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Press Release

Spanish Social Security Selects Jacada for Key Process Optimization Project

Selesta S.p.A Expands Agreement with Jacada to Address the Needs of the Customer Service Market in Spain and Italy

ATLANTA and MADRID, SPAIN , March 29, 2006 - Jacada Ltd., (NASDAQ: JCDA), a leading software provider of application integration and contact center productivity solutions, today announced winning a major contract with GISS, the IT Department for the Social Security of the Spanish Ministry of Labor.

GISS will be using Jacada® HostFuse (formerly Jacada Integrator), an application integration and process optimization platform, to improve and simplify processes supported by GISS applications. The project will help Social Security employees to access all of the ministry’s resources and applications and automate cumbersome service and administration processes.

Jacada HostFuse is part of an award-winning, non-invasive integration and process optimization platform called Jacada Fusion. The Jacada solution will help GISS seamlessly integrate existing back office systems and streamline the Spanish Social Security’s business processes, improving both efficiency and accuracy. The fact that Jacada Fusion supports web-services and open application development standards further supports a strategic initiative at GISS to adopt service-oriented architectures (SOAs).

The contract was signed in conjunction with Selesta S.p.A., a major player in the Spanish and Italian IT software market. Selesta S.p.A has recently expanded its partnership agreement with Jacada to supply Jacada Fusion solutions to the Italian and Spanish customer service market.

"We are delighted to have been selected by the Spanish Social Security to implement Jacada Fusion to support the nearly 40,000 users and the significant volume of customer service requests they receive," states Paolo Sferlazza, president of Selesta Spain. "Selesta and Jacada are committed to helping GISS provide highly-efficient, customer-friendly service and we look forward to working closely with the ministry."

"At Jacada, we're committed to improving customer service and employee satisfaction," said Ofer Yourvexel, managing director and senior vice president of sales for Jacada EMEA and APAC. "We are excited to be helping GISS develop its contact center operations and optimize its customer service processes by unlocking the value within their enterprise applications."

About GISS

GISS (Gerencia de Informática de la Seguridad Social) is the IT Department of the Spanish Social Security that it is the organization that manages the collection and quotation of the Spanish companies and workers (approximately 40 million Spanish citizens), as well as the administration and management of the pensions of the national population.

About Selesta S.p.A

Selesta S.p.A is a major player in the Spanish & Italian IT Software Market, especially in medium and large sized Enterprise environments. Founded in 1981 by Adriano Prefumo and Barry Phillips, today President and Vice President respectively, Selesta S.p.A stands for: distribution of specialized software technologies selected from those recognized as market leaders; supply of solutions based on the technologies offered and customized to the needs and objectives of our clients; great project support for our customers accruing from very little staff turnover and the vast experience gained from hundreds of major projects together with our clients; the competence and experience of over 300 dedicated professionals.

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future financial results and plans for future business development activities, and are prospective. These statements include all statements that are not statements of historical fact and consists of those regarding intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's financing plans; (ii) trends affecting the Company's financial condition or results of operations; and (iii) the Company's growth strategy and operating strategy (including the development of its products and services). The words "may," "could," "would," "will," "believe," "anticipate," "estimate," "expect," "intend," "plan," and similar expressions or variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of the future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control. Actual results may differ materially from those projected in the forward-looking statements as a result of various factors including the performance and continued acceptance of our products, general economic conditions and other Risk Factors specifically identified in our reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made. The Company cannot assess the impact of or the extent to which any single factor or risk, or combination of them, may cause. For a more complete discussion of risk factors, please see the Company's Form 20-F and other Statements filed with the Securities and Exchange Commission.