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Graphisoft Launches Next Phase of its Evolution with Announcement of New CEO Dominic Gallello

Dominic Gallello, CEO to Lead the Company into Phase of Aggressive Growth

Budapest, September 16, 2003 - Graphisoft®, developer of the Virtual Building™ concept, announced that as of today the Board of Graphisoft N.V. appointed Dominic Gallello as the company's new Chief Executive Officer. Gallello will lead the Company's transition into its next phase of aggressive growth as the architectural design and construction industry is poised for dramatic changes over the next decade.

"Over the past 20 years, Graphisoft's singular focus on the architecture, engineering and construction market has paid big dividends for its customers around the world. As the pioneer in offering a Virtual Building modeling solution, Graphisoft is in an extraordinary position to dramatically affect how buildings are designed, approved and maintained. I am very excited about the possibilities ahead for Graphisoft and our customers", said Dominic Gallello.

Ray Small, the outgoing CEO, has successfully stabilized the Company during a difficult period for the market. As part of a nearly 2-year transition period, Mr. Small restructured corporate management and streamlined operations, returning the Company to growth and profitability.

"The Board highly appreciates and acknowledges Ray's performance of restructuring the Company, which has again achieved continuous operating profit," said Gábor Bojár, president of Graphisoft. "Due to his excellent analytic and organizational skills, he has been able to pave the way for Graphisoft's next stage of evolution. Dominic is ideally qualified to lead the Company in the next phase of aggressive growth in the course of the transition the AEC industry faces."

Mr. Gallello, the new CEO, is a veteran in the design software industry and brings to Graphisoft an exceptional track record of customer focus and ability to dramatically grow revenue and market share.

Gallello comes to Graphisoft from Macromedia where he was Executive Vice President responsible for product development. Prior, Gallello had a 10-year career at Autodesk and its spin-off company, RedSpark. At Autodesk, he was responsible for dramatic growth as VP of Asia/Pacific and VP of the Mechanical Market Group. He later led the $600M Design Solutions Division before serving as President and CEO of RedSpark, Inc. Prior to joining Autodesk, Mr. Gallello spent 11 years at Intergraph Corporation, holding different management positions including President of Intergraph Japan. Prior to this, as Intergraph's Director of Asian Operations, he established the Company's presence in China. Mr. Gallello has lived in China and Japan for 8 years and is a fluent Japanese speaker. He holds a BA and MBA from Monmouth University.