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ERisk Raises $10 Million in Second Round Financing Led by JPMorgan Partners

Thursday, May 17, 2001

NEW YORK, NY, May 17, 2001 -- ERisk, the leading provider of software and consulting services for enterprise risk management, announced today that it has raised $10 million in its second institutional round of financing led by JPMorgan Partners. Additional investors included aventic, AG (a subsidiary of UBS), Internet Finance Partners LP, Katalyst Venture Partners I, LP, and Risk Management Solutions, Inc., all of whom participated in ERisk's previous round of financing.

ERisk has raised over $30 million to date and plans to use the proceeds from this offering to further broaden its product suite, deepen its market penetration both domestically and globally, and accelerate the company to profitability. ERisk focuses on helping companies increase their shareholder value by managing capital and risk across their entire enterprise.

"The enterprise risk management market is undergoing significant growth, and companies in all industries are increasingly investing in risk measurement and management systems. We believe that ERisk is well positioned to be the enterprise risk management solutions provider of choice. ERisk's products are compelling and can have a direct impact on a customer's shareholder value by improving returns earned relative to risks taken, reducing operational losses and enhancing creditworthiness," said Mark Holden, a principal at JPMorgan Partners.

"We are incredibly excited about having JPMorgan Partners join our family of investment partners. We believe that ERisk's ability to garner the investment of such a preeminent private equity partner is a powerful endorsement of ERisk's business model," said Kerry Williams, President of ERisk. "The past year has brought us tremendous growth. Everyone at ERisk has done an outstanding job of securing our first-mover advantage in the enterprise risk management industry. We've established a viable model for revenue generation, built a superlative team of business builders and risk management experts, forged key partnerships, launched a new line of software products, and signed a number of important clients. Now with the financial backing of premiere investment partners, ERisk is positioned to become the leading company serving the enterprise risk management software and services arena."

ERisk is expanding its role as trusted advisor to the risk management community through the introduction of its new ERisk Analytics software, a comprehensive analytics solution capable of transforming a company's risk management processes into a world-class framework for effective capital management. Since October 1999, more than 18,000 risk management professionals worldwide have relied on ERisk and the ERisk.com portal as the premiere provider of Internet-delivered risk management products and services, news, and community.

About JPMorgan Partners

JPMorgan Partners (JPMP), formerly Chase Capital Partners, is a global partnership with over $24 billion under management. It is a leading provider of private equity and has closed over 1,800 individual transactions since its inception in 1984. JPMP has more than 160 investment professionals in eight offices throughout the world. JPMorgan Partners' primary limited partner is JPMorgan Chase & Co., one of the largest financial institutions in the United States. For additional information, please visit the JPMP website at www.jpmorganpartners.com.

About ERisk

ERisk is a full-service provider of strategic risk management solutions, including internet-delivered analytics, consulting, risk transfer advisory and the ERisk.com portal. ERisk helps financial services organizations, property & casualty insurers, energy companies and non-financial corporations transform risk management processes to increase management effectiveness, reduce losses and increase shareholder value. For more information please visit the ERisk website at www.erisk.com.

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