June 29, 2006

Industry Report Positions NetIQ in the Leaders Quadrant for Security Information and Event Management

NetIQ positioned in leaders quadrant based on completeness of vision and ability to execute

Press Release

Houston, TX

NetIQ Corp. (Nasdaq: NTIQ), a leading provider of integrated systems and security management solutions, today announced it has been positioned by Gartner, Inc. in the leaders quadrant in the "Magic Quadrant for Security Information & Event Management, 1H06"¹ report.

Gartner's Magic Quadrant report evaluates vendors on their ability to execute, based on criteria such as overall viability, sales execution and pricing, SIEM installed base size, growth rate and revenue stream, and the effectiveness of the product in customer production and test environments; as well as their completeness of vision, based on capabilities that are required for the Security Information Management and Security Event Management use cases, capabilities that are specifically required for either SIM or SEM, and capabilities that are required for regulatory compliance monitoring and reporting.

"We are very excited to be recognized by Gartner's positioning of NetIQ in the leaders quadrant in the security software information and event management market," said Matt Dircks, senior vice president of Products and Markets, NetIQ. "We expect to continue to innovate and execute in this market by providing customers with software solutions that make their IT systems secure, available and performing optimally."

NetIQ's Security Management solutions deliver effective protection from, and enable rapid response to, security-related threats. Through a single, integrated platform that combines Security Event Management (SEM) for real-time enterprise event detection, correlation and response, along with Security Information Management (SIM) for log retention, historical analysis and reporting, NetIQ solutions reduce the time required by users to meet compliance requirements and identify, track and resolve security threats.

About the Magic Quadrant

The Magic Quadrant is copyrighted May 12, 2006 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About NetIQ

NetIQ is a leading provider of integrated systems and security management solutions that empower IT organizations with the knowledge and ability necessary to assure IT service. NetIQ's Knowledge-Based Service Assurance products and solutions include embedded knowledge and tools to implement industry best practices and to better ensure operational integrity, manage service levels and risk, and ensure policy compliance. NetIQ's modular, best-of-breed solutions for Performance & Availability Management, Security Management, Configuration & Vulnerability Management, and Operational Change Control integrate through an open, service-oriented architecture allowing for common reporting, analytics and dashboards. For more information about NetIQ, visit www.netiq.com or call (888)323-6768.

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Amy Sachrison
Media and Analyst Relations

Phone: (713) 418-5368
Email: amy.sachrison@netiq.com