SPATIAL AND KUBOTEK RENEW LONG-TERM PARTNERSHIP AGREEMENT

LICENSING AGREEMENT ADDRESSES BUSINESS AND PRODUCT DEVELOPMENT NEEDS

Broomfield, CO, and Marlborough, MA, May 8, 2008 — Spatial Corp., a market-leading provider of 3D components for technology applications, and Kubotek Inc., makers of geometry-based KeyCreator® computer-aided design (CAD) software, renew their World Class partnership by announcing a new contract and commitment between the two companies. The new agreement enables Kubotek to further enhance their product line using Spatial’s market-leading 3D component technologies as their foundation, and increases Spatial’s level of support and services. The agreement is designed to further Kubotek’s commitment to their customers.

“We have been very pleased with our on-going relationship with Spatial. They share our dedication to providing customers the very best products and services. We signed this agreement because we are completely focused on offering the best 3D CAD software and translation solutions in the market, and Spatial’s ACIS and InterOp products are key components of our product and strategy,” Mark Parent, COO, Kubotek USA.

Spatial components are the building blocks and foundation for Kubotek’s software. Kubotek licenses Spatial’s 3D Modeling and Interoperability products including the 3D ACIS® Modeler, 3D ACIS PHL V5, ACIS Deformable Modeler, 3D InterOp Translators, 3D InterOp Manufacturing Options, and Select Support, one of Spatial’s premium support packages. Kubotek’s product line includes the flagship mechanical CAD software, KeyCreator™, which brings together multidimensional design and drafting, NC programming and reverse-engineering capabilities. Kubotek’s other products include REALyze™ multiCAD data exchange tools, Kubotek Spectrum™ multiCAD viewer, and Validation Tool™.

Kubotek now imbeds Spatial’s 3D InterOp and Manufacturing Option Suites within KeyCreator. The 3D InterOp Suite helps KeyCreator’s manufacturing base of customers provide timely, reliable data translation for popular file formats. These components translate product structure, 3D geometry and common non-geometric data such as names, color, layers and coordinate systems. The 3D InterOp Manufacturing Option components are plug-in options that further improve productivity by enabling manufacturing information such as geometric tolerances and dimensions to be translated directly from a 3D source format, removing the need to re-enter data already captured in the design. KeyCreator customers have a distinct advantage over their competitors with this unique translation capability.

“Spatial and Kubotek have had a close working relationship for over 10 years. Both companies determined that it would be a good idea to update our agreement to better fit today’s product development needs and business challenges. The result is a closer relationship that best suites Kubotek and their customer’s needs,” stated Keith Mountain, CEO, Spatial. “Spatial is responsive to our customer’s evolving needs and is committed to providing the very best products, services and mutually beneficial business relationships to address them.”

The new contract between Kubotek and Spatial provides Kubotek with tighter product integration, an enhanced level of support services, pricing and packaging flexibility, and a royalty agreement that aligns both companies business objectives. This new contract supports Kubotek’s customers ability to purchase products configured in new ways, and supports Kubotek’s commitment to providing the highest level of customer support for their customer’s most challenging modeling needs.

About Spatial
Spatial Corp. is a market-leading provider of 3D components for technical applications across a broad range of industries. Spatial’s 3D modeling, visualization, and interoperability technologies and Professional Services help application developers deliver market-leading capabilities, maintain focus on core competencies, and reduce time-to-market. Spatial 3D components have been adopted by some of the world's most recognized software developers, manufacturers, research institutes, and universities. Headquartered in Broomfield, Colorado, Spatial has offices in the USA, Germany, France, Japan, China and the United Kingdom. For more information, please visit Spatial's Web site at www.spatial.com

About Kubotek
Kubotek USA, Inc., headquartered in Marlborough, MA, is a wholly owned subsidiary of the Creation Engineering division of Kubotek Corporation, Osaka, Japan (TSE: 7709). Kubotek USA markets and supports Kubotek Creation Engineering software in the Americas. Kubotek Creation Engineering products include KeyCreator™ mechanical CAD software, REALyze™ multiCAD data exchange tools, Kubotek Spectrum™ multiCAD viewer, and Validation Tool™ CAD model comparison software.
Visit Kubotek USA at: www.kubotekusa.com.

ACIS and SAT are registered trademarks of Spatial Corp. All other trademarks belong to their respective owners.

Contacts:

Spatial
Howie Markson
Tel: 303-544-2966
Email: Howie.Markson@3ds.com

Kubotek
John McCullough
Tel: 508-229-2020
Email: john.mccullough@kubotekusa.com