X0202 4 2006-05-08 0 0001035096 WEBMETHODS INC WEBM 0001255235 MITCHELL DAVID LEON 3877 FAIRFAX RIDGE ROAD SOUTH TOWER FAIRFAX VA 22030 1 1 0 0 President & CEO Common Stock 2006-05-08 4 M 0 29687 5.50 A 42314 D Common Stock 2006-05-08 4 M 0 313 5.89 A 42627 D Common Stock 2006-05-08 4 S 0 30000 9.86 D 12627 D Stock Option (right to buy) 12.00 2001-01-21 2010-01-21 Common Stock 92654 92654 D Stock Option (right to buy) 14.36 2002-01-19 2011-11-16 Common Stock 340000 340000 D Stock Option (right to buy) 8.65 2003-02-03 2013-01-03 Common Stock 36000 36000 D Stock Option (right to buy) 9.74 2003-07-05 2013-06-05 Common Stock 67600 67600 D Stock Option (right to buy) 10.35 2004-05-13 2014-04-13 Common Stock 350000 350000 D Stock Option (right to buy) 9.69 2004-05-23 2014-04-23 Common Stock 35000 35000 D Stock Option (right to buy) 5.50 2006-05-08 4 M 0 29687 0.00 D 2004-11-02 2014-10-02 Common Stock 29687 286981 D Stock Option (right to buy) 5.89 2006-05-08 4 M 0 313 0.00 D 2005-08-11 2015-07-11 Common Stock 313 144810 D Stock Option (right to buy) 7.94 2006-01-02 2015-12-02 Common Stock 75000 75000 D Transaction was effected pursuant to existing trading plan complying with Rule 10b5-1 promulgated under the Securities Exchange Act of 1934, as amended. Price represents the average price of twenty seven (27) transactions executed on 05/08/2006 with prices ranging from $9.50 to $10.09. 25% vests on first anniversary of option grant date and remainder vests ratably each month over following three years. 25% vests on 1/19/2002 and remainder vests ratably each month for the following three years Option originally provided for ratable vesting over 48 months following option grant date. On December 16, 2005 vesting of the unvested portion of the option was accelerated. Option vests ratably over 48 months following option grant date. Option vests ratably over 36 months following option grant date Douglas McNitt, Attorney in Fact 2006-05-10