnership between U.S.-based nonprofit organization FIRST and the LEGO Group. With the mission of instilling an enthusiasm for science and technology in the next generation, FLL combines science and fun by engaging youngsters aged 10 to 16 in robotics design, scientific research, and tournament competition. In SAP's first global employee initiative to support volunteerism, employees worldwide can engage with their communities as FLL team leaders and as mentors, helping children recognize their own skills and creativity.

In addition to these global programs, there are also local education initiatives driven by SAP subsidiaries in their countries and communities. These include:

• SOLYDAR, Argentina. SAP Argentina colleagues, through their SOLYDAR initiative, care for children in a neglected suburb of the capital city, Buenos Aires. One hundred and fifty children receive after-school tutorial help to ensure that they complete their education as well as basic assistance that includes daily hot meals and clothing.
• Africa Drive Project, South Africa. SAP has partnered with other organizations to set up the Africa Drive Project in South Africa, with the objectives of developing new learning strategies and technologies to foster the skills of mathematics and science teachers in secondary schools.
• SAP Matching Gift program, North America. The SAP Matching Gift program extends SAP's social contribution by matchingdollar for dollar employee's charitable contributions to eligible charities that they are most passionate about. With this and other programs, SAP America and SAP Canada are helping improve the quality of life for children and youth throughout North America by providing them with the technological resources they need to succeed. The U.S. corporate citizenship program also includes the National Partnership program, local community involvement committees, volunteerism, and the Executive Community Partnership program. For example, SAP America also rewards employees for civic action, by awarding volunteer service grantsup to $50 per hour to the organization at which an SAP employee volunteers.

Key Focus Area: Governance

SAP believes in integrity and transparency, which are reflected in the way it conducts business and in its productssoftware applications that intrinsically improve governance and transparency by supporting businesses in managing their finances and operations and helping governments become more accessible and accountable to their constituents. Governance and transparency also help fight corruption, which obstructs the development of healthy and stable economies and, as a result, affects everyone. SAP is actively engaged with other partners in social agencies and governments around the globe in initiatives that contribute to sound corporate governance and to the global fight against corruption, including:

• Transparency International. SAP actively partners with Transparency International (TI), the world's leading non-governmental organization devoted to fighting corruption. TI operates both internationally and at national levels to increase levels of accountability and transparency, monitoring the performance of key institutions and advocating reforms in a non-partisan manner. SAP supports Global Corporations for Transparency International, which fosters TI's work on a global basis, and supports TI chapters in the United States and Germany. Together with other companies and non-governmental organizations, SAP participates in the Business Principles Steering Committee.
• UN Global Compact. The UN Global Compact is Global Compact partners are committed to respecting human rights, supporting internationally defined labor standards, and environmental protection. SAP has been a UN Global Compact partner since UN Secretary General Kofi A. Annan launched the initiative in 2000. It is more important than ever for public and private sectors to work together to create a sustainable global society. SAP believes that Internet-based technologies can help emerging markets quickly advance into the global marketplace. And by making management processes more accountable and transparent, e-business can help private and public organizations improve environmental monitoring, while fighting fraud and corruption.

SAP Subsidiaries' Engagement in Governance

• SAP Nigeria. Convention on Business Integrity. In Nigeria, SAP is a signatory and a major sponsor of the Convention on Business Integrity, which SAP hopes will serve as a model for all of Africa. Founded in Lagos, Nigeria in 1997, the convention works to eliminate corruption and promote business integrity and transparency. Based on a peer review concept, the convention reaches out to all organizations (businesses, public sector, NGOs) willing to work on a common ethical business code.
• SAP America. In partnership with Transparency International USA, SAP is developing an toolkit for United States-based small and midsize enterprises (SMEs). Planned for availability in the fall of 2005, the toolkit will assist SMEs in complying with business ethics guidelines and government regulations such as the Sarbanes-Oxley Act. We expect the toolkit to go live in the fall of 2005.
• Germany. Business Principles Workshop, Germany. In 2004, SAP hosted a joint workshop on business principles in Berlin, Germany, with Transparency International, GTZ (German organization for international technology cooperation) and the UN Global Compact. In 2005, SAP will continue its involvement with TI by supporting additional workshops on business principles. In June 2005, SAP is funding a conference at the University of Passau, Germany, in recognition of the 10th anniversary of the Corruption Perception Index (CPI). Here, attendees review academic research on the causes and consequences of corruption and discuss public attitudes and reactions to the CPI. SAP funded the first international symposium for scholars on corrupt transactions in 2002, at Gttingen University.

SAP Solidarity Fund

While focusing on the key areas of education and business ethics, SAP also supports relief efforts with the nonprofit SAP Solidarity Fund, established in response to the catastrophic events of September 11, 2001 and still in place today with a mandate to help innocent victims of catastrophes. With a mission to provide relief quickly, without undue bureaucratic complexity, the fund supported relief efforts for disasters such as the earthquake in Bam, the Oder River flood, the refugee crisis in Darfur, or the Asia Pacific tsunami disaster. The Fund is a registered entity in Germany.

Additional information about corporate citizenship at SAP can be found at:

http://www.sap.com/about/citizenship/

Copyright © 2005 SAP AG
SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary.

For more information, press only:

Gabriele Hartmann, +49 (0) 6227 7-67550, gabriele.hartmann@sap.com, PST
SAP Press Office, +49 (6227) 7-46315, CET; +1 (610) 661-3200, EDT; press@sap.com
Gabriele Thoering, Burson-Marsteller, +49 (0) 69-2 38 09 39, gabriele_thoering@de.bm.com, CET