FaceTime Communications Attracts $16 Million in Financing; Achieves Record Performance in Q2; New Investor, JK&B Capital, Joins BA Venture Partners, Sutter Hill Ventures and TH Lee Putnam Ventures With Investment in Leading Enterprise IM Security and Management Solutions Provider in Most Successful Quarter to Date.

FOSTER CITY, Calif., Aug. 16 /PRNewswire/ -- Furthering its leadership as the premier provider of solutions that secure, manage, and extend instant messaging (IM) and P2P, FaceTime Communications today announced the company has received $16 million in venture capital financing. The oversubscribed series was led by new investor, JK&B Capital, and includes participation from existing investment partners: BA Venture Partners, Sutter Hill Ventures and TH Lee Putnam Ventures. This financing round marks a combined total of $30 million invested in the company since July 2001.

FaceTime Communications is the most widely deployed provider of extensible, end-to-end IM security and management solutions that address network and information security, user and policy management, and regulatory and corporate compliance. The Company will leverage this investment to continue its expansion and leadership position.

"FaceTime Communications has seen tremendous momentum during the past two years," said Kailash Ambwani, president and CEO of FaceTime Communications. "From our customer acquisitions to solid execution and international expansion, FaceTime continues to attract the support of new and existing investors. Our latest financing initiative was oversubscribed and completed in a swift fashion. We believe this is indicative of the growth of this space, and strong validation of our leadership in the industry."

FaceTime Communications achieved record performance in Q2 2004. The company signed several new customers including a Fortune 500 insurance company. The company continued to diversify its customer base by expanding its footprint in vertical markets such as energy and government. (See related release entitled "FaceTime Communications Announces Record Performance in Q2" distributed today on PR Newswire).

"We've had our eye on the IM security and compliance market for some time," said Tom Neustaetter, Partner, JK&B Capital. "IM has proliferated and become an integral part of day-to-day operations in the workplace. This is due, in part, to FaceTime and its award-winning technology that has always enabled customers to safely and securely embrace IM in the workplace. We strongly believe that ...