Swisscom Mobile Goes Live on Rating System From Portal Software; First Phase of Company-Wide Billing Replacement System Now Complete

Portal Software Inc. (Pink Sheets:PRSF), the premierprovider of billing and Revenue Management solutions for the globalcommunications and media markets, today announced that it hascompleted a rating replacement system for Swisscom Mobile. SwisscomMobile is Switzerland's largest mobile communications provider,handling some 15 million calls each day. The new system, which wentlive in June, supports Swisscom's mobile voice, data, and contentservices and is the first phase of a larger project in which Portal isreplacing Swisscom's legacy LHS BSCS system.

Swisscom Mobile, a joint venture of Swisscom LTD., and VodafoneGroup pioneered mobile communications in Switzerland. Today, thecompany boasts 65% market share with over 4 million customers for itsNATEL mobile service and has over 400 mobile roaming partnersworldwide.

"Swisscom desires to achieve faster time-to-market and lower itsoperational costs," said Daniel Staub, head of product & systemdevelopment at Swisscom Mobile. "Portal is helping us make our mobilebusiness more agile and sustaining our competitive advantage."

The rating replacement concludes the first phase of a multiphaseprogram to replace Swisscom's BSCS legacy billing system. The secondphase of the project, now underway, is to extend the rating engine toinclude support of Vodafone live! and TAP 3. By the project'sconclusion, Portal will also be providing the billing, invoicing, andrevenue sharing capabilities for Swisscom Mobile.

"Swisscom Mobile has consistently been an innovator in Europe,"said Dave Labuda, president and CEO of Portal Software, Inc. "We'repleased to be a part of Swisscom's strategic initiatives to evolvebilling to a complete Revenue Management system that improves theirbusiness operations and customer satisfaction."

About Portal Software, Inc.

Portal is the leading worldwide provider of billing and RevenueManagement solutions for the global communications and media markets.The company delivers the only platform for the end-to-end managementof customer revenue across offerings, channels, and geographies.Portal's solutions enable companies to dramatically accelerate thelaunch of innovative, profit-rich services while significantlyreducing the costs associated with legacy billing systems. Portal isthe Revenue Management partner of choice to the world's leadingservice providers, including Vodafone, AOL Time Warner, DeutscheTelekom, Telstra, NTT, China Telecom, Reuters, China Mobile, TelenorMobil, and France Telecom.

Forward-Looking Statement

Statements in this release regarding potential customerrelationships, the possibility of contracted services from Portal, andfuture financial standings are forward-looking statements. Suchforward-looking statements may not materialize and involve significantuncertainties and risks. These and other factors are described indetail in our Annual Report on Form 10-K for the fiscal year endedJanuary 31, 2004 and our quarterly reports on Form 10-Q. Allstatements made in this press release are made only as of the date setforth at the beginning of this release. Portal undertakes noobligation to update the information in this release in the eventfacts or circumstances subsequently change.

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