LEGISLATIVE BRIEFING FEBRUARY 9, 2004

1. LEGISLATIVE BRIEFINGFEBRUARY 9, 2004 Presented by: Scott Chasin, CTO

2. MX LOGIC OVERVIEW MX Logic provides email protection and security solutions that safeguard enterprises, service providers and government organizations from junk email (“spam”), viruses, worms and unwanted content.

3. Founded by messaging industry veterans who built and managed one of the world's largest hosted messaging services with more than 33 million mailboxes under management • Commercial service launch with fully operational redundancy with multiple messaging processing centers • First managed service provider to introduce Bayesian statistical classification (February) • First managed service provider to offer spam beacon (“Web bug”) blocking (March) • First managed service provider to offer quarantine management via • Blocked more than 60 million instances of the SoBig.F virus • Services available to government agencies through GSA APR 2002 OCT 2002 FEB – JUL 2003 AUG – SEPT 2003 MX LOGIC BACKGROUND

4. MX LOGIC TODAY • 600+ enterprise and service provider managed service customers in financial services, energy (oil and gas), construction, education, government and service providers • 150% growth in customer base over past 6 months, with an even higher revenue growth rate • Customer base includes Fortune 1000 companies including Forest Oil, ProLogis, Tesoro Petroleum, Service Master among others • Recently announced $5.5M in financing round from industry-leading investors including Adams Street Partners • Recently announced Edwin Harper, former board member and chairman of Network Associates, has joined MX Logic’s board of directors

5. CUSTOMERS AND PARTNERS

6. 2004: MX LOGIC’S COMPLETE SOLUTION SUITE MX Logic Threat Center Service Provider Value Added Reseller MX Logic Offering Enterprise X X X Managed Service On-Premise Gateway Software (Q104) X X X

7. SERVICE FEATURES KEY BENEFITS • DoS Attack Protection • Spam Blocking • Virus Scanning (Sophos / McAfee) • Content and Attachment Filtering • Outbound Filtering • Three Service Bundles • Reseller Aware • Self-Provisioning • Customer Management Blocks up to 98% of spam and unwanted email Rapid service activation allows for easy service trial and instant reduction of risk Shields messaging infrastructure from external attack while cloaking infrastructure components No additional hardware or software required Frees up IT resources and minimizes productivity loss from handling unwanted email Virtually no end-user training costs – intuitive Web-based interface for service configuration and reporting MX LOGIC MANAGED EMAIL DEFENSE SERVICE

8. Domain Level Blacklists / Whitelists Distributed Blacklists Heuristics Bayesian Statistical Checksum Matching MX LOGIC’S STACKED CLASSIFICATION FRAMEWORKSM • Leverages 5 of the most effective spam-fighting filters and a dynamic aggregation and analysis of the spam likelihood scores • Aggregation of classification techniques and methods provides for a much more accurate and efficient classification scheme • Each classifier submits a vote in conjunction with confidence factorsto a “committee chairman” • Results are converted into a single probability framework • Trend analysis is performed to measure effectiveness of each contributing classifier

9. 2004: MX LOGIC’S EMAIL DEFENSE SOFTWARE OFFERING • Industry’s first solution developed by an MSP for on-premise messaging threat management • Groundbreaking protection—MX Logic leverages its managed service threat data for near-real-time, dynamic protection and information • Currently being deployed with Global 100 companies and Tier One carriers

10. SOLUTION FEATURES KEY BENEFITS • DoS Attack Protection • Virus Scanning • Spam Blocking • Content and Attachment Filtering • Outbound Filtering • Sophisticated Quarantine • Subscriber Directory Integration • Back-office Provisioning Integration • Multiple Subscriber Models • CRM Management Tools • Threat Update Subscription • Threat Audits Provides turn-key managed email defense solution for commercial offering Creates additional revenue opportunities while lowering infrastructure cost Removes objection to out-of-band MX record routing for broadband customers Provides a gateway infrastructure for future value-adds Threat Management Service provides near-real-time updates and attack intelligence Q1 2004: EMAIL DEFENSE SOFTWARE (SP EDITION)

11. Inbound SMTP Outbound SMTP Quarantine Access EMAIL DEFENSE SOFTWARE – SERVICE PROVIDER EDITION PUBLIC INTERNET CARRIER / ISP PREMISE Incoming Unclassified SMTP Traffic SECURE MX GATEWAY Sending MTA Denial of Service Protection Detects And Blocks Malicious Attacks Carrier Routed IP Traffic Receiving MTA Clean Outbound SMTP Traffic ENTERPRISE USER Stacked Classification Framework Provides Single Probability of Spam Likelihood Sophisticated Quarantine RecipientAccessibleSafe Quarantine TRAFFIC CENTER Heuristics Statistical URL Signatures Updates Additional Filtering and Policy Control Optional Contentand Virus Filtering Openwave MX KX Message Store Monitoring Alerts CONSUMER USER Threat Data Collection

12. MX LOGIC THREAT CENTER MX Logic Secure MX Gateway THREAT UPDATE CENTER • Heuristics • Statistical training data • URL signatures • Deny lists Stacked Classification FrameworkSM URL Spamtraq TechnologySM Sophisticated Quarantine THREAT COLLECTOR • Spam URL analysis • Threat and traffic statistics HTTP Post Delivers EmbeddedSpam URLs Enterprise Messaging Infrastructure THREAT MONITOR • MTA availability • Threat level • Reporting HTTP Post Delivers Threat Stats Message Policy Control Console THREAT ALERTS • Virus / worms • Denial of service • Spam attacks • Vulnerability alerts

13. THREAT UPDATES • 24x7 Heuristic creation • Weekly statistical updates • Spamtraq URL signature collection and dissemination (04) • Analysis of spam submissions • THREAT ALERTS • Threat event driven alerting • Third-party advisory analysis • Traffic and policy reporting • THREAT AUDIT • Complete messaging threat assessments THREAT MANAGEMENT SERVICES MX Logic Threat Center

14. SOLUTION FEATURES KEY BENEFITS • DoS Attack Protection • Virus Scanning • Spam Filtering • Content and Attachment Filtering • Outbound Filtering • Sophisticated Quarantine • Enterprise Directory Integration • Threat Update Subscription • Threat Audits Anti-abuse gateway email defense solution with external message quarantines End-user controls for opting-out and spam management Bulletproof SMTP DMZ for added layered security and policy enforcement Displaces open source MTAs which are historically insecure Threat Management Service provides near-real-time updates and attack intelligence Q1 2004: EMAIL DEFENSE SOFTWARE (ENTERPRISE EDITION)

15. Q1 2004: SPAMTRAQ TECHNOLOGY PUBLIC INTERNET Incoming Unclassified SMTP Traffic SECURE MX GATEWAY Sending MTA • Most efficient classification technique • Quick dissemination of spam URL signatures • Near-real-time feedback loop • Greater view of spam attacks Stacked Classification Framework Classifies Spam Probability Receiving MTA Clean Outbound SMTP Traffic Extract ExternalURL Information Batch URL Data and Package for Threat Center Delivery THREAT CENTER Signature Creation Pulled Spamtraq Updates Send URL Data to Threat Center Retrieve Updated or New URL Signatures Confidence Scoring Offline Analysis Spamtraq Data Collection

16. Q1 2004: WORMTRAQ TECHNOLOGY PUBLIC INTERNET • Rapid analysis of possible worm threats • Quick signature dissemination of discovered worms • Protects outbound messaging from worm traffic • Removes requirement for full payload scan thus lowering network impact Incoming Unclassified SMTP Traffic SECURE MX GATEWAY Sending MTA Scan Message for Attachments Creates Attachment Signature Receiving MTA Clean Outbound SMTP Traffic Wormtraq Lookup Batches Signatureand ReadiesPackage for Delivery THREAT CENTER Signature Creation Pulled Spamtraq Updates Send AttachmentData to Threat Center Retrieve Updated or New Attachment Signatures Confidence Scoring Offline Analysis Spamtraq Data Collection

17. 2004 – 2005 PRODUCT DEVELOPMENT: “NETBOX” SECURE MX GATEWAY + NETBOX SOLICITEDBULK Grey Content OPTin Messaging Public Key Credentials Provide Preferred Access to thePublic Netbox PUBLICNETBOX PreferredDelivery Paid Placement UNSOLICITEDBULK Traditional Spam Rouge Messages Stacked Classification Framework Provides Filtering of Rogue Unsolicited Messages PRIVATEINBOX Auto Whitelist Creation Addressbook Integration LEGITIMATE MESSAGING Personal and BusinessMessaging Permission Based Challenge / Response Protects the Private Inbox fromUnsolicited Messages

18. Q & A