Bottomline Technologies Introduces Solution for SEPA Compliance; BIC and IBAN Validation Ensures Fast, Error-Free Straight-Through Payments Processing

As part of the European Union's broad initiative to encouragecross-border trade among member states, which includes more closelyaligning the fee structure for domestic and cross-border payments upto EUR 50,000, the EPC has mandated that all cross-border paymentscontain Bank Identifier Codes (BIC) and International Bank AccountNumbers (IBAN) or be subject to bank repair fees. Beginning in 2007,however, banks will have the ability to reject any payments fromcorporate clients that do not include the correct BIC and IBAN data.

Bottomline's versatile BIC and IBAN Validation solutions providecorporate users with the tools necessary to efficiently capture,maintain and validate the appropriate BIC and IBAN information priorto submitting payments to their banking partners. By increasing theirability to comply with SEPA guidelines, corporate clients can not onlyavoid unnecessary bank charges, but reduce payment costs and improveerror and query rates.

"The advent of SEPA represents an important cost-savingopportunity for all businesses, provided they possess the capabilitiesnecessary to submit payments with the appropriate BIC and IBANnumbers," said Nigel Savory, Managing Director, BottomlineTechnologies Europe. "Regardless of how a business's paymentscriss-cross the continent, Bottomline's innovative services for BICand IBAN validation enable our customers to quickly profit from thefull scope of benefits intended by this significant regulation."

Bottomline's BIC and IBAN validation solutions include BankScanInternational, a combined software module and database, easilydeployed on a distributed network to automatically or manually checkBIC and IBAN information, and the Validate IBAN Service, whichprovides customers with an outsourced option for gathering missing BICand IBAN codes for their vendors. The versatility of these newofferings allows customers to take advantage of the component bestsuited to meet their short- and long-term needs.

Pricing and Availability

Bottomline's BankScan International and Validate IBAN Service areavailable today. BankScan International is available under atransaction-based pricing model as a licensed solution, while users ofthe Validate IBAN Service are charged upon initiation of the service.For additional information, please contact Bottomline for details.

About Bottomline Technologies

Bottomline Technologies (NASDAQ: EPAY) provides payments andinvoice automation software and services to organizations seeking moresecure and efficient financial processes. The company remains at theforefront of delivering innovative solutions that complement andextend the value of existing financial processes, businessrelationships and back-office systems. These solutions have enabledindustry-leading corporations, banks and financial institutions toautomate, manage and control processes involving payments andcollections, invoice approval, cash flow, risk mitigation, reportingand document archive. For more information, please visitwww.bottomline.co.uk.

Bottomline Technologies and the BT logo are trademarks ofBottomline Technologies, Inc. which may be registered in certainjurisdictions. All other brand/product names are trademarks of theirrespective holders.

Cautionary Language

This press release may contain forward-looking statements thatinvolve risks and uncertainties, including statements regardingexpected benefits of use of the Company's products and future growthor results. Among the important factors which could cause actualresults to differ materially from those in the forward-lookingstatements are competition, market demand, technological change,strategic relationships, recent acquisitions, international operationsand general economic conditions. For additional discussion of factorsthat could impact Bottomline Technologies' financial results, refer tothe Company's Form 10K filed September 2005, Form 10Q filed May 2006and any recently filed Form 8K's.