Home Club Selects PSC as Primary Supplier; Leading Chinese Retail Chain To Purchase Point-Of-Sale Scanning Products.

Business & Technology Editors

PORTLAND, Ore.--(BUSINESS WIRE)--Aug. 23, 2001

PSC Inc. (Nasdaq: PSCX), a global provider of integrated data-collection products and services for retail supply chains, announced today that Home Club, one of China's largest and fastest growing retail chains, has selected PSC as its primary Auto-ID vendor during a recent meeting at the company's manufacturing plant in Eugene, Oregon.

Additionally, Home Club has agreed in principle to install Magellan SL scanner/scales in all new stores as its retail chain continues to aggressively expand. This is in addition to the 550 multi-plane Magellan SL scanner/scales already installed from PSC in its existing stores.

Home Club also expressed its intent to install other PSC scanning and data capturing equipment at the point-of-sale in select stores to help ensure the fastest possible checkout time for consumers, as well as back-room applications such as receiving and logistic handling.

"We are delighted that one of China's fastest growing retailers has chosen to expand its relationship with PSC," said Richard Xiao, Country Manager of China for PSC Inc. "Orders from industry leaders like Home Club illustrate our strength in the market and have driven our double and triple digit growth in China over the past few years."

"We have selected PSC as our primary provider because the company has an established track record providing high-performance, reliable products," said Mr. Yu, President and COO of Home Club. "The Magellan SL scanner has the highest throughput capability in the world and has already proven to increase our productivity, reduce costs and pricing errors, as well as significantly decrease the time shoppers spend checking out. As our business grows, it is our intention to expand our cooperation to include other PSC scanner lines."

Other companies using PSC products in China include Wal-Mart, Carrefour, Hualien, LuenHwa, CRC, and Nonggongzhang.

PSC Inc.

PSC provides innovative data-collection solutions for the retail supply chain worldwide. Its range of products includes mobile and wireless data-capture terminals, warehouse management software, point-of-sale self-checkout scanners, and fixed-position and handheld bar code scanners. PSC(R) products are used to improve efficiency, speed, and agility in the retail, and warehouse and distribution sectors. Headquartered in Portland, Oregon, PSC has major manufacturing facilities in Eugene, Oregon, as well as sales and service offices throughout the Americas, Europe, Asia and Australia. PSC and Magellan SL are registered trademarks of PSC Inc. Other products referenced herein may be trademarks of their respective companies. To learn more about PSC, visit www.pscnet.com or contact us at 1-800-695-5700.