| Black Watch Labs Issues First Security Advisory Concerning 
                          the Safety of Millions of Web Sites
 Santa 
                  Clara, Calif. - February 17, 2000 - Perfecto Technologies, the 
                  leading developer of Web application security management software, 
                  today unveiled Black Watch Labs (www.sanctuminc.com/blackwatch/), 
                  an online research center dedicated to increasing awareness 
                  of Web application security issues within the Internet community. 
                  In addition to publishing general information on Web application 
                  security topics, Black Watch Labs will issue alerts when Web 
                  application vulnerabilities are discovered. Black Watch Labs 
                  today issued its first advisory, which demonstrates how ordinary 
                  search engines can be used to identify millions of Web sites 
                  that are potentially vulnerable to application-level hacking 
                  attacks.
 "Up 
                  until today, there has been a noticeable lack of comprehensive 
                  information about Web application security," said Eran Reshef, 
                  senior vice president and co-founder of Perfecto Technologies. 
                  "As the leader in Web Application Security Management software, 
                  we recognized the significance of this gap and the potential 
                  risks faced by any business with a Web site and their customers. 
                  We established Black Watch Labs to identify and share Web application 
                  vulnerabilities."  "The 
                  subject of our first alert is a case in point," Reshef continued. 
                  "We discovered that search engines can be used to find Web sites 
                  with potential vulnerabilities that allow hackers access to 
                  extremely sensitive data. eBusinesses and consumers need to 
                  be aware of these problems."  The Black 
                  Watch Labs Web site will feature up-to-date information on Web 
                  application security, newly discovered vulnerabilities, white 
                  papers and links to other security organizations. Subscribers 
                  to the free service will also receive e-mail notification every 
                  time a new vulnerability is discovered.  In its 
                  first advisory, Black Watch Labs reveals how ordinary search 
                  engines can be used to discover potential Web application vulnerabilities 
                  in indexed sites. Because many Web application vulnerabilities 
                  have tell-tale characteristics, searching for the signature 
                  of a particular vulnerability can yield thousands of at-risk 
                  Web sites. Among the potential weaknesses such searches can 
                  uncover are: open debug options (which can be used to grant 
                  unlimited access to a site), the ability to track all visitors 
                  to a site and the ability to execute remote SQL queries (database 
                  commands). For technical details of this problem, please visit 
                  http://www.sanctuminc.com/blackwatch/.  For example, 
                  using Infoseek to search for links containing the word "price" 
                  yields 132,561 matches. A link that contains the word "price" 
                  might pass the price as a parameter exposing the site to eShoplifting 
                  (e.g. changing the price of the item purchased).  Searching 
                  AltaVista for the phrase "User Profile by Regions" results in 
                  3,605 pages that contain the usage statistics of Web sites exposed 
                  to this loophole. These statistics includes information of users 
                  accessing the site, the path they choose during their visit, 
                  search engines and keywords used to reach site, etc.  "This is 
                  a particularly strong example of the state of application-level 
                  security throughout the Internet," commented Dennis Szerszen, 
                  of Hurwitz Group. "The idea that search engines can be used 
                  to detect Web application vulnerabilities within indexed Web 
                  sites, combined with the large number of vulnerable sites found, 
                  illustrates a frightening reality that should serve as a wake-up 
                  call to anyone doing business on the Internet."  About 
                  Perfecto Technologies#  
                #   #Founded in 1997 and headquartered in Santa Clara, Calif., Perfecto 
                  Technologies is the leader in Web Application Security Management 
                  software. AppShield, Perfecto's initial product offering, is 
                  the first to provide extreme security for customer-facing applications 
                  in dynamic eBusiness environments. Privately held, Perfecto 
                  is funded by blue-chip venture capital firms and industry leaders, 
                  including Goldman Sachs, Intel Corporation, Sequoia Capital, 
                  The Sprout Group and Walden Israel. More information about Perfecto 
                  Technologies may be obtained by visiting the Company's Web site 
                  at www.perfectotech.com or by calling the Company directly at 
                  (408) 855-9500.
 
For Immediate ReleaseChris BenhamContact:
 Perfecto Technologies, Inc.
 (408) 855-9500
 [email protected]
 Kevin PedrajaSterling Communications
 (408) 441-4100
 [email protected]
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