DALLAS, TX, Jan. 10, 2006 -- In today's competitive and fast-paced retail environment, traditional strategies for differentiation and growth are no longer effective. Customers are more savvy and difficult to please and it is harder than ever for retailers to profitably synchronize company resources with customer demands. Excelling in this environment requires a new approach to merchandise financial planning and now retailers can turn to i2 Technologies, Inc. (Nasdaq:ITWO), and its next-generation solutions to successfully confront these challenges.

The i2 Merchandise Financial Planning solution is designed to provide major retailers, including department stores, specialty stores and mass merchants, with an easy-to-execute advanced planning process for sales, margin, and inventory improvements. This single planning environment is designed to streamline and standardize the planning process with flexible and intuitive workflows. These workflows can span operational silos and disparate systems while leveraging an advanced demand intelligence platform. The solution is designed to be flexible and scalable to accommodate the dynamic needs of retailers.

"The retail industry is undergoing profound changes, and as a result competition is fiercer than ever, and customers are more demanding than ever. To successfully compete in this environment retailers require a more advanced approach to planning," said i2 Vice President of Retail Strategy, Chuck Kramer. "i2's Merchandise Financial Planning solution provides the advanced workflows and the optimal balance between art and science that retailers need to profitably deliver a superior customer shopping experience."

The Business Challenge

The retail landscape is more competitive than ever and retailers must effectively balance the demands of inventory and space while considering the ever-changing demands of the consumer. Traditional merchandise planning is complex and manual, leaving retailers with inconsistent planning execution processes and inadequate analytics to perform these activities efficiently. Forecasts are generated without the necessary customer information and market intelligence, leaving retailers with assortments, order quantities and space allocations that are not in line with business requirements.

i2 Merchandise Financial Planning is an end-to-end merchandise financial planning tool designed to help retailers build and reconcile their financial, product, and store plans. The solution also helps companies develop options plans that provide top-down guidance on the assortment breadth and mix based on targeted selling price, time on offer, and rate of sale. The solution is supported by configurable best-practice workflows, delivers enhanced supply chain visibility and is designed with proactive exception management capabilities. Retailers can use this solution to achieve greater consistency and speed in their planning process -- leading to improved revenues and margins.

i2 Merchandise Financial Planning is designed to provide a scalable, comprehensive, aligned strategic plan that enables retailers to:

-- Align strategic, merchandise, store and options plans

-- Manage global enterprises at the right level of detail

-- Gain visibility to exceptions

-- Manage the performance of products and dynamically re-plan if necessary

Leading fashion retailer benefits from "one version of the truth"

One of America's largest department store, catalog, and e-commerce retailers turned to i2 to bring disparate strategic, financial, merchandise and store plans into one system for more efficient supply chain operations. The retailer implemented i2 solutions to help tackle its challenges with store-level planning and store performance based on plans.

Through the use of the i2 Merchandise and Financial Planning solution, the retailer now operates with an integrated and reconciled strategic, financial, merchandise and store plan. The solution has enabled the company to establish a direct link with many of its suppliers for its private label merchandise. This enables the company to order merchandise as needed allowing it to overcome the hurdles of potential out-of-stocks and excess inventory. As a result of using the solution, the company can more efficiently forecast demand.

The solution's flexible step-by-step workflow guides its buyers and analysts to the necessary plan changes according to changing business conditions. The solution's scalability helps support planning across the entire enterprise, which has led to a reduced testing and upgrade cycle time from two months to less than one week.

i2 Next-Generation Solutions and the i2 Agile Business Process Platform

Today's announcement is part of the i2 Next-Generation Supply Chain Management (SCM) solution approach designed to help businesses address their most pressing business challenges. i2 Next-Generation SCM solutions are built to leverage the i2 Agile Business Process Platform, a unique service-oriented architecture (SOA) that includes a layer of technology services and a business process workflow engine. The platform is business process management (BPM) compliant and interoperates with legacy, ERP and other enterprise architectures.

i2 Next-Generation SCM Solutions feature a series of workflows based on i2's industry and supply chain expertise combined with easy-to-use visual programming capabilities designed to enable companies to automate solutions. Using i2 Studio, these workflows can be modified to adjust to changing business processes allowing for capabilities to be expanded, and changes delivered to users through a common integrated user interface.

About i2

i2 helps business leaders make better supply chain decisions. i2's flexible next-generation solutions are designed to synchronize demand and supply across ever-changing global business networks. i2's innovative supply chain management tools and services are pervasive in a wide cross-section of industries; 20 of the AMR Research Top 25 Global Supply Chains belong to i2 customers. Learn more at www.i2.com.

i2 is a registered trademark of i2 Technologies U.S. Inc. and i2 Technologies, Inc

i2 Cautionary Language

This press release may contain forward-looking statements that involve risks and uncertainties, including forward-looking statements regarding i2's Next-Generation SCM solutions, a customer's ability to implement or integrate those solutions successfully and in a timely fashion, receive expected functionality and performance, or achieve benefits attributable to i2 solutions. These forward-looking statements involve risks and uncertainties that may cause actual results to differ from those projected. For a discussion of factors which could impact i2's financial results and cause actual results to differ materially from those in forward-looking statements, please refer to i2's recent filings with the SEC, particularly the Quarterly Report on Form 10-Q filed November 9, 2005 and the Annual Report on Form 10-K/A filed August 9, 2005. i2 assumes no obligation to update the forward-looking information contained in this news release.

i2 Technologies, Inc., Dallas
Kirsten Monberg, 469-357-4966
kirsten_monberg@i2.com