Calimax Realizes 48% Return On Investment From EXE Technologies' EXceed Product Suite; Grocer Recoups Warehouse Management Software Costs Within 24 Months.

Business Editors/High-Tech Writers

DALLAS--(BUSINESS WIRE)--Jan. 22, 2002

EXE Technologies, Inc. (Nasdaq:EXEE), a leading supply chain execution (SCE) solutions provider, today announced that Calimax grocery retailer of Tijuana, Mexico is realizing a return on investment (ROI) rate in excess of 48 percent on its purchase and implementation of EXE Technologies' EXceed(TM) supply chain execution software.

Independent research conducted by the Center for Supply Chain Research (CSCR) at the Smeal College of Business at Pennsylvania State University confirms Calimax recovered its financial costs within a period of roughly 24 months. The resulting report "WMS System ROI Case Study -- Calimax, Tijuana, Mexico" articulates significant business results and improvements generated by EXE Technologies' EXceed product suite for the grocer.

"Our investigation of the EXE Technologies' EXceed implementation at the Calimax warehouse yielded overwhelmingly positive results in favor of the project," said Douglas J. Thomas, assistant professor of business logistics and operations management at Smeal College of Business. "EXE Technologies' solutions have produced immediate, measurable results."

For the year ending 2000, the Calimax distribution center/warehouse managed 6000-8000 different items and shipped goods valued at $170 million annually. In 1999, Calimax replaced its legacy system with the EXE Technologies' EXceed suite and has since demonstrated:

-- a reduction of 24.70 percent in average inventory levels,

-- a significant improvement in inventory accuracy,

-- a 31.14 percent boost in labor productivity, and

-- doubled order fulfillment rates

"The Smeal College of Business study has validated what we always knew about our customer implementations -- that the powerful technology of EXceed supply chain execution software can reinvent warehouse operations," said Ken Powell, president and chief operating officer at EXE Technologies. "Calimax and our other grocery customers worldwide are experiencing significant ROI through transformed processes."

Calimax has benefited from improved inventory control because of faster stock turnover and improved inventory accuracy supported by the EXceed suite. Calimax's average total inventory (measured in total number of days) decreased from 21.7 days to 16.34 days for a 24.70 percent lower level after the project. Inventory accuracy increased from 38.58 percent in March 2000 to 98.66 percent in June 2000, a jump of 155.73 percent and remained constant until May 2001. This improvement in inventory accuracy led to better visibility in the warehouse and more reliable management reporting.

Additionally, increased amounts of goods processed per unit time and improved order fulfillment rates have boosted Calimax labor productivity dramatically -- resulting in fewer lost customers and capitalizing on new revenue opportunities. Total cases of goods handled per hour increased 14.62 percent from 165.13 in December 1999 to 189.27 in May 2001, compared to the period immediately before the EXceed implementation (April 1998 -- February 1999).

"With the EXceed suite managing our warehouse, we can focus energies on other needed areas of business performance improvements," said John Grimaldi, director of logistics at Calimax. "The cost savings and process refinements as a result of EXceed have taken our operations to increased productivity and profitability levels we've never experienced before."

About the Report

Copies of the "WMS System ROI Case Study -- Calimax, Tijuana, Mexico" by the Center for Supply Chain Research & the Smeal College of Business are available upon request.

About the Center for Supply Chain Research & the Smeal College of

Business

One of the nation's leading institutions dedicated to research and education in the field of supply chain management and logistics, the Center for Supply Chain Research (CSCR) is organized within Smeal College's Division of Research at Pennsylvania State University. Founded in 1989, the center is a pre-eminent research community of scholars and practitioners dedicated to shaping practice in logistics and supply chain management in today's converging economies. The CSCR serves as a major source of published research and other information related to logistics, transportation, and supply chain management, and develops programs, conferences, and workshops for management and academic enhancement. The center draws upon faculty members from several academic areas as well as from other universities.

About EXE Technologies, Inc.

EXE Technologies, Inc. (Nasdaq:EXEE) is a leading provider of supply chain execution software solutions that deliver the vital, frontline supply chain intelligence to drive customer execution decisions and processes. EXE's products and services help customers worldwide reduce inventory and operational costs while increasing customer loyalty and satisfaction. The company provides global service and support from offices located in North America, Europe, the Middle East, Asia and Australia. For more information about EXE Technologies, Inc., call 214/775-6000 or visit www.exe.com.

EXE Technologies, EXE and EXceed are trademarks, registered trademarks or service marks of EXE Technologies, Inc. in the United States and/or other countries. All other trademarks or service marks contained herein are the properties of their respective owners.

Statements contained in this press release that are not historical facts may be forward-looking statements, as the term is defined in the Private Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as "anticipate", "estimate", "expect", "project", "intend", "plan", "believe" and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Many factors, including the risks outlined from time to time in the documents filed by EXE with the Securities and Exchange Commission, will be important in determining future results. The forward-looking statements contained in this press release include, among other things, statements relating to the capabilities of EXE's software, EXE's ability to implement its software and customers' ability to realize certain results from the implementation of EXE's software. Any and all forward-looking statements can be affected by inaccurate assumptions or by known or unknown risks and uncertainties, including, among other things, the length and complexity of the implementation cycle for EXceed software, which may result in delays and/or customer dissatisfaction. Actual future results may vary materially.