Proofpoint Makes Acquisition, Taps Into SMB Aecurity

PRESS RELEASE

SUNNYVALE, Calif. –April 9, 2013 – Proofpoint, Inc., (NASDAQ: PFPT), a leader in cloud-based information security and governance, today announced a strategic expansion of Proofpoint's leading security solutions. Proofpoint Essentials&trade is a suite of SaaS security and compliance solutions specifically designed for distribution across MSPs and dedicated security resellers.

To create this product line, Proofpoint acquired Mail Distiller Limited, a European-based provider of SaaS email security solutions. Later integration of core components of Proofpoint's protection technology into Mail Distiller's offering will enable Proofpoint Essentials to combine the security and threat detection capabilities used by the largest and most security conscious organizations with the ease of use, multi-level channel management and modern SaaS architecture required to serve the mid to small enterprise market.

Proofpoint Essentials provides a full set of capabilities required by organizations to protect their email infrastructure, and includes inbound email filtering to block spam and malware, outbound filtering for compliance with company policies, email continuity to enable email service availability, and email archiving. It also features a simple, modern user interface for administrators and end users. The Mail Distiller offering, upon which Proofpoint Essentials is based, was chosen as the Editors' choice at the 2012 Computing Security Awards, and is used by thousands of customers across the Americas, Australia and Europe.

Founded in 2004, Mail Distiller is based in Northern Ireland and specifically designed its product for channel distribution through multi-level distribution and managed service providers (MSPs). These channel partners were afforded a simple pricing model that has been well-received. Proofpoint will continue the channel-friendly product features and distribution model.

"This new acquisition will enable us to offer the same core technology used by the world's largest and most successful security conscious companies to a new set of customers served through broad security resellers and MSP partners who are currently experiencing a lot of pain," said Gary Steele, CEO, Proofpoint, Inc. "We see tremendous value in being able to deliver a superior and scalable solution through the channel to this important customer set."

"We're excited to become part of a company with such leading edge technology and global market presence," said Colm McGoldrick, vice president, Proofpoint Essentials, who is the former CEO and Founder of Mail Distiller. "We see this as the perfect opportunity to accelerate the market success we've already had through a channel distribution strategy."

Forward-looking Statement

This press release contains forward-looking statements including, among other things, statements regarding the plans for the availability and features of Proofpoint Essentials and its expected benefits to customers. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to (i) adverse changes in general economic or market conditions; (ii) priorities, delays or reductions in information technology spending; (iii) competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors into the security and compliance markets, and new product and marketing initiatives by Proofpoint competitors; (v) the uncertainty of customer acceptance of emerging technology; (vi) rapid technological and market changes in the threat landscape and cloud computing; (vii) changes to product development timelines; (viii) Proofpoint's ability to protect its proprietary technology; and (ix) Proofpoint's ability to attract and retain highly qualified employees. These forward-looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including Proofpoint's Annual Report on Form 10-K for the fiscal year ended December 31, 2012 and current reports on Form 8-K that Proofpoint may file from time to time, which could cause actual results to vary from expectations. Proofpoint assumes no obligation to, and do not currently intend to, update any such forward-looking statements after the date of this release.

About Proofpoint, Inc.

Proofpoint Inc. (NASDAQ:PFPT) is a leading security-as-a-service provider that focuses on cloud-based solutions for threat protection, compliance, archiving & governance and secure communications. Organizations around the world depend on Proofpoint's expertise, patented technologies and on-demand delivery system to protect against phishing, malware and spam, safeguard privacy, encrypt sensitive information, and archive and govern messages and critical enterprise information. More information is available at www.proofpoint.com.