SVI Signs U.K. Deal with Center Parcs; European Resort Operator to Implement SVI Retail's Merchandise Management System.

Business Editors

SAN DIEGO, Calif.--(BUSINESS WIRE)--Dec. 19, 2000

SVI (AMEX: SVI) announced today that its subsidiary, SVI Retail, has signed an agreement to provide Center Parcs, the European market leader in the provision of short break holidays, with a back office retail enterprise solution for their U.K. operations. This solution, SVI Retail's Merchandise Management System, will give Center Parcs enhanced management of their growing retail business. Terms of the agreement were not disclosed.

SVI Retail's Merchandise Management System is designed to manage a retailer's increasingly complex retail enterprise operations including merchandising, warehouse management, ticketing, events, sales audit, and finance. Robin Betterton, IT Manager for Center Parcs stated, "To meet the needs of Center Parcs' growing retail operations in our Holiday Villages, we began evaluating the options for a centralized system that offered more sophisticated functionality - that's when we called SVI. They were extremely responsive to our requests during the selection process and we felt the look and feel as well as the functionality of SVI's offering was superior to the others we evaluated. We were especially impressed with their analysis and planning tool, The Eye. It will provide us with a decision support application that we can use to consistently analyze our sales and marketing data across all our UK resorts."

"Center Parcs' selection of SVI's Merchandise Management System is a testament to the flexibility of our solution," said Mark Wulff, SVI Retail's CEO. "Our retailer partners are from a variety of different verticals from specialty apparel and gifts to lumber and hardware to entertainment and hospitality. We are extremely pleased to add another well recognized brand to our growing list of European retailers."

About SVI Retail's Merchandise Management System

SVI's Merchandise Management System is central to the overall SVI Retail Enterprise Solution. The System includes a number of modules that allow retailers to integrate all their operational areas in support of the supply chain: planning and open-to-buy, forecasting, purchase order management, allocation, transfers, automated replenishment, price management and physical inventory. In addition, SVI's decision support and planning tool, The Eye(TM), offers a feature-rich complement to the overall Merchandise Management System. Because The Eye's data warehouse structure is easy to use, offers high-level performance and is completely integrated into the merchandising module, users throughout the retail organization can operate using one common knowledge base.

In addition to the core modules included in the Merchandise Management System, the architecture itself provides advantages. SVI employs a single-version development philosophy where the core product is continuously enhanced by both customer-driven modifications and internally funded development. This approach ensures retailers a robust, feature-rich product with an upgrade path that keeps pace with the latest retail requirements supporting industry best practices.

In addition to its Merchandise Management System, SVI Retail also provides Point-of-Sale (POS) solutions and e-commerce systems and services.

About Center Parcs

Center Parcs is the European market leader in the provision of short break holidays, operating in the Netherlands, Belgium, Britain, France and Germany. Center Parcs has been in existence for over 30 years, its first venture being a small complex of 40 holiday villas and limited sporting facilities in Holland, which has grown to become an international group of 13 major Holiday Villages. Five of these are located in Holland, three in Great Britain, two in Belgium, two in France and one in Germany.

About SVI

SVI, headquartered in San Diego, CA, addresses two primary markets: Retail Information Systems and Instructor-led PC Applications Training and Assessment Tools. Through its subsidiary, SVI Retail, it is focused on becoming a leading global provider of multi-channel software solutions for the retail industry, including e-commerce applications as well as supply chain, in-store and Customer Relationship Management (CRM) systems. Through its SVI Training Products subsidiary, the company markets customizable desktop training applications as well as skills assessment applications and custom training programs for retailers. SVI maintains offices and subsidiaries in the United States, the United Kingdom, Australia and South Africa. The Company has a worldwide customer base including major retailers such as Home Depot, OfficeMax, The Limited, JCPenney, the Disney Stores, Victoria's Secret, the U.S. Postal Service and Toys "R" Us. Additionally, they have a number of customers from corporations, schools and government agencies such as Alcoa, BP Amoco, Dun & Bradstreet, Kaiser Permanente, the Ohio Department of Transportation, the Texas Department of Criminal Justice, the University of Missouri, and the University of Oklahoma. SVI's web sites are located at www.svisolutions.com and www.svitrain.com.

Certain statements contained in this news release regarding matters that are not historical facts are forward-looking statements. These statements relate to future events or the Company's future performance. These statements are only predictions. Because such forwarding-looking statements include risks and uncertainties, actual results may differ materially from those expressed in or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, the Company's ability to increase sales, market acceptance of the Company's products, competition, the ability to raise capital when needed on terms and conditions acceptable to the Company, the Company's ability to consummate acquisitions and develop advanced technologies, fluctuations in currency exchange rates, the demand for the Company's product and services internationally, especially in the United Kingdom, Australia and South Africa, the impact of a potential business combination with the Company's majority shareholder and other risk factors identified from time to time in the Company's filings with the Securities and Exchange Commission. Other risk factors are listed in the Company's Report on Form 10-K for the fiscal year ended March 31, 2000. SVI undertakes no obligation to release publicly any revisions to the forward-looking statements to reflect events or circumstances after the date of this news release or to reflect the occurrence of unanticipated events.