Lawson Awarded $1.3 Million Contract with Kemper Insurance.

Business Editors

ST. PAUL, Minn.--(BUSINESS WIRE)--Aug. 16, 2000

e-Business Solutions for $3.0 Billion Kemper Extends

Lawson's ASP Lead; Lawson Internet Technologies, Partners,

Self-Evident Model Key Factors

Lawson Software, the Enterprise behind the Internet, today announced an e-business software contract with Kemper Insurance Companies valued at $1.3 million. Kemper, a $3.0 billion provider of property-casualty insurance and risk management services, selected Lawson from a field of 20 software vendors, including PeopleSoft and Oracle. Company officials cite cost of ownership, Web technologies, ease of use, speed and flexibility as factors in their decision to select Lawson.

Kemper Insurance licensed lawson.insight(TM) Human Resources and Payroll, including Lawson's e-Human Resources Center, to support approximately 8,000 employees. The Lawson solutions will be hosted by LawsonTone(TM) application service provider (ASP) partner Agilera.

"By selecting Lawson e-business applications hosted by Agilera, Kemper expects to save approximately 40 percent over current total costs for managing human resources and payroll," said Glen McPherson, manager, Human Resources Systems, Kemper Insurance Companies. "Lawson solutions and the ASP option give us the flexibility we need to quickly deal with organizational changes. We also found that the hosted application model provides us with a lower initial cost of ownership and a faster return on investment by reducing capital and operating costs associated with large enterprise systems."

Lawson's e-business human resources solutions provide the tools, services and strategies that enable an organization to efficiently select, recruit, maintain and retain its human capital. By leveraging Lawson's Self-Evident Applications(TM) (SEA), and with the option to purchase or lease applications, Lawson improves speed of delivery, simplifies implementations and continually enhances the scope and strength of solutions. Extending administrative capabilities to employees via Lawson's Self-Evident Applications frees the human resources staff from burdensome administrative tasks and allows them to focus on more strategic initiatives.

Through partnerships with leading independent application service providers and business process outsourcers (BPOs), the LawsonTone program provides for the delivery of Lawson e-business applications to end users via the Internet or private networks. LawsonTone Application Hosting is designed for businesses that wish to maintain full control over the use of their Lawson solutions, but don't want to manage the software and supporting infrastructure themselves. LawsonTone business process outsourcing is engineered for companies that depend on a consulting partner to perform some or all of their business processes. The BPO hosts the Lawson solutions, offering them as value-adds to their overall services. The business process outsourcer can also provide the staff to manage the business process such as payroll, invoicing or order entry.

"The open software architecture of Lawson's e-business engines and Self-Evident Applications are ideally suited for delivery via ASPs, and that is driving significant early business in our Digital Markets initiative," said Eric Morgan, executive vice president, Digital Markets, Lawson Software. "Our strategy is to build market share by powering the solutions that ASPs and digital exchanges offer to their end-users. That lets us stick to our core competencies in software development, and gives us the opportunity to rapidly grow revenues based on new solution delivery models and the channels they create."

Lawson Software, the Enterprise behind the Internet, is a $306 million provider of integrated e-business solutions. Lawson offers role-based Self-Evident Applications(TM) (SEA), transaction engines and e-business extensions powering financial, human resources, supply chain, analytic, enterprise relationship management and e-commerce solutions. IDC states that Lawson is "...primed for the next generation of enterprise-applications utility." According to the Aberdeen Group, "Lawson's commitment to Internet application standards and the delivery of e-business-enabling enterprise applications...should propel it to the forefront of this market space." Headquartered in St. Paul, Minn. and London, Lawson has offices and affiliates serving North and South America, Europe, Africa and Asia. Additional information about Lawson Software is available on the company's Web site, http://www.lawson.com, or by calling [phone], ext. 100.

Lawson, Lawson Software, lawson.insight, lawson.community, lawson.consulting and Self-Evident Applications are trademarks or registered trademarks of Lawson Software. Other company and product names are the trademarks of their respective companies.