Metiom Solution Generates 75 Percent Transaction Cost Savings for Texas Instruments; 30 Percent Staff Savings For WesternGeco.

Business & Technology Editors

NEW YORK--(BUSINESS WIRE)--March 21, 2001

Metiom e-Catalog Provides Easy Supplier On-Ramp

and Saves Money for Both Companies

WesternGeco and Texas Instruments, Incorporated (NYSE:TXN), both long-time customers of Metiom(TM), Inc., a leader in global business-to-business e-Commerce, report significant cost-cutting, productivity and efficiency results from their use of the Metiom ConnectTrade(TM) Enterprise Purchasing product suite.

WesternGeco, a Joint Venture between Schlumberger Limited and Baker Hughes reports that through its use of Metiom ConnectTrade, it reduced its procurement staff costs by 30 percent; lowered its per transaction costs from triple digit levels to low double digit figures; reduced rogue spending; and increased contract compliance efficiency.

According to Dave Durham, one of WesternGeco's Managers of Purchasing, "The most significant thing this company has done to achieve overall savings is to introduce e-Commerce, and Metiom has been a huge factor in that success."

Texas Instruments (TI) says that the Metiom ConnectTrade solution helped it to reduce transaction costs from $140 per order to $35 or less.

"We have experienced approximately a 75 percent savings over the traditional purchase order cost," said Alan Daniel, TI's e-Procurement Director.

Daniel says that Metiom ConnectTrade also contributes to improved productivity, low-cost integration, reduced purchasing cycle time and stronger supplier-partner relationships.

"With Metiom ConnectTrade, suppliers host catalogs with up-to-the-minute pricing, availability and order tracking information on their own Websites. TI employees can log on to their suppliers' Web-based catalogs for current information wherever they may be. And, suppliers can use or adapt this Internet accessible catalog for other customers," Daniel explained.

Fast Implementation and Easy Integration Add to ROI and TCO Benefits

Both companies report that Metiom's fast implementation saved dollars and time. Once Metiom signed TI and WesternGeco, the company was able to implement the Metiom ConnectTrade solution in less than 65 days. For WesternGeco, Metiom helped enable scores of suppliers--also in less than 65 days.

With TI, Metiom also achieved a successful implementation within 65 days. In just a few months, TI and Metiom had 1100 TI users up and running, handling more than one third of the semiconductor division's yearly purchasing transactions--about 100,000. Daniel says that without Metiom ConnectTrade, that kind of transaction volume would force him add 35 more purchasing and accounts payable staffers to his payroll.

TI reports that in 2001, it plans to enable more users and suppliers at its US, Japanese, Asian, and European facilities, and Daniel says he anticipates a smooth integration of the Metiom solution as he globalizes.

"At headquarters, Metiom ConnectTrade integrated seamlessly with key functions of our SAP system. It installed easily on our existing hardware and integrated smoothly with our off-the-shelf Web browsers and Internet connections," Daniel said.

WesternGeco's Durham reports similar results with his company's legacy system.

"I believe anybody using the Metiom solution can achieve significant cost savings and increase efficiencies during these times of increased bottom line pressure," Durham stated.

Both companies say that Metiom ConnectTrade is easy to use and has been quickly accepted by employees and suppliers alike, reducing training costs and down time.

Metiom's Supplier Managed Catalog Fits Needs, Saves Money

The Metiom Supplier Managed Catalog(TM) (SMC) plays a significant role in reducing costs, according to both Durham and Daniel.

"Metiom's Supplier Managed Catalog is good for suppliers because it's easier, faster and less expensive than aggregated models. On the buy side, it is a major factor in cutting huge aggregation costs because I don't have to have a whole team wrapped around aggregating supplier content," Daniel said.

Durham said, "The Metiom SMC is good for us for a number of reasons. First, we have a very broad range of suppliers, meaning we buy virtually every kind of MRO product you can think of from all over the world. The SMC approach fits that kind of supplier model where other aggregated types of catalogs just wouldn't work. In addition, SMC allows our suppliers to differentiate themselves to us and permits them fast and easy updating on both pricing and availability.

"Aggregated catalog models would be a hinderance for us. Aggregation costs are traditionally quite large in both fiscal and human resources," he continued.

ABOUT METIOM

Metiom(TM) is a leading business-to-business e-commerce infrastructure provider, delivering e-Marketplace and Enterprise Purchasing solutions to global organizations. Targeting organizations that conduct business with many small businesses, Metiom is powering the ultimate e-Marketplace network--the world's largest small business e-commerce network.

Metiom's ConnectTrade solution consumerizes B2B by making it easy for businesses of all sizes to buy from and sell to each other over the Internet, leading to a lower total cost of ownership and faster return on investment for Metiom's customers. At Metiom Powered Marketplaces, small business can enjoy the stronger buying and selling power of big business and shop with greater ease and convenience than ever before. For information on Metiom or to learn more about Metiom Powered B2B Marketplaces, visit our Web site at www.metiom.com.