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

The Descartes Systems Group Inc.

October 19, 2005 07:00 ET

Longo's Takes Descartes Challenge and Improves Delivery Productivity and Customer Service

WATERLOO, ONTARIO--(CCNMatthews - Oct. 19, 2005) -

Grocer Successfully Deploys Descartes' On-Demand Fleet Management Service

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 that Longo Brothers Fruit Markets, a leading Canadian grocer, has taken the Descartes Challenge™ and successfully deployed Descartes' On-Demand Fleet Management Service™ to improve delivery productivity and customer service.

The Descartes Challenge is a new program designed to quickly show customers the compelling business value that can be achieved with Descartes' solutions and skilled resources. Because Descartes hosts and operates the technology used in the program, users can evaluate the benefits of the technology much earlier than with lengthy traditional in-house software implementations.

Longo's took the Descartes Challenge and deployed Descartes' On-Demand Fleet Management Service as part of a strategic initiative to provide the best food experience for every customer, every time. Descartes' solution helps Longo's reliably offer its Toronto customers 90-minute delivery time windows for grocery orders placed on-line. Descartes helps Longo's meet this commitment by providing an end-to-end delivery management solution that combines route planning, dispatch, automated vehicle location and wireless communications to create reliable, customer-centric delivery routes that focus on reducing overall distribution costs.

"We realized that our delivery operations were not running as efficiently as possible and decided to take the Descartes Challenge and bring in the delivery management expertise they offered," said Longo's Director of Alternate Channels, Joe Fusco. "Descartes simply builds better routes. With Descartes, we are able provide better service to our customers while reducing costs and streamlining our operations. We could not get the same results by bringing routing functions in-house at this time."

Longo's sends daily order information to Descartes, and Descartes routes deliveries based upon customer requirements and Longo's business resource constraints. Optimized route plans are then generated and provided to Longo's through a simple browser-based user interface. Longo's personnel can view delivery routes, receive real-time status updates from the field and run reports directly from their web browsers. The solution's role-based access control gives Longo's dispatchers, customer service representatives and operations management visibility to information and access to functionality specific to their jobs.

Using Descartes' On-Demand Fleet Management Service, Longo's was able to increase the number of stops-per-route, reduce labor hours and reduce total distance driven to achieve a greater than 10% improvement in delivery efficiency. In addition, the company has achieved almost 100% on-time delivery, the top priority for Longo's. The wireless capabilities offered by Descartes' MobileLink™ solution has also allowed Longo's to track drivers en-route and enabled proactive communication to customers about order status and arrival time.

"We are very pleased that Longo's has taken the Descartes Challenge and quickly achieved significant business value from our on-demand fleet management service," said Arthur Mesher, CEO of Descartes. "This on-demand service allows enterprises to take advantage of state-of-the-art logistics technology and domain expertise in a simple, lower-cost way. With our web-based offering, manufacturers, retailers and distributors can take the Descartes Challenge to improve customer service and reduce delivery costs without having to deploy solutions locally or build up in-house logistics expertise."

About Longo's

Longo Brothers Fruit Markets Inc. (Longo's) is a family owned business established in 1956 when the store was first located on Yonge Street and Castlefield, in Toronto. The first location was no more than 2,000 square feet and eight family members comprised the staff. To this day, fourteen stores later, members of the Longo family still go to the Ontario Food Terminal six days a week to purchase the produce offered in stores. To bring the Longo's experience to the doorsteps of customers across the Greater Toronto Area, Longo's also owns and operates Grocery Gateway, a leading online grocery retailer www.grocerygateway.com. For additional information, visit www.longos.com

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.

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This release contains forward-looking statements that relate to Descartes' product and service functionality and performance, potential benefits and savings derived therefrom, speed of deployment, the competitive position of Descartes and its products 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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