Manugistics Acquires Digital Freight’s Collaborative RFQ Capabilities, Expanding Industry Leading Global Logistics Management Solution
ROCKVILLE, MD. -- May 28, 2002 -- Manugistics Group, Inc. (Nasdaq: MANU), the leading global provider of Enterprise Profit Optimization[TM] (EPO) solutions that help companies enhance margins by lowering costs and improving revenues across their supply-demand networks, announced that it has acquired the business of privately-held Digital Freight, a Lexington, Kentucky-based provider of collaborative logistics solutions that facilitate online, real-time bids for global transportation contracts. Manugistics' Global Logistics Management Solution will now offer buyers and sellers of transportation services an enhanced real-time, secure transactional environment designed to dramatically simplify and accelerate the logistics sourcing process. By utilizing an online marketplace to automate the time consuming task of requesting and processing competitive bids for transportation contracts, shippers and carriers can effectively reduce the resources required to manage their complex business operations. "Our commitment to complement innovative internal development efforts with strategic technology acquisitions, like Digital Freight, continues to enhance Manugistics' position as a leader in logistics management," said Rich Bergmann, Manugistics’ president. "By streamlining and optimizing logistics sourcing through closer, more timely collaboration with carriers, Manugistics is helping shippers manage their operations more effectively. The collaborative solutions we gain through this acquisition are designed to help reduce contract execution time from months to days, which can result in reducing transportation rates by as much as 30 percent." The Digital Freight Marketplace solution has facilitated over $1.9 billion in transactions across more than 1,800 carriers and 38 shippers. The collaborative architecture of the Digital Freight Marketplace solution gives shippers and carriers major advantages over traditional bid processes by providing a collaborative framework for dynamic pricing. Digital Freight's clients include industry leaders like Crown Cork & Seal, Frito-Lay, Honeywell International, Safeway Inc., and Sonoco. "We have been extremely pleased with the results we've achieved through working with Digital Freight over the past one and one half years," commented Barry Mulkay, Director of National Network for Frito Lay. "By making this move towards managing the high bidding volume we conduct with our core carriers via the internet, we are streamlining the process as well as demonstrating savings across our supply chain, which links nearly 400 manufacturing and distribution centers and suppliers." "Transportation costs in the United States approach $600 billion annually, and nearly 80 percent of all shipments are moved under contract," said Adrian Gonzalez, Senior Analyst at ARC Advisory Group. "There are many companies, however, that still rely on manual processes to manage their logistics sourcing process, despite the quick ROI and benefits associated with transportation procurement solutions. This acquisition, therefore, enhances the value proposition of Manugistics' logistics management solution and allows customers to manage their procurement engagements more efficiently." Manugistics' offers one of the industry's broadest suites of Web-based logistics management solutions. Innovators like Bandag, Inc., Brown & Williamson, ChemLogix -- a GATX affiliate, CMB LogiFlow, Deere & Co., Elemica, Ewals Cargo Care, Hershey Foods, Kohl’s Corporation, Kraft Foods, NAVTRANS, Staples, Inc., Subaru of America, The Great Atlantic and Pacific Tea Company (A&P), The Limited, Inc., The TJX Companies, RadioShack Corporation, Toys "R" Us, Inc., Tronicus and Winn-Dixie have all turned to Manugistics for solutions that can address critical logistics challenges. About Manugistics Group, Inc. Manugistics helps companies lower operating costs, improve customer service, enhance profitability, and accelerate growth by optimizing the supply-demand network from design and procurement through pricing and delivery. The company provides comprehensive solutions -- for pricing and revenue optimization, service and parts management, supplier relationship management, and supply chain management. Manugistics has offices in Australia, Belgium, Brazil, Canada, France, Germany, Italy, Japan, Mexico, The Netherlands, Singapore, Spain, Sweden, Taiwan, the United Kingdom and United States. Its clients include industry leaders such as 3Com, Amazon.com, Boeing, BP, Brown & Williamson, Caterpillar, Cisco Systems, Coca-Cola Bottling, Compaq, DuPont, Fairchild Semiconductor, Ford Motor Company, General Electric, Harley-Davidson, Hormel, Levi Strauss & Co., Marriott, Nestle, Staples, Texas Instruments, Unilever, and United Airlines. For more information, go to www.manugistics.com FOR ADDITIONAL INFORMATION REGARDING THIS ANNOUNCEMENT, CONTACT THE MANUGISTICS NEWSBUREAU HOTLINE AT 301-255-5330. Contacts: Laura JanesManugistics Group, Inc. ljanes@manu.com 301-255-5330 John Conley ### FORWARD LOOKING STATEMENT This announcement contains forward-looking statements that involve risks and uncertainties that include, among others, continuing economic uncertainty, the timing and degree of business recovery, anticipated losses, unpredictability of future revenues, potential fluctuations in quarterly operating results, competition, risks related to quarterly performance, risks of new business areas, international expansion, business combinations and strategic alliances, lengthening of sales cycles for software products and services, and the continued effectiveness of the cost reduction efforts undertaken by Manugistics. A decreased demand for computer software due to weakened economic conditions could result in decreased revenues or lower revenue growth rates. More information about factors that potentially could affect Manugistics' financial results is included in Manugistics filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended February 28, 2002. Manugistics assumes no obligation to update the forward-looking information contained in this announcement. Manugistics is a registered trademark, and the Manugistics logo, the phrase "Leveraged Intelligence," Enterprise Profit Optimization and Manugistics NetWORKS are trademarks of Manugistics, Inc. All other product or company names mentioned are used for identification purposes only, and may be trademarks of their respective owners. |