The Descartes Systems Group Inc.
TSX : DSG
NASDAQ : DSGX

The Descartes Systems Group Inc.

August 03, 2005 17:00 ET

Descartes to Unveil New Delivery Management Solutions Based Upon its Logistics Network Operating System

WATERLOO, ONTARIO--(CCNMatthews - Aug. 3, 2005) -

New core web services available to Descartes customers across multiple platforms and industries; significant functional enhancements planned

The Descartes Systems Group Inc. (Nasdaq:DSGX)(TSX:DSG), a leading provider of on-demand delivery management solutions and services for transportation, logistics, manufacturing, retail and distribution enterprises, today announced the launch of several new core components and enhanced delivery management solutions based upon its Logistics Network Operating System (LNOS) architecture. LNOS is a component- based framework designed to enable companies to significantly decrease time to value and positively impact operational performance.

"Over the past twelve months we have deployed our new technology with a number of industry-leading companies, gaining a better understanding of their delivery management challenges and showing them how to get the greatest business value from our solutions," said Arthur Mesher, CEO of Descartes. "These key customers have helped us validate the performance and return on investment of the new LNOS platform and components. With LNOS in place, we are positioned to deliver one of the most comprehensive sets of new capabilities in the history of our company over the coming months."

New Core Components for the Descartes Delivery Management™ Suite

The new platform and core components work across Descartes solutions to better track and manage the performance of logistics assets and inventory, and are available to Descartes' fleet and contract carrier management, visibility and cargo tracking, and multi-modal transportation and logistics services provider customers. These new components are designed to enable customers to integrate logistics information from within their enterprise and across the supply chain; leverage real-time wireless communications and messaging services to more dynamically manage delivery processes; and measure performance and support continuous improvement programs. The solutions now available are:

- Descartes Reporting Services™ is a standard reporting tool that works with Descartes solutions and any open database-compliant (OBDC) system. It allows enterprises to rapidly build and deploy flexible logistics-oriented reporting within a department, across the enterprise and/or to trading partners. The advanced security features of LNOS allow the segregation of reports so that only the intended parties at various levels within the internal or external organization have access to specific information.

- Descartes KPI Metrics™ is a performance management solution designed to help companies make better short-term supply chain decisions based on cost, time and availability considerations. KPI Metrics is an essential tool for logistics organizations that want to improve their own and their trading partners' performance through continuous improvement programs such as Six Sigma™ or Lean.

- Descartes Monitor™ is a mobile resource tracking and performance tool (also known as automated vehicle locator or AVL) that integrates route planning systems and wireless data devices to provide real-time visibility into planned versus actual delivery performance. Monitor performs a critical role in an enterprise's strategy to dynamically route and track deliveries and maximize customer responsiveness while minimizing delivery costs.

New Services Now Available for the Descartes Global Logistics Network™

Members of the Descartes Global Logistics Network (GLN), one of the world's largest logistics-focused messaging networks, can now use these services to help manage contract carrier performance, improve cash flow and enhance customer service. GLN members have immediate access to the following new offerings:

- Descartes Local Haulage™ is a logistics management service for the first- and last-mile for "for-hire" carriers that includes load tendering, proof of delivery and invoice settlement. The Local Haulage service allows freight forwarders and logistics service providers (LSPs) to accelerate the book-to-bill cycle with customers, and streamline the payment process with contract carriers.

- Descartes Multimodal Track & Trace™ provides LSPs with a low cost, easy-to-use service that allows LSPs and their customers to understand the current status of shipments. Multimodal Track & Trace gives midsize LSPs the ability to provide a comparable level of shipment tracking as the largest LSPs, but at a fraction of the cost and time required to deploy a similar solution internally.

- Descartes Rate Builder™ gives LSPs the ability to centralize disparate rate management systems into a single, global system that can optimize global rate management processes and effectively leverage rate information to improve productivity, profitability and customer service.

Forthcoming Descartes Solution Enhancements

Key enhancements currently planned for Descartes solutions over the next several months:

- Improvement of automatic territory generation and creation of routes that respect weight and volume minimums to optimize fleet productivity

- A new sequencing engine to better prioritize the delivery of chilled or frozen freight

- A dock appointment reservation solution to provide greater lead-time for inventory deployment decision-making and support for supplier/carrier performance improvement initiatives

- Support for mass updates to contracts and guideline rates, and advanced workflow capability to automate the manual processes associated with quoting and contract negotiation to help deliver efficiency savings in processing updates and rate requests, while capturing data for valuable decision-support reporting.

About the Logistics Network Operating System (LNOS)

LNOS is a single, unifying architecture that enables the deployment of Descartes solutions as a service or onsite by customers. The architecture is component- and service-oriented, scaling from desktop deployment to multi-enterprise hosted services. Unlike traditional application architectures, LNOS is designed to work across organizations and enterprises because of its sophisticated, flexible security and services provisioning. LNOS is a solution platform and a message-based architecture that integrates other existing Descartes platforms, enterprise applications and value-added networks, like the GLN, into a single logistics environment.

About Descartes

The Descartes Systems Group Inc. is a leading provider of on-demand delivery management solutions for transportation, logistics, manufacturing, retail and distribution enterprises. Descartes delivers trading partner connectivity and document exchange, route planning, wireless dispatch, rate management, inventory and asset visibility, transportation management and warehouse optimization solutions for industries such as retail, consumer goods, manufacturing, transportation, distribution and third-party logistics. Descartes offers solutions that can be deployed as traditional applications or as a service to help customers optimize and gain real-time control of their inventory, logistics assets and mobile workforce. Descartes solutions are used by more than 2,500 customers in over 60 countries. For more information, visit www.descartes.com.

Safe Harbor

This release contains forward-looking statements that relate to Descartes' product and service functionality and performance, potential benefits derived therefrom, speed of deployment, the competitive position of Descartes and its products and services, timing for release of solutions and services, and other matters that may constitute forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Descartes to differ materially from the anticipated results, performance or achievements implied by such forward-looking statements. Such factors include, but are not limited to, the factors discussed in the sections entitled, "Risk Factors" and "Certain Factors That May Affect Future Results" in documents filed with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada.

All registered and unregistered trademarks mentioned in this release are the property of their respective owners.

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