[0] Swisslog Acquires Kewill's Logistics Division for $25 Million and Becomes Certified Solutions Provider for Kewill's E-commerce Suite of Products.

Business Editors

NOTE: (pd) is substituted for the British pound.

BILLERICA, Mass.--(BUSINESS WIRE)--July 17, 2000

Kewill Systems plc, the leading provider of business-to-business (B2B) e-commerce supply chain management solutions, announced that it has sold its Logistics division to Swisslog, a leading world-wide supplier of integrated material handling supply chain products and services. The consideration payable for the division, which includes both Kewill's U.S. and U.K. warehouse management systems businesses, is $25 million [(pd)16.7 million] in cash.

For the year to 31 March 2000 the division made a small loss of (pd)0.07 million on sales of (pd)10.4 million. The net assets of the division at the date of sale are not expected to exceed $1 million [(pd)0.67 million]. The transaction is expected to yield a profit on disposal of approximately (pd)1.5 million. The cash proceeds will be used for general corporate purposes.

As part of Swisslog's strategy of expanding the range of supply chain services offered to its large and well-established client base, the company will integrate key elements of the Kewill electronic commerce product suite--including Kewill.Net, Kewill's recently launched business portal--into its own product set.

Geoffrey Finlay, Kewill CEO said, "Swisslog's strategic commitment to expanding the range of its already proven supply chain products and services provides excellent security for the clients and staff of our Logistics division. The move allows Kewill to focus entirely on our e-commerce and related e-manufacturing activities and, at the same time, brings us a powerful and well-resourced new partner with whom to work closely--initially in Europe and the U.S. but ultimately on a world-wide basis. This should result in further take up of our recently launched Kewill.Net solutions, which have already met with great success."

"We are very satisfied with the acquisition of Kewill's Logistics division and the conclusion of the online business alliance between Swisslog and Kewill Systems plc," said Juhani Anttila, CEO of Swisslog Holding AG. "We are pleased to have the opportunity to service its many high profile and loyal customers worldwide. This acquisition is an important step in allowing Swisslog to expand its core competencies in supply chain solutions and to enhance its position as a worldwide provider of integrated i-fulfillment solutions."

About Swisslog Holding AG

Swisslog Holding AG is an international supply chain solutions provider to a wide range of industries. Headquartered in Buchs/Aarau, Switzerland, Swisslog is a global company, employing approximately 3,500 people in 22 countries. Swisslog's net sales totaled euro 451 million (CHF 722.5 million) in 1999. Experts in knowledge management, software and integrated systems solutions, the Swisslog Industry Practice Groups are able to provide their customers with comprehensive industry specific solutions. Swisslog offers intensive consultancy and service support through the entire life time of the logistics systems. This year Swisslog launched its i-fulfillment solutions software completing its full service offering to provide seamless, transparent online business transactions from the mouse to the house. Swisslog's shares are listed on SWX Swiss Exchange (Security Number: 675'227, Telekurs: SLOG, Reuters: SUSZn).

About Kewill Systems plc

Kewill Systems plc, (www.kewill.com) the leading business-to-business provider of e-commerce supply chain management solutions, has been delivering software and services globally for 27 years. It employs over 700 people world-wide and has more than 47,000 customers, of which 37,000 are customers of Kewill's E Commerce division. Its U.K. corporate headquarters are in Leatherhead, Surrey, U.K. and its U.S. headquarters in Marlborough, Massachusetts.

About Kewill.Net(TM)

Online visibility is critical to managing business relationships, executing business transactions, and promoting collaboration between customers, suppliers and carriers. Kewill's business portal, Kewill.Net(TM) gives trading communities access to a suite of applications and services enabling them to View, Transact, Trace and Control their goods as they move through the supply chain. All that is needed is a PC and web browser. Users will have access to a range of applications including:

Kewill.Trade(TM)--A suite of web-based applications providing procurement, fulfillment and visibility between buyers and suppliers by enabling them to electronically exchange business-critical information such as online quotations, purchase orders, order confirmations and invoices via Kewill.Net.

Kewill.View(TM)--A suite of web-based applications that trace, monitor and control the flow of merchandise through the supply chain by utilizing multiple message delivery mechanisms including email, fax, EDI and Web.

Kewill.Ship(TM)--A suite of applications providing customers and suppliers with the functionality to rate, route, track and collect carton level detail (CLD).

Kewill.Receive(TM)--Provides users with the ability to integrate CLD on delivery notification (from suppliers) in order to automate the receiving process.

For the first time, trading partners, including small and medium-sized enterprises, will be able to comply with the complex document content, format and integration requirements required by their customers without having to upgrade their infrastructure.

Kewill.Net, Kewill.Trade, Kewill.Receive, Kewill.View and Kewill.Ship are trademarks of Kewill Systems plc. Other product and company names mentioned herein may be the trademarks of their respective owners.