Mid Mountain Foods Relies on EXE Technologies For Increased Inventory Accuracy and Labor Productivity

Business Wire, March 12, 2002

Business Editors & High Tech Writers

DALLAS--(BUSINESS WIRE)--March 12, 2002

Global supply chain execution (SCE) leader EXE Technologies, Inc. (Nasdaq:EXEE) today announced that Mid Mountain Foods, a subsidiary of Food City and K-VA-T Food Stores, is reporting a significant return on investment (ROI) with EXE's EXceed(TM) Fulfill software suite. Mid Mountain Foods serves as the warehousing and distribution center (DC) for 86 supermarkets in the tri-state region of Southeast Kentucky, Southwest Virginia and Northeast Tennessee.

EXE has delivered supply chain execution solutions to Mid Mountain Foods since 1997, and Mid Mountain Foods is demonstrating progressively increased inventory accuracy, better inventory tracking, and improved labor productivity. By using EXE's engineered labor standards, a component of EXceed Fulfill, Mid Mountain Foods has been able to utilize their forklift operators more efficiently. For example, Mid Mountain Foods was previously using 36 operators in one DC facility, but after evaluating their time through EXE's labor standards package, they re-organized to use 20 operators more efficiently. Following the same model across multiple DCs, warehouse efficiencies across Mid Mountain Food's entire DC chain have improved.

"In our business, inventory accuracy is our biggest challenge. With EXE's product, Mid Mountain has seen a variety of improvements with improved inventory tracking as well as significant direct labor savings," said Paul Widener, distribution systems manager for Mid Mountain Foods. "We're also doing voice-activated order selection. Voice is a sexy new technology - and EXE is the host of that technology. EXE is the hub of everything we do in the warehouse."

"EXE and Mid Mountain have been partners for more than five years and have continuously worked to improve customer service levels by moving merchandise more quickly to every one of Mid Mountain's buyers," said Ken Powell, president and COO of EXE Technologies. "Our experience in this industry allows us to help customers like Mid Mountain experience significant ROI through transformed processes and expanded application functionality."

Also vital to Mid Mountain Food's success is the dedicated account support they receive from EXE Technologies. "We are very comfortable with the product and happy with what it does for Mid Mountain," said Widener. "We have a great account team working with us. Overall, we have built a good relationship with EXE, which is almost as important as the technology itself."

For more than 20 years, EXE Technologies has provided grocery industry leaders, such as Mid Mountain Foods, with sophisticated solutions to address their challenges. These challenges include managing a diverse assortment of perishable products in a consistent, temperature-controlled environment with frequent quality checks. Grocers must also manage seasonal demand spikes and promotions across thousands of individual products; all while ensuring stock does not become obsolete or out-of-date.

EXE's EXceed family of application software products address the challenges of the retail grocery industry. These solutions include:

-- Increasing inventory accuracy and on-time delivery of goods;

-- Optimizing the usage of labor and equipment in the supply chain;

-- Maximizing product shelf life availability and velocity through
crossdocking;

-- Increasing customer service levels and shopper loyalty through reduced order
mis-picks and product out-of-stocks; and,

-- Aid demand forecasting, purchase order generation, order sizing, and buyer
review functions to achieve targeted inventory turn and reduce obsolescence.

About Mid Mountain Foods

Mid Mountain Foods is a subsidiary of Food City, which is owned and operated by K-VA-T Food Stores, Inc. headquartered in Abingdon, Virginia. K-VA-T Food Stores, Inc. is comprised of 86 supermarkets throughout the tri-state region of Southeast Kentucky, Southwest Virginia and Northeast Tennessee; and Mid-Mountain Foods, the company's warehousing and distribution center. The company currently stands at number 44 among the nation's largest grocery chains. The company is number 279 among the nation's top 500 privately held companies according to Forbes Magazine.

About EXE Technologies

EXE Technologies, Inc. (NASDAQ:EXEE) is a leading provider of supply chain execution software solutions that deliver the vital, frontline supply chain intelligence to drive customer execution decisions and processes. EXE's products and services help customers worldwide reduce inventory and operational costs while increasing customer loyalty and satisfaction. The company provides global service and support from offices located in North America, Europe, the Middle East, Asia and Australia. For more information about EXE Technologies, Inc., call (214) 775-6000 or visit www.exe.com.

EXE Technologies, EXE and EXceed are trademarks, registered trademarks or service marks of EXE Technologies, Inc. in the United States and/or other countries. All other trademarks or service marks contained herein are the properties of their respective owners.