EMPTORIS MOMENTUM CONTINUES AS COMPANIES ADOPT SUPPLY MANAGEMENT SOLUTIONS CRITICAL TO BUSINESS

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BURLINGTON, Mass., Nov. 17, 2004 - Emptoris, the leading provider of Enterprise Supply Management solutions for Global 5000 companies, today announced record results for the third quarter of 2004. The company reported revenues that were over 200% of revenues for the same period in 2003. The company also reported new sales for the third quarter were 250% of the third quarter of 2003. This continues the trend set by Emptoris when it delivered record first and second quarter 2004 performance.

Key to achieving these results were deals re-enforcing Emptoris' leading position in the financial services, pharmaceutical, retail and manufacturing industries. Overall, the company signed 15 major deals this quarter. Emptoris also delivered significant contribution from Europe and the Asia Pacific region.

"Emptoris' continued success demonstrates the high value our solutions provide for companies tackling complex supply management problems," said Avner Schneur, CEO of Emptoris. "These customers use our solutions not only to reduce costs and improve financial performance but also to build competitive advantage in their supply chain."

Additional Milestones

• Strong growth attracts new investor - Earlier this year, Emptoris closed a highly successful $12 million round of financing. The round was led by new investor ABS Capital Partners, a leading private equity firm focused on investing in established growth companies, with existing investors Menlo Ventures and HarbourVest also participating. The funding will be used to accelerate sales and marketing and for acquisitions. "We are pleased to have ABS Capital as a new partner and believe their experience with growth companies will enhance our first-class management team," said Mr. Schneur.
  
  
• Industry veteran joins Emptoris board of directors - Dean Goodermote, venture partner at ABS Capital Partners, joined the Emptoris board of directors. With fifteen years of senior management in technology companies, Mr. Goodermote brings a wealth of experience leading companies through their expansion stages. Before joining ABS, Mr. Goodermote was the CEO of Clinsoft and Process Software, and the Chairman and President of MRO Software, which he led through a successful IPO and secondary offering. "We are excited to be partnering with such a quality management team. We believe that Emptoris is the leading solution in the strategic sourcing market and have been impressed with how the company has executed on its plan," said Mr. Goodermote. "Emptoris products integrate spending analysis with procurement functions providing significant competitive differentiation." Mr. Schneur added, "Dean Goodermote has been a successful enterprise software CEO, and we look forward to having him as a director as we continue to build our company's position as the number one provider of enterprise supply management solutions."
  
  
• Emptoris bolsters advisory board with procurement expertise - Emptoris today announced that a leading figure in North American procurement, Robert A. Rudzki, has joined Emptoris' advisory board. Mr. Rudzki brings twenty-five years of leadership experience across several industries. Currently the President of Greybeard Advisors LLC, which provides strategic and focused advice to businesses on improving bottom line performance, Mr. Rudzki previously served as Senior Vice President, Materials Management and Chief Procurement Officer for Bayer Corporation, a subsidiary of Bayer Group. At Bayer, he led a nationally recognized transformation effort that generated significant improvements in costs and working capital. Mr. Rudzki commented, "Having witnessed first-hand the importance of people, processes and technology in procurement transformation, I look forward to guiding Emptoris' strategic direction and business development efforts so other companies can reap the improvements that are possible." A published author and frequent speaker at conferences, he sits on Purchasing Magazine's Editorial Advisory Board and was selected by Supply and Demand Chain Executive for its annual "Pros to Know." A graduate of Lehigh University, Mr. Rudzki also holds an M.B.A. from The Wharton School.

About Emptoris
Emptoris provides powerful enterprise supply management solutions for Global 5000 companies. Through Emptoris 5, a suite of Web-based solutions, enterprises can drive millions of dollars in bottom-line savings, execute savings initiatives faster, and improve the productivity of their procurement and supply management teams. Emptoris customers include American Express, Boeing, Cigna, Fleet Financial, GlaxoSmithKline, Motorola, and Owens Corning. Emptoris, a privately held company, is headquartered in Burlington, Massachusetts.

About ABS Capital Partners
ABS Capital Partners is a private equity firm that was founded in 1990 to invest in mid- to later-stage growth companies to create significant, market- leading companies. The firm's investment strategy focuses on companies in the healthcare, technology, business services and media and communications sectors. Its investment professionals partner with strong management teams to build businesses with substantial revenues, near-term profitability and solid customer bases. ABS Capital Partners leverages over 100 years of combined investing and operating experience among its partners and provides a range of investment structures, including expansion financings, management buyouts and recapitalizations. With an extensive history and knowledge of equity and mergers and acquisitions markets, ABS Capital Partners provides strategic guidance and helps companies to capitalize on their business opportunities. ABS Capital Partners has $1.5 billion under management and nine investing partners with offices in Baltimore, San Francisco and Boston. Additional information can be found at: http://www.abscapital.com/.

 

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