MERCURY POSITIONED IN LEADER QUADRANT FOR IT PROJECT AND PORTFOLIO MANAGEMENT

Listed in Leader Quadrant Based on Vision and Ability to Execute Today, Mercury Interactive Corporation (NASDAQ: MERQ), the global leader in business technology optimization (BTO), announced that it has been listed in the leaders quadrant in Gartner Inc.’s Magic Quadrant for IT Project and Portfolio Management, 2005. According to Gartner, leaders are vendors who are performing well today, have a clear vision of market direction and are actively building competencies to sustain their leadership position in the market. “An improving climate for IT investments and the ongoing need for IT/business alignment continue to drive interest in IT project and portfolio management (PPM) strategies, including heightened interest in application support for IT PPM. This is shown in Gartner's Executive Program survey, which found that three of CIOs' 10 priorities are tied to PPM,” said Matt Light, research director at Gartner, Inc. in the report. “The top two priorities are ‘delivering projects that enable business growth’ and ‘linking business and IT strategies and plans.’ However, despite new attention to growth-oriented projects, IT organizations face mandates for sound project justification and auditable cost compliance (for example, under Sarbanes-Oxley). These dual drivers are fueling the demand for IT PPM applications, and we expect the IT PPM market's growth to accelerate.” “Customers are turning to Mercury to help address their biggest IT Governance challenges – controlling IT cost and risk, meeting compliance requirements, and aligning IT with the business,” said Yuval Scarlat, senior vice president of products at Mercury. “Mercury is one of the largest and fastest growing vendors in the IT Governance market. We are proud to be positioned in the leaders quadrant for IT project and portfolio management.” According to a separate Gartner report, IT PPM Evaluation Criteria: Vision, 2005 2, The IT project and portfolio management market is quickly evolving. IT PPM applications are changing to meet dynamic market needs; they increasingly address financial, operational and software asset management requirements. Though recent regulations have renewed the focus on managing costs and justifying the value of projects, extending resource management and providing an integrated view of the IT portfolio will be in the ascendant.” For more information on the Gartner Magic Quadrant for IT Project and Portfolio Management 2005 report, please visit www.gartner.com. ABOUT MERCURY Mercury Interactive (NASDAQ: MERQ), the global leader in business technology optimization (BTO), is committed to helping customers optimize the business value of information technology. Founded in 1989, Mercury conducts business worldwide and is one of the fastest growing enterprise software companies today. Mercury provides software and services to govern the priorities, people, and processes of IT; deliver and manage applications; and integrate IT strategy and execution. Customers worldwide rely on Mercury offerings to improve quality and performance of applications and manage IT costs, risks and compliance. Mercury BTO offerings are complemented by technologies and services from global business partners. For more information, please visit www.mercury.com. FORWARD LOOKING STATEMENTS This press release contains “forward-looking statements” under the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties concerning Mercury’s future product and service offerings. Mercury’s actual product and service plans may differ materially from the forward-looking statements made by, or on behalf of, Mercury. The potential risks and uncertainties include, among other things: 1) the timing of the availability of Mercury products and product enhancements; 2) the failure of Mercury products and product enhancements to meet customers’ expectations, needs or perform as described; 3) the effect of continued weak economic factors on the overall demand for software and services; 4) the timing of receipt of orders; 5) the timing of the recognition of revenue from products licensed; 6) the dependence of Mercury’s financial growth on the continued success and acceptance of its existing and new software products and services, and the success of its BTO strategy; 7) uncertainties related to the integration of acquired companies’ products and services, employees and operations; and the effect on GAAP earnings of charges from acquisitions; 8) the impairment of the value of investments in non-consolidated companies; 9) the ability to increase sales through our indirect channels as well as international sales; and 10) intense competition for Mercury’s products and services. Additional information concerning these and other risk factors can be found in Mercury’s filings with the Securities and Exchange Commission (“SEC”), including but not limited to Mercury’s Annual Report to Stockholders on Form 10-K for the fiscal year ended December 31, 2003 and the Form 10-Q for the quarter ended March 31, 2004, which are available at the SEC’s website at www.sec.gov. Mercury undertakes no duty to update any forward-looking statements to reflect events or circumstances. Mercury, the Mercury logo are registered trademarks of Mercury Interactive Corporation. All other company, brand, and product names are marks of their respective holders. MERCURY 379 North Whisman Road Mountain View, California 94043 Tel: (650) 603-5200 Fax: (650) 603-5300 www.mercury.com Editorial Contacts Darryl Dickens, 65 – 9010 2890 Mercury [email protected] For more information pleae contact Pranee Chalermtanasak PC & Associates Consulting Co., Ltd. Tel: 0 2 971 3711 Fax: 0 2 521 9030 [email protected] End.

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