CVS/pharmacy Becomes First Drug Retailer To Join UCCnet's GLOBALregistry; CVS/pharmacy Will Use UCCnet GLOBALregistry and WWRE Synchronization Services To Improve Supply Chain Efficiencies.

Business Editors

LAWRENCEVILLE, N.J.--(BUSINESS WIRE)--May 21, 2003

UCCnet, a not-for-profit organization that provides product registry and data synchronization services, announced today that CVS/pharmacy will begin implementing the organization's GLOBALregistry(R) for its more than 4,000 retail stores throughout the United States. CVS/pharmacy is the first U.S. drug retailer to implement UCCnet's registration services.

CVS/pharmacy will register location data in the UCCnet GLOBALregistry using the WorldWide Retail Exchange's (WWRE(R)) Worldwide Item Management Solution. The GLOBALregistry is an industry-supported repository for standardized item, location and trading partner data. CVS' suppliers will register item data in the GLOBALregistry. Once registered, UCCnet checks the data for compliance to industry standards. CVS/pharmacy will use the item synchronization solution of WWRE, a UCCnet Certified Alliance Partner, to synchronize the registry-compliant data with its suppliers, ensuring that all suppliers are using identical, up-to-date, standards-compliant data.

According to Leo Hartnett, Jr., Vice President of Efficient Consumer Response for CVS/pharmacy, the registration services with UCCnet, in conjunction with the WWRE's synchronization services, will enable the company to streamline the compliance and uniqueness of item data from UCCnet's GLOBALregistry and collection of item data from their suppliers by using WWRE's WIM solution as a single source to provide supplier and product information to all departments within the company. "With the use of a single GLOBALregistry to validate item data's uniqueness among all of our trading partners, we will eliminate confusion in the marketplace around the path to data pool interoperability," said Mr. Hartnett. "Data Synchronization will be a foundation for enabling more sophisticated collaborative supply chain processes with the intended goal of reducing supply chain costs and to achieve productivity and working capital gains."

"Deploying the GLOBALregistry is an important step in the implementation of global data synchronization," said Fred Geiger, Senior Vice President for UCCnet. "The vision and advanced capabilities that WWRE brings to the UCCnet trading community provide long-term value to our members as they search for ways to increase revenues, decrease costs and improve customer satisfaction."

An industry study conducted by A.T. Kearney estimated that $40 billion, or 3.5 percent, of total sales lost each year are due to supply chain information inefficiencies. Specifically, the study showed that 30 percent of items in retail catalogs have data errors, which cost between $60 and $80 each and consume 25 minutes of manual correction per SKU. Other findings revealed that 60 percent of all invoices generated errors and 43 percent of all invoices resulted in deductions. During the fall of 2002, A.T. Kearney conducted another study of three suppliers and three retailers, concluding that financial benefits of 10 basis points or 0.1% of sales dropping to EBIT (Earnings Before Interest and Tax) could be realized. The benefits were the result of business process changes adopted by the retailers and separately by the suppliers who have implemented these UCCnet industry utilities.

"UCCnet shares in our vision of delivering the benefits of a registry solution for the retail and CPG industry," said Cindy Cruzado, Director of WorldWide Item Management at the WWRE. "As a WWRE member and now a UCCnet GLOBALregistry subscriber, CVS will be the first retailer to work with both WWRE and UCCnet in the launch of the EAN.UCC standards based registry service integrated with the WWRE's WIM solution. What we're doing together will prove to the entire industry that the benefits of a registry as a part of data synchronization services are attainable by all."

UCCnet and WWRE's services will enable suppliers and their retail partners to reduce costly administrative errors in invoice pricing, purchase orders, product delivery and scanning accuracy. In addition, companies will be able to increase the speed of getting new products to market and facilitate changes to existing item information. Synchronized data in a standard format also provides a solid foundation for realizing the true cost savings value of more advanced e-commerce tools, such as scan-based trading and Collaborative Planning, Forecasting, and Replenishment (CPFR(R)).

About UCCnet

UCCnet is a not-for-profit, tax-exempt neutral organization that provides product registry and data synchronization based on industry-developed standards. UCCnet provides a foundation for electronic commerce and cost effective transaction of data among partners. Through its support of global EAN-UCC standards, UCCnet delivers an open platform for collaborative commerce services, including compliance verification, synchronization of product information, registry and lifecycle management of synchronized products, user locations and user trade capabilities. As a subsidiary of the Uniform Code Council, Inc., the global standards organization, UCCnet leverages its position to enable the rapid, clear development of industry Internet standards and practices. In addition, UCCnet certifies technology solution providers and provides implementation methodology, allowing small, medium and large enterprises to implement product registry and data synchronization services into their business in a swift and efficient manner. For more information, visit www.UCCnet.org.

About CVS

CVS is America's #1 pharmacy dispensing prescriptions in more stores than any other retailer. CVS has created innovative approaches to serve the healthcare needs of all customers through its over 4,100 CVS/pharmacy(R) stores; CVS.com(R), its online pharmacy; and PharmaCare Management Services, its pharmacy benefit management and specialty pharmacy business. General information about CVS is available through the Investor Relations portion of the Company's website, at http://investor.cvs.com.

About the WWRE

The WWRE is the premier Internet-based business-to-business exchange for retailers and suppliers. Designed to facilitate and simplify trading between retailers, suppliers, partners and distributors, the WWRE currently consists of 64 members from Africa, Asia, Europe, North America and South America with combined sales of approximately U.S. $900 billion. To date, the WWRE has saved its members over $900 million through the use of its solutions. For more information, visit the website at www.wwre.org or www.worldwideretailexchange.org.