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Investor Day Product Teach-In Safe Harbour Statement The following presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated (relevant persons) . Any person who is not a


  1. Investor Day Product Teach-In

  2. Safe Harbour Statement • The following presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated (“relevant persons”) . Any person who is not a relevant person should not act or rely on this presentation or any of its contents. Information in the following presentation relating to the price at which relevant investments have been bought or sold in the past or the yield on such investments cannot be relied upon as a guide to the future performance of such investments. • This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in Micro Focus International plc (the “Company”) or any company within the Micro Focus Group. • The release, publication or distribution or this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions. • Certain statements contained in this presentation constitute forward-looking statements. All statements other than statements of historical facts included in this presentation, including, without limitation, those regarding the Company’s financial condition, business strategy, plans and objectives, are forward-looking statements. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “believes”, “estimates”, “anticipates”, “expects”, “intends”, “may”, “will”, or “should” or, in each case, their negative or other variations or comparable terminology. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company’s present and future business strategies and the environment in which the Company will operate in the future. Such risks, uncertainties and other factors include, among others: the level of expenditure committed to development and deployment applications by organisations; the level of deployment-related turnover expected by the Company; the degree to which organisations adopt web-enabled services; the rate at which large organisations migrate applications from the mainframe environment; the continued use and necessity of the mainframe for business critical applications; the degree of competition faced by the Company; growth in the information technology services market; general economic and business conditions, particularly in the United States; changes in technology and competition; and the Company’s ability to attract and retain qualified personnel. These forward-looking statements speak only as at the date of this presentation. Except as required by the Financial Services Authority, or by law, the Company does not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events, or otherwise.

  3. Introduction Kevin Loosemore

  4. Agenda 9.00 Introduction Kevin Loosemore 9.15 COBOL Development Neil Fowler 10.00 Mainframe Solutions Kevin Brearley 10.45 Coffee Break & Demos 11.15 Borland Archie Roboostoff 12.00 Marketing Programmes Tony Occleshaw 12.20 Q&As 12.45 Lunch

  5. What Next? …Or Golden Goose? Fish Or Fowl? Growth? Revenue Revenue Cash cow? Time Time

  6. Operational Strategy COBOL Development • Innovate to prolong life (decades!) – Fix perceived skills issue • Faster way to .net and Java • Industry standard IDE’s – Visual Studio and Eclipse • Mainframe Solutions • Expand offering to address wider spread of enterprise needs – Enterprise Analyser • Enterprise Developer • Enterprise Test Server • Enterprise Server • Borland • Open, Agile, Enterprise –

  7. COBOL Development Neil Fowler

  8. COBOL – 101 Back to Basics The original business application language • Designed for business - it ‘just works’ • Portable – write once, run anywhere • Fit-for-purpose – data management & arithmetic operation • Easy to read - easy to maintain • Longevity – every major business platform for 5 decades • Value – billions of lines of code representing business • advantage Evolution – continues to embrace new syntax and • environments

  9. COBOL Runs 85% of the World’s Business Applications ON MAINFRAME COBOL OFF MAINFRAME / DISTRIBUTED COBOL IBM, BULL, MICRO FOCUS UNISYS, ($210M OUT OF DEC,..... $250M) ($1.5B+) Innovation from Micro Focus

  10. COBOL – The Challenges Continue to get value out of their business investment • – Platform availability & access to/from other systems Availability of COBOL developer skills • – Language is one component, development environment familiarity Developer productivity • – ‘Modern’ languages raise expectation of tooling and frameworks Access to new markets • – Web, Cloud, Mobile Integration into Enterprise Software Development Lifecycle • – Standard IDEs and tooling

  11. COBOL – The Answer is Visual COBOL Working on product • since 2008 Close collaboration • with Microsoft Visual COBOL Visual COBOL Largest Visual • Studio integration vendor Equivalent support • within Eclipse 200 man years • invested

  12. COBOL – Visual COBOL platforms Windows UNIX / .NET JVM Cloud Mobile Linux Universal Application Deployment

  13. Visual COBOL Demonstration Take ‘traditional’ COBOL application into contemporary • development and deployment environments Reuse existing business logic and quickly integrate • with C# Deploy composite application onto the Web and into • the Cloud

  14. Mainframe Re-hosting to the Azure Cloud

  15. COBOL - The Future is Visual COBOL COBOL continues to be the most pervasive and • relevant language for Business Micro Focus is the leader in distributed system COBOL • development Micro Focus continue to innovate to ensure that Visual • COBOL is the answer to their business challenges – Re-use business assets with lowest risk – Bridge the skills gap – Reduce cost and maintain competitive advantage – Faster delivery

  16. Mainframe Solutions Kevin Brearley

  17. Micro Focus Mainframe Solutions – Micro Focus Mainframe Solutions The End to End Modernization Roadmap The End to End Modernization Roadmap Cost Reduce costs to improve bottom line People Improve time to market Enhance competitive advantage Process Reduce Risk Platform Agility Accelerate with Resource Efficiency and Workload Management 18

  18. Enterprise Product Set Integrated Technology Client Objectives Key Requirements Micro Focus Solutions Prioritization and cost containment of Understand the application landscape. Enterprise Analyzer Application Service Delivery Modernization projects Simplify complexity Modernization Reduce cost of maintenance Cut through traditional development improving development group Enterprise Developer processes and log jams efficiency and quality. Aligned and Effective Improved Service Delivery Cycles Enterprise Test Server Application Service Delivery Exploit contemporary Enterprise Server Cost-Effective Enterprise Deployment Architectures

  19. Enterprise Server

  20. Deployment Understanding what is involved when deploying mainframe applications Common Issue What we are seeing Pressure to reduce on-going infra- Fast cost reduction structure spend. Self finance modernization projects Flexibility to run on alternative Deployment flexibility platforms, reduce barrier to enter new markets ENTERPRISE SERVER Modernization applications to take advantage of new paradigms – Exploiting new technologies cloud computing, Mobile Increase BI through accessible data Business agility Move processing to better suited platforms

  21. Micro Focus Enterprise Server The low-risk, self funding route to agile enterprise application deployment Benefits Your business • 70-90% reduction in operating cost; the low-risk alternative application to rewrite and replace • Shorten delivery cycles by40% • Improve application performance • Supports Improved BI and Agile IT CICS IMS-TM JCL SQL Server IMS-DB VSAM Oracle DB2 ADABAS Capability Micro Focus Infrastructure SCHEDULING, • Enterprise application deployment without the mainframe cost OPERATIONS MANAGEMENT, BACKUP / ARCHIVE… • Re-host applications with little source code change enabling much of project to be done in house if it is a priority for the business Systems Infrastructure • Deploy to any enterprise-standard environments • Many SIs to support system integration aspects around ES LINUX WINDOWS UNIX environment Open Systems Hardware

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