Record Achievements:

• Total revenue of $295.2 million for Q407 and $1.026 billion for full-year 2007
• Non-GAAP operating margin of 28% for Q407 and 22% for full-year 2007
• GAAP operating margin of 23% for Q407 and 16% for full-year 2007
• Non-GAAP EPS of $0.61 for Q407 and $1.70 for full-year 2007
• GAAP EPS of $0.81 for Q407 and $1.61 for full-year 2007
• Cash flow from operations of $83.5 million for Q407 and $254.0 million for full-year 2007

Other Q407 Highlights:

• Total license revenue of $112.9 million, up 12% year over year
• Total database license revenues increased 16% year over year
• Cash flow from operations up 65% year over year
• Non-GAAP EPS growth of 17% and GAAP EPS growth of 185% year over year
• Stock repurchases of $75.3 million

2007 Fourth Quarter Results
Total revenue for the fourth quarter of 2007 increased 15% to $295.2 million from $256.5 million in the fourth quarter of 2006. License revenue grew 12% to $112.9 million from $100.4 million in the fourth quarter of 2006. Services revenue increased 4% year over year to $143.5 million. Messaging revenues were $38.8 million.

Non-GAAP operating income for the fourth quarter increased 29% year over year to $81.8 million, representing a 28% operating margin.

Non-GAAP net income for the fourth quarter was $55.4 million, or earnings per diluted share (EPS) of $0.61, a 14% increase over non-GAAP net income of $48.4 million, or EPS of $0.52 for the fourth quarter of 2006.

Operating income calculated in accordance with generally accepted accounting principles (GAAP) for the fourth quarter increased 33% year over year to $66.9 million, representing an operating margin of 23%.

GAAP net income increased 179% to $73.5 million, or GAAP EPS of $0.81, for the fourth quarter. This compares with GAAP net income of $26.4 million, or GAAP EPS of $0.28, for the fourth quarter of 2006. Net income reflected a $27.0 million credit to GAAP tax expense relating to the reversal of valuation allowances on certain U.S. tax assets. This reversal is attributable to the company's strong U.S. profits during 2007, along with a consistent profit outlook for 2008.

Non-GAAP amounts exclude the amortisation of certain purchased intangibles, stock-based compensation, and restructuring costs, and the tax effect of these and related items. Accompanying this release is a reconciliation from GAAP to non-GAAP amounts for the fourth quarter of 2007 and 12 month period ended December 31, 2007.

2007 Full-Year Results
Total revenue for 2007 increased 17% year over year to $1.026 billion, and license revenue for the year increased 6% year over year to $344.8 million.
Services revenue increased slightly to $544.2 million, and messaging revenues were $136.5 million.

Non-GAAP operating income increased 26% year over year to $220.8 million, representing a non-GAAP operating margin of 22%. Non-GAAP net income grew 12% year over year, reaching $157.3 million, or $1.70 per diluted share.

Full-year GAAP operating income increased 26% year over year to $168.6 million, representing an operating margin of 16%. GAAP net income increased 57% year over year to $148.9 million, or GAAP EPS of $1.61.

Cash flow from operations increased 18% year over year to $254.0 million.

"Our strong Q4 performance completes the best year in Sybase's 23-year history," stated John Chen, chairman, CEO, and president of Sybase. "My appreciation goes out to our 4,000 dedicated employees, customers and partners worldwide for making this possible. These results demonstrate that our leadership in the Unwired Enterprise market is driving momentum for Sybase and expanding the size of our addressable market.

"We are extremely proud of our consistently strong execution," added Mr. Chen. "This is evident in our solid performance in key operating metrics, including revenue growth, operating margin expansion, cash flow, and earnings over the last three years.

"We remain steadfastly focused on our goals to create long-term, sustainable value and drive double-digit returns for the benefit of all our stakeholders," concluded Mr. Chen.

Balance Sheet and Other Data
At December 31, 2007, Sybase reported $738.3 million in cash and cash investments, including restricted cash of $3.4 million. In the fourth quarter, the company generated $83.5 million in cash flow from operations.

During the fourth quarter of 2007, Sybase repurchased $75.3 million of its outstanding common stock. As of December 31, 2007, $83.1 million remained authorised under the company's current share repurchase programme.

Days sales outstanding (DSO) for the fourth quarter was 75.

Guidance
For the first quarter ending March 31, 2008, management anticipates total revenue in the range of $240 million to $250 million. Management anticipates non- GAAP fully diluted EPS in the range of $0.30 to $0.35 and GAAP EPS in the range of $0.21 to $0.26.

For full-year 2008, management anticipates total revenue in the range of $1.075 billion to $1.090 billion. Management anticipates non-GAAP EPS in the range of
$1.85 to $1.90 and GAAP EPS in the range of $1.50 to $1.55. Management anticipates full-year 2008 cash flow from operations in the range of $220 million to $240 million.

Accompanying this release is a reconciliation from projected GAAP to non-GAAP amounts for the estimated 2008 first quarter and full year results.