FreeMarkets and webPLAN Form Strategic Alliance to Deliver Web-Based B2B eMarketplace and e-Supply Chain Solutions

Business Wire, May 16, 2000

Business Editors & High-Tech Writers

PITTSBURGH and OTTAWA--(BUSINESS WIRE)--May 16, 2000

Alliance Provides Customers With Comprehensive

e-Procurement/e-Supply Chain Solutions

FreeMarkets, Inc. (Nasdaq:FMKT), the original and world's leading B2B eMarketplace, and webPLAN, Inc., the only e-Business platform for high-velocity supply chains, today announced that they have formed a strategic alliance to deliver web-based B2B eMarketplace and supply chain management solutions to customers. Under the terms of the agreement, FreeMarkets and webPLAN(R) will combine their offerings to provide purchasing professionals with a single-point solution for conducting online auctions and managing their supply chain.

Through the alliance, customers using the FreeMarkets(R) B2B eMarketplace will be able to use the webPLAN CeO(TM) e-Business solution to integrate supply chain management (SCM), customer relationship management (CRM) and product lifecycle management (PLM) with existing manufacturing systems and processes. Customers can be notified of the need to purchase additional items, which can be bid out using the FreeMarkets B2B eMarketplace. Further, suppliers registered in FreeMarkets' global database can optimize processes and costs associated with delivery and pricing of finished goods.

The FreeMarkets B2B eMarketplace provides procurement professionals with access to industry-leading BidWare(R) auction technology, technical operations, market making services and a global database of over 4,000 suppliers. More than $5 billion worth of purchase orders have been bid through FreeMarkets to date, resulting in over $1 billion in potential savings to Global 1000 buyers.

webPLAN's Collaborative eSupply-Chain Optimization (webPLAN CeO(TM)) solution integrates supply chain management, customer relationship management and product lifecycle management with existing manufacturing systems and processes and gives manufactures, suppliers and customers the ability to collaborate and transact business in real-time. webPLAN's end-to-end e-business solution adds velocity to the manufacturing process, shortens time-to-market and provides self-service capabilities for customers and suppliers.

"By aligning with webPLAN, we are adding a best-of-breed supply chain management tool to our suite of eMarketplace offerings," said Scott Grimes, vice president of business development of FreeMarkets. "This tool will benefit customers by providing them with a single-point solution which, in addition to our online auction technology and market making services, can help them make better decisions and lower costs in procurement while increasing velocity through their supply chains."

"Our partnership with FreeMarkets will enable webPLAN to engage customers with leading-edge e-procurement approaches that can have a rapid impact on their business," said Darryl Praill, vice president of marketing, webPLAN. "FreeMarkets' unique e-procurement solution combined with the webPLAN CeO(TM) solution will add another gear to the already rapid e-business paradigm we offer our customers, and revolutionize the way global business transpires."

About webPLAN

webPLAN's solution to the e-Business imperative is webPLAN CeO(TM). webPLAN CeO integrates supply chain management, product lifecycle management, customer relationship management and strategic and enterprise planning, with tactical execution systems and processes. webPLAN CeO is a strategy and solution-set for increasing shareholder value with an e-Business model that amalgamates self-service, visibility, collaboration and optimization with a web-intrinsic architecture. webPLAN solutions have been adopted across multiple tiers by visionary companies such as SCI Systems, Honeywell, Lucent Technologies, Epson, Black & Decker, SMTC Manufacturing Corp, Teradyne and John Deere. They have been endorsed by industry analysts, chronicled in national case studies and studied by academia. A global community of over 8,000 users now employs webPLAN as their e-Business and supply chain solution. webPLAN Inc. is a privately held company with corporate offices in Chicago, Illinois and Ottawa, Canada. webPLAN is a registered trademark of webPLAN Inc. For more information on the company, it services and its products visit www.webplan.com.

About FreeMarkets

FreeMarkets is the original and world's leading B2B eMarketplace, with online markets for industrial parts, raw materials, commodities and services. The Company has executed online auctions for over $5.4 billion of purchase orders to date, and created potential estimated savings of more than $1 billion for its customers. Since 1995, FreeMarkets has created online auctions for products in more than 100 supply verticals, including injection molded plastic parts, commercial machinings, metal fabrications, chemicals, printed circuit boards, corrugated packaging and coal. More than 4,000 suppliers from over 50 countries have participated in the FreeMarkets B2B eMarketplace. FreeMarkets is the only B2B eMarketplace that includes industry-leading online auction technology, technical operations, industrial market making services, access to a global database of suppliers and supplier research, call center support to buyers and suppliers in over 30 languages, and marketplace rules. The Company's current customers include Visteon Corporation, United Technologies Corporation, The Quaker Oats Company, Owens Corning, Eaton Corporation, Emerson Electric Company, FirstEnergy Corp., SmithKline Beecham plc, Navistar International and Delphi Automotive Systems Corporation. FreeMarkets can be found on the Web at www.freemarkets.com. FreeMarkets is a registered trademark of FreeMarkets, Inc.