VendorNet Announces General Availability of VendorNet Dropship Manager

New Online Collaboration Technology Automates Business Critical Order Processing, Fulfillment, Tracking, and Invoicing Between Retailers and Dropship Suppliers

BOCA RATON, FL., February 2, 2002 - VendorNet announced today general availability of VendorNet Dropship Manager marking the premier release of the company's VendorNet Commerce Suite. VendorNet Dropship Manager electronically links retailers to dropship suppliers eliminating manual processes, and enabling real-time visibility from the time an order is placed with the supplier through delivery to the consumer. This online retailer/supplier collaboration system significantly reduces dropship order processing and invoicing time, reduces costs, and most importantly - improves service to the consumer.

VendorNet Dropship Manager overcomes the challenges presently found in the paper-based, labor-intensive relationship between retailers and dropship suppliers. By enabling bi-directional communication through a pure web-based application, VendorNet Dropship Manager eliminates time delays and costs associated with faxing or mailing orders and subsequent invoices. It streamlines order tracking and empowers retailer customer service departments with accurate order status without manual queries to the supplier. Also, because VendorNet Dropship Manager improves business processes and visibility to supplier performance, retailers can expand product selections with no upfront inventory expense or risk, and extend peak selling windows for increased sales.

"Many order management systems do not effectively handle dropship orders, which leaves a very time consuming and costly void for the retailer and the supplier." states Sharon Gardner, president at VendorNet. "Through a 100 percent web-based application that resides between a retailer's host order management system and its network of suppliers, VendorNet Commerce Suite creates an electronic communication highway that creates a more profitable relationship."

VendorNet Dropship Manager's open architecture and robust mapping utility enable rapid system-to-system integration between retailer and dropship supplier processing systems. VendorNet Dropship Manager accommodates all levels of supplier sophistication from those requiring web-based access to orders for printing, to those that import the orders directly to their own processing system. VendorNet ensures 100 percent vendor compliance with hands-on installation and training at both the retailer and supplier levels.

Features include:

• Online order and packing slip delivery to suppliers
• Customizable forms to be used with each supplier
• Automated order acknowledgement processing
• Robust file mapping utility to facilitate updates to and from any supplier's system
• Real-time web access to order details/line item status
• File and browser-based ship confirmations
• Online invoicing and financial reporting
• Online exception order management
• Estimated ship date maintenance on backordered/delayed merchandise
• Real-time reporting of all drop ship transaction activities
• In-depth supplier performance analysis and reporting
• System administration and security functions

VendorNet Dropship Manager was initially deployed in the Fall of 2001 with a beta customer, Hammacher Schlemmer & Company, Inc. Targeting a select group of dropship suppliers, the company used VendorNet Dropship Manager during its busy holiday season to expedite order receipt, facilitate order updates, and improve order fulfillment time. As a result of its success, the company is rolling out VendorNet Dropship Manager to allof its dropship suppliers this year.

"We were VendorNet's' original beta customer for VendorNet Dropship Manager module, says," John Matusiewicz, chief information officer at Hammacher Schlemmer. "I must say that the product lived up to its promise. We wanted a solution to accommodate all levels of supplier sophistication and VendorNet delivered."

About VendorNet
VendorNet delivers web-based supply chain management solutions to multi-channel retailers enabling real-time collaboration with suppliers. Its flagship product, VendorNet Commerce Suite establishes a powerful foundation for solutions that dramatically improve supply chain processes, reduce costs, and strengthen retailer/supplier relationships. Its open and flexible platform enables retailers to electronically link to suppliers regardless of their level of sophistication. For more information, visit www.vendornet.com

Contact:
VendorNet
Sharon Gardner
561.392.6280
sgardner@vendornet.com