Manugistics Wins 2004 VICS Collaborative Commerce Achievement Award.

Business Editors/High-Tech Writers

Retail Systems 2004

CHICAGO--(BUSINESS WIRE)--May 19, 2004

Company Named "Best Third Party Provider;" Highly Successful Federated

Department Stores Implementation Recognized

Manugistics Group, Inc. (NASDAQ:MANU), a leading global provider of demand and supply chain solutions, was named this year's "Best Third Party Provider" by the Voluntary Interindustry Commerce Standards Association (VICS) at this year's annual Retail Systems/VICS Collaborative Conference in Chicago. Manugistics won the award for the role its solutions played in a world-class transportation management system for Federated Department Stores, Inc.

"We congratulate Federated on achieving significant results with Manugistics' transportation solutions," said Chris Verheuvel, Vice President, Retail, Manugistics. "We continue to offer superior functionality, industry expertise and the solutions that companies need to build a competitive advantage. We are honored that VICS has named us this year's 'Best Third Party Provider,' an award that demonstrates the hard work and dedication of our employees, as well as our commitment to providing our customers with world-class solutions."

Federated, which operates more than 450 stores in 34 states, implemented Manugistics NetWORKS Transport(TM) and NetWORKS Carrier(TM) in July 2003 to optimize inbound transportation and freight movements between suppliers and distribution centers.

"We are proud of our supply chain initiatives and of this industry recognition for our hard work," said Pam Sweeney, Senior Vice President, Systems and Technology, Federated Logistics and Operations. "This achievement highlights our commitment to best practices and to providing our customers with the best service possible."

The VICS "Best Third Party Provider" award is presented to a logistics or systems provider that has developed or implemented innovative systems and practices dedicated to cost-effective service and supply chain improvement. More details regarding this award, as well as Federated's noteworthy metrics using Manugistics' transportation solutions, can be found at www.retailsystems.com.

The VICS Collaborative Commerce Achievement Awards recognize outstanding examples of strategic thinking and leadership, as well as Uniform Code Council and VICS standards utilization that have resulted in more effective supply chain partnerships. The awards also honors supply chain innovation as it drives improvements in customer satisfaction levels.

About the Voluntary Interindustry Commerce Standards (VICS) Association

The mission of the VICS Association is to take a global leadership role in the ongoing improvement of the flow of product and information about the product throughout the entire supply chain in the retail industry. The Association's overall global objective is to improve product availability to the consumer by providing leadership and encouragement in the identification, development and implementation of volunteer standards, protocols, guidelines, and other mechanisms, which when properly utilized, are expected to lead to better anticipation of, and reaction to, changes in consumer demand for these products with the subsequent optimization of production and carrying costs. For information about becoming a member of VICS or participating in one of its other Board Committees, such as VICS CPFR(R), Floor-Ready Merchandise, Hardlines eCollaborative Commerce, or Logistics, please visit www.vics.org or www.cpfr.org. You may also contact VICS directly at [e-mail].

About Federated Department Stores, Inc.

Federated, with corporate offices in Cincinnati and New York, is one of the nation's leading department store retailers, with annual sales of more than $15.2 billion. Federated operates more than 450 stores in 34 states, Guam and Puerto Rico under the names of Macy's, Bloomingdale's, Bon-Macy's, Burdines-Macy's, Goldsmith's-Macy's, Lazarus-Macy's and Rich's-Macy's. The company also operates macys.com and Bloomingdale's By Mail. Additional information on Federated is available at www.fds.com.

About Manugistics Group, Inc.

Manugistics is a leading global provider of demand and supply chain management solutions. Today, more than 1,200 clients trust Manugistics to help them drive profitable growth, unlock the value of their existing IT investments, and ensure the security and integrity of their global supply chains. Its clients include industry leaders such as AT&T, BMW, Boeing, Brown & Williamson, Cingular, Circuit City, Coca-Cola Bottling, Continental Airlines, Diageo, DuPont, Harley-Davidson, John Deere, McCormick, Nestle, Nissan, RadioShack, Sanmina-SCI and Unilever. For more information, go to www.manugistics.com.

FORWARD LOOKING STATEMENT

This announcement contains forward-looking statements that involve risks and uncertainties that include, among others, continuing economic and political uncertainty, the timing and degree of business recovery, anticipated losses, unpredictability of future revenues, potential fluctuations in quarterly operating results, unexpected competition, risks related to quarterly performance, risks of new business areas, international expansion, business combinations and strategic alliances, lengthening of sales cycles for software products and services, and the effectiveness of the cost reduction efforts undertaken by Manugistics and their impact on the company's ability to operate its business. A decreased demand for enterprise application software due to weakened economic conditions could result in decreased revenues or lower revenue growth rates. More information about factors that potentially could affect Manugistics' financial results is included in Manugistics filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended February 29, 2004. Manugistics assumes no obligation to update the forward-looking information contained in this announcement.