XPORTA Unveils Cost-Cutting Global Sourcing Methodology and Draws Interest from World's Leading Manufacturers.

Business Editors/Technology Writers

Global Sourcing Leadership Workshop

SANTA CLARA, Calif.--(BUSINESS WIRE)--May 5, 2003

Invitees to XPORTA Global Sourcing Leadership Workshop May 6 -- 7 in Pittsburgh Gain Unique Opportunity to Learn Strategic International

Sourcing Methodology and Pilot the XPORTA Solution

XPORTA, Inc., the leading provider of global sourcing solutions, today announced mounting interest in the company's Global Sourcing service as attendance to XPORTA's third Global Sourcing Leadership workshop scheduled for May 6 and 7 in Pittsburgh, doubled in size from the first event that took place in January this year.

XPORTA workshop invitees gain a unique opportunity to learn the complex economics of international trade, apply the proven XPORTA Global Sourcing Methodology to their operations, and acquire XPORTA's solution for a trial period at no cost.

The sourcing management audience at XPORTA's Global Sourcing Workshop in Pittsburgh tomorrow will be comprised of leaders from Alcoa, Fisher Scientific, International Truck and Engine Corporation, Motorola, and Rockwell International. These manufacturing executives will walk away from the 2-day meeting armed with basic and advanced training needed to get up to speed and be productive in the field of Global Sourcing and produce actionable results for their companies.

"All of the companies invited to attend our sourcing leadership meetings are known for their disciplined business management and ability to maintain a strong market position despite the faltering global economy," said Dave Horne, XPORTA CEO. "They understand the critical role that technology with proven ROI can play in optimizing operations and adding dollars to the bottom line. We are pleased to play a role in sustaining their leadership positions by providing a Global Sourcing solution that can reduce their cost of goods sold by 10 to 15 percent. Together with these pioneering manufacturers and others who have adopted our service, XPORTA is establishing the future of strategic sourcing."

Boston-based analyst firm AMR Research released figures that indicate the procurement and sourcing solution industries are in growth mode. "Seventeen percent of the companies that don't have sourcing and procurement applications plan to implement (them) over the next year -- a market growth of 12 percent, up from $1.65 billion in 2002 to $1.83 billion in 2003," says Pierre Mitchell, an AMR vice president.

About XPORTA Global Sourcing Methodology

The XPORTA Methodology for Global Sourcing(TM) consists of four progressively advanced techniques that accelerate the learning curve associated with adopting new business processes so cost-saving Global Sourcing opportunities can be achieved in a matter of days and weeks -- versus months or years:

-- Optimize Existing Supply Lines -- Many companies that source

low-cost material are missing an often dramatic opportunity to

drive costs even lower by opening up these existing, and

proven, sources to every plant in the company, not just those

in the local market. The methodology for optimizing global

supply lines enables companies to maximize their current

sources, as well as diversify their supply risk by sharing

potentially lower-cost, and more efficient, sources across all

major sourcing regions.

-- Evaluate Alternative Low-Cost Countries -- Without a full

understanding of the Total Cost of Ownership (TCO) when

sourcing from low-cost countries, companies will miss their

target cost reductions. When evaluating a new country source

and preparing to negotiate effectively, companies must model

the TCO for all non-material costs and in effect normalize 

material costs against local and other sources.

-- Evaluate Alternative Incoterms -- There are thirteen major

terms recognized around the world for conducting global trade.

These business terms are called Incoterms. Each of these

Incoterms defines a different set of costs, obligations, and

risks for both the buyer and the seller. By following a

methodology for gathering bids for the top three to five

Incoterms, global sourcing practitioners often uncover another

one to two percent gross margin improvement.

-- Evaluate Alternative Assembly Scenarios -- Duties, taxes,

fees, and compliance restrictions are driven from the unique

classification code that defines the materials that flow

through customs. These codes are called Harmonized System 

Codes. HS Codes are typically ten-digit numbers, with the

first six standardized across all countries adhering to the

World Customs Organization nomenclature. Depending on the

finished state of the material and the end use of the

product(s), classifications can change. The most advanced

methodology for Global Sourcing requires a solid command over

the dynamics of HS codes, and includes techniques for

potentially minimizing duties and taxes by performing assembly

or configuration processes in different countries in the

global supply chain.

About XPORTA Inc.

XPORTA enables Fortune 2000 companies to make optimal cross-border planning decisions and reduce their cost of goods sold. Founded in 1999, XPORTA is located in Santa Clara, CA. Additional information about XPORTA can be found at www.xporta.com, or by calling toll free [phone].