SOURCE: MINDFLOW

May 23, 2005 12:14 ET

IPC/SUBWAY® Adopts MINDFLOW as On-Demand Platform for Strategic Sourcing

MIAMI, FL and PLANO, TX -- (MARKET WIRE) -- May 23, 2005 -- Independent Purchasing Cooperative, Inc. (IPC), the purchasing organization for SUBWAY®, announced the selection of MINDFLOW as its partner for strategic sourcing solutions and services. IPC is owned by SUBWAY® franchisees and provides negotiations, contract management and supply chain management services to the SUBWAY® restaurant system, the largest restaurant chain in North America.

"MINDFLOW's unique combination of technology, service, on-demand capabilities and their proven track record placed them at the top of the list when it came to evaluating a solution and partner," comments Dennis Clabby, Vice President of Purchasing for IPC. "Our requirements, which involve decision support for negotiating, making strategic supply chain decisions which take into account cost, quality, food safety and numerous other factors will help IPC achieve its business objectives."

IPC will utilize the MINDFLOW Negotiate™ and MINDFLOW Allocate™ on-demand solutions to achieve cost savings and efficiencies and enhance SUBWAY® franchisee competitiveness. The MINDFLOW tools will enable IPC to develop supply chain models while collaborating with suppliers. MINDFLOW's sophisticated analytics will support fact-based negotiations to achieve the lowest cost and highest quality for purchased goods and services. Best practices developed jointly by IPC and MINDFLOW will deliver ongoing value to IPC for the duration of the multi-year agreement.

Jay Reddy, Founder and CEO of MINDFLOW states that, "IPC has a solid history of providing tremendous value for SUBWAY® franchisees. We feel honored to add to this value and help drive profitability, continuous improvement and measurable results. In addition to the on-demand platform, IPC can now leverage MINDFLOW's proven category sourcing templates and decision models to quickly identify savings, prepare and execute sourcing events and implement supply chain strategies."

"MINDFLOW addresses what we believe has been the key hurdle to widespread adoption of optimization -- complexity," states Tim Minahan, Senior Vice President, Aberdeen Research. "[MINDFLOW has] effectively hidden the complexity, improved usability, and made optimization much more accessible and practical for addressing total cost analysis of multiple spend categories."

About Independent Purchasing Cooperative (IPC)

IPC is an independent SUBWAY® franchisee-owned and -operated purchasing cooperative. IPC's goal is to implement purchasing and distribution programs that help build a competitive environment for SUBWAY® franchisees. Working under the direction of the franchisee Board of Directors, IPC's management team carefully selects strong trading partners and manages the risks inherent to the costing and distribution of products in the food service industry. IPC's mission is to negotiate the lowest cost for purchased goods and services, improve quality, enhance competitiveness and ensure the best value to SUBWAY® franchisee members and their customers. For more information, visit www.ipcoop.com.

About SUBWAY®

The SUBWAY® restaurant chain, celebrating its 40th anniversary this year, is the world's largest submarine sandwich franchise, with more than 22,800 locations in 81 countries. The chain is also the second largest fast-food chain in the world and surpassed McDonald's in number of locations in the United States, Canada and most recently, Australia. Headquartered in Milford, Connecticut, and with regional offices in Amsterdam, Brisbane, Beirut, Miami and Singapore, the SUBWAY® chain was co-founded by Fred DeLuca and Dr. Peter Buck in 1965. That partnership marked the beginning of a remarkable journey -- one that made it possible for thousands of individuals to build and succeed in their own business. The SUBWAY® brand was ranked the number one franchise opportunity in Entrepreneur magazine's 2005 Franchise 500 listing. This marks the 13th time in 17 years that the chain has achieved this honor. For more information about the SUBWAY® chain, visit www.subway.com.

SUBWAY® is a registered trademark of Doctor's Associates Inc.

About MINDFLOW

MINDFLOW helps companies save time, save money and reduce risk with on-demand solutions for inbound supply chain planning and sourcing optimization. Using MINDFLOW, companies develop sourcing decision models that accelerate savings and increase margins. MINDFLOW offerings include Category-in-a-Box™, MINDFLOW® EZ, MINDFLOW® OnDemand and the MINDFLOW library of more than 200 best-in-class sourcing decision models. Together with marquee customers, we have sourced billions of dollars in direct and indirect goods and services and have enabled many millions of dollars in cost reductions. With offices in the Americas, Europe and Asia, MINDFLOW helps customers realize aggressive savings goals. For more information, visit www.mindflow.com, contact Diane Murray (972) 930-9988 x237 or email diane.murray@mindflow.com.

MINDFLOW® is a registered trademark of MINDFLOW Technologies, Inc.

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