Vastera Enters Into $25 Million Agreement with Lucent Technologies; Global Trade Management Leader to Manage Lucent's Trade Operations.Business Editors
DULLES, Va.--(BUSINESS WIRE)--Aug. 29, 2001
Vastera, Inc. (Nasdaq:VAST), the leading provider of solutions for Global Trade Management, is pleased to announce that it has reached an agreement with Lucent Technologies (NYSE NYSE
See: New York Stock Exchange :LU) to manage the company's U.S.-based global trade operations.
The deal is a five-year agreement, with the first three years valued at $25 million.
"Reducing costs and enhancing our ability to serve customers are high-priority objectives for Lucent," said Anthony Damelio, Director, Global Logistics and Strategy, Lucent Technologies. "Selecting Vastera to manage our global trade operations helps us accomplish both of these objectives through improved supply chain efficiencies."
Given its shipment volumes, global presence and the breadth of product line, Lucent Technologies has one of the most complex global trade operations in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. .
Lucent will use Vastera's managed services An umbrella term for third-party monitoring and maintaining of computers, networks and software. The actual equipment may be inhouse or at the third-party's facilities, but the "managed" implies an ongoing effort; for example, making sure the equipment is running at a certain quality solutions to perform functions including classifying products, performing compliance checks on shipments, applying for licenses, generating international shipping documents and filing import entries, to name a few.
Under the terms of its managed services agreement, Vastera will manage these functions for Lucent by applying its software solutions, global trade business processes and trade expertise. Vastera will also manage Lucent's Deemed Exports program as well as provide internal compliance training.
In addition to leveraging Vastera's managed services capabilities, Lucent also expects to roll-out Vastera's TradeSphere software solution globally. TradeSphere will provide Lucent with greater visibility of global shipments, and enable the company to collaborate more effectively with its extended trading partners.
"Lucent is taking a very aggressive approach to restructuring its operations to benefit both its customers and shareholders," said Mark Ferrer, President and COO of Vastera. "The fact that Lucent has chosen Vastera to manage the company's U.S.-based global trade operations demonstrates Lucent is wasting no time in executing its plan. We are looking forward to working closely with Lucent to help the company achieve its strategic goals."
"As I mentioned on our Q2 earnings call, we're seeing very strong demand for our managed services offerings," said Arjun Rishi rishi (rēˑ·shē),
n in Sanskrit, one who possesses knowledge. , CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and Chairman of Vastera. "The value proposition is simply too strong for Global 2000 companies to overlook: converting fixed costs fixed costs,
n.pl the costs that do not change to meet fluctuations in enrollment or in use of services (e.g., salaries, rent, business license fees, and depreciation). to variable costs, no up-front investment, significant financial returns - with savings in the first year and improved global supply chain efficiencies."
Vastera is the leading provider of solutions for Global Trade Management. Its solutions including software, trade management consulting Noun 1. management consulting - a service industry that provides advice to those in charge of running a business
service industry - an industry that provides services rather than tangible objects and managed services, are designed to streamline global business. The foundation of these solutions is Global eContent, a comprehensive, rules-based application of country-specific trade and regulatory content, which is updated daily.
Vastera's solutions drive quick, tangible benefits for its clients by accelerating the flow of goods through the global supply chain, and reducing the associated operational costs. Vastera clients include: Ford, Visteon, Microsoft, Sun Microsystems Sun Microsystems, Inc. (NASDAQ: JAVA) is an American vendor of computers, computer components, computer software, and information-technology services, founded on 24 February 1982. , New Zealand New Zealand (zē`lənd), island country (2005 est. pop. 4,035,000), 104,454 sq mi (270,534 sq km), in the S Pacific Ocean, over 1,000 mi (1,600 km) SE of Australia. The capital is Wellington; the largest city and leading port is Auckland. Dairy Board and Nissho Iwai. For more information, please visit www.vastera.com.
This press release includes statements, which may constitute forward-looking statements forward-looking statement
A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. made pursuant to the safe harbor Safe Harbor
1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated.
2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Statements in this press release that are not strictly historical are "forward looking" statements which are subject to the many risks and uncertainties that exist in Vastera's operations and business environment.
These risks and uncertainties may cause actual results to differ materially from the expected results and include, but are not limited to, Vastera's limited operating history, history of losses and anticipation of continued losses, potential volatility of quarterly operating results, the ability to successfully implement Vastera's expansion plans, risks related to the Internet, risks related to legal uncertainty and other risks which are set forth in more detail in Vastera's Registration Statement on Form S-1, as amended, as well as other reports and documents filed from time to time with the Securities and Exchange Commission.