EMPTORIS DRIVES AHEAD WITH STRONG CUSTOMER GROWTH, PRODUCT AND SERVICE EXPANSION

Supply and Contract Management Company Records 68% Sales Growth in First Half of 2006

Burlington, MA – July 20, 2006 – Emptoris, Inc., the leading provider of enterprise supply and contract management software, today announced that it has recorded 68% year-over-year sales growth in the first half of 2006.

Throughout the 2nd Quarter Emptoris rolled out several new product and services offerings, including the Emptoris 6 suite, and certified SAP process integrations using the NetWeaver platform. In this quarter Emptoris’ products received several unique industry honors, including being the only sourcing solution inducted into the prestigious Franz Edelman Academy, by the Institute for Operations Research and the Management Sciences (INFORMS) for helping Motorola save over $600 million. Emptoris also received the #1 rank by Forrester research for its current sourcing and contract management offerings in Forrester’s latest market assessments for Contract Management and for Sourcing Suites. The company also announced the launch of a new services offering, Overdrive, to help companies drive adoption and accelerate business impact, through stronger sourcing program management.

“Emptoris’ strong organic and new customer growth clearly demonstrates the market’s demand for and adoption of our award-winning solutions,” said Avner Schneur, Emptoris' chief executive officer. “In the first half of 2006, Emptoris continued to demonstrate clear leadership in the supply and contract management software market by aggressively implementing strategic expansion and growing our services offerings, to ensure we exceed our customer’s demands.”

During the quarter the company also completed the acquisition of MINDFLOW Technologies.

Strong Market Adoption Drives Record Results
In the second quarter ending June 30, 2006, Emptoris recorded its strongest quarter ever with over 64 transactions contributing to the 68% year-over-year sales growth recorded during the first half of 2006.

Emptoris reported that its strong sales growth was fueled by new customers, continued acceleration in overseas markets, and organic growth generated by significant new innovations to its solution suite. Customers showed strong demand for Emptoris spend analysis, sourcing and contract management solutions with the biggest demand coming from companies looking for a broad integrated suite.

Some of the major new deals signed include those with one of the largest aircraft manufacturers; one of the largest global travel services companies; a large European based shipping & transportation organization; a leading global manufacturer of personal computers; and a Fortune 100 global consumer goods company. The company now has over 160 customers globally.

New Offerings Drive Greater Adoption and Value
“Our growth stems from Emptoris’ commitment to help customers address their challenges and meet their business objectives. We continue to develop and evolve our functionally-rich suite of solutions and services to meet their needs – and customers have clearly responded,” said Schneur.

In the first half of 2006, Emptoris unveiled the following solutions:

Emptoris 6: Released earlier this year, Emptoris 6 provides the deepest and broadest functionality to support the supply and contract management process including solutions for spend analysis, sourcing, contract management, compliance, and supplier performance management. The solution suite can analyze all types of spend, manage sourcing for all categories and negotiate all types of contracts. This latest version also delivers a new compliance solution and a number of high value improvements to existing functionality.
SAP Solution Integration: In June, Emptoris released its SAP integration package for Emptoris 6. With this turnkey solution based on the SAP NetWeaver® Exchange Infrastructure (SAP NetWeaver XI), companies can drive sourcing and contract decisions directly into the ERP procure-to-pay process, helping ensure that day-to-day operations meet the requirements of strategic agreements. Leveraging Emptoris’ existing “Powered by SAP NetWeaver” qualification, customers can quickly and easily deploy Emptoris in their SAP NetWeaver-based environment.

Independent Recognition
Emptoris continues to receive independent recognition for the innovation and impact of its solutions – as well as for its market leadership:

Selection by INFORMS for helping Motorola save $600 million: In May, Emptoris received further independent validation for the value its customers achieve with its solutions when it was inducted by INFORMS into the prestigious Franz Edelman Academy. The academy is a “Who’s Who” of business achievement in operations research. Emptoris is the only software vendor selected, although many had applied, for recognition of the best implementation of optimization technology in Supply Management to realize procurement and sourcing business impact.
Forrester Research #1 Rankings: Emptoris’ contract management solution was also recently ranked #1 for current offering in the Forrester Wave Contract Lifecycle Management Suite (Q1 2006). Emptoris also ranked #1 for current offering in the Forrester Wave Esourcing Suite (Q4 2005). Based on Forrester's rigorous methodology, which evaluated vendors on 127 criteria, Emptoris received top scores in spend analysis, supplier discovery, supplier assessment, RFx/reverse auctions, sophisticated bid optimization and sourcing activity management.
Supply & Demand Chain Executive: The company was also selected for The Supply & Demand Chain Executive listing of the leading supply management innovators in the market in the June/July 2006 issue of the publication.

Customer Growth Propels Further Expansion
“With such strong demand for our solutions, Emptoris is able to invest heavily in new products and services to help our customers drive adoption and deliver greater success,” said Schneur.

Since its inception, Emptoris has invested more than a third of its revenue back into research and development. With a global team of more than 380 people, Emptoris has aggressively expanded across all parts of the company and all geographic locations to meet the demands of this growth. This includes newly opened offices in France and Germany and the doubling of the European team. (To find out more about career opportunities with Emptoris, please visit the careers section of the Emptoris website.)

New service offerings and strategic acquisitions also have expanded the company’s capabilities:

Overdrive by Emptoris: Also today, Emptoris launched Overdrive, a new offering designed to accelerate business impact and drive self-sufficiency for customers. Built by sourcing program managers, this offering helps companies create and run an effective program management office to support the roll out of Emptoris’ sourcing capabilities enterprise-wide and push adoption to the next level. The offering combines new tools and services including a benchmarking assessment, adoption workshops, advanced analytical reporting and access to a broad user community for the exchange of knowledge.

“Excellence in supply management is not an option – it is an imperative,” said Andy Kyte, VP and Gartner Fellow, Gartner, Inc. “Every organization seeks the price and performance benefits the competitive global economy offers – and these benefits are most available to those who transform their sourcing and supply management to strategic excellence. This transformation demands leadership, comprehensive change management and effective tools that enable buyers to focus on strategic activities.”
European Growth: This Spring, Emptoris held its first annual European User Forum. This event brought together executives and practitioners from over 90% of Emptoris’ European customer base to discuss supply management trends and share best practices in driving adoption in the European region.
Merger with diCarta: Earlier this year, Emptoris completed its merger with diCarta, the leading provider of enterprise contract management software. The combination enabled the company to offer a more comprehensive enterprise-wide supply and contract management solution to customers. Both companies were hailed by independent research firms for being number one for their current offerings and experienced strong customer and revenue growth.
Acquisition of MINDFLOW: Earlier today, Emptoris announced it has completed the acquisition of MINDFLOW Technologies, a recognized innovator in inbound supply chain planning and sourcing optimization. With the acquisition, Emptoris expanded its market-leadership, added a number of major new customers, and further strengthened the company’s vertical industry expertise and team of sourcing professionals and developers.
[See related press release.]

Upcoming Thought Leadership Seminar
To hear how companies are leveraging Emptoris’ solutions to drive business impact and profitable growth, please register for “The Enterprise Procurement Report Card: Improving Performance to Directly Impact the Bottom Line.”

In this complimentary webcast, industry thought leaders from the Institute of Supply Management, GlaxoSmithKline, and featured analyst firm Gartner will discuss what companies must do to improve the performance of their procurement organization. This event takes place on July 27, 2006, at 12 p.m. Eastern. For more information and to register for this event, go to: www.emptoris.com/ISM.

About Emptoris
Emptoris is the world leader in innovative supply and contract management software solutions that empower enterprises to realize best value and accelerate profitable growth. Emptoris solutions are used by successful Global 2000 companies in every industry. Customers include American Express, Bank of America, Boeing, Dow Corning, GlaxoSmithKline, Motorola, Owens Corning, Samsung America, and Toro.

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