Exult Expands Outsourcing Services for International Paper; Learning Management Solution Gives IP New Technology and Enhanced Administration for Corporate Training

Business Wire, March 18, 2003

Business Editors/High-Tech Writers

IRVINE, Calif.--(BUSINESS WIRE)--March 18, 2003

Exult, Inc. (Nasdaq:EXLT), the leading provider of integrated Human Resources Business Process Outsourcing to Global 500 companies, today announced that it will again expand its original ten-year Human Resource services agreement with International Paper to include Learning Administration services.

Exult anticipates this service expansion, which is coterminous with the original agreement, will generate revenue of $85 million over the contract's term. Exult will provide IP with Training Administration, eLearning, call center support for training activities, Learning Management System (LMS) licensing, application and technical support, and third party management operations through the Exult Service Delivery Model(SM). The engagement is expected to increase efficiencies for International Paper by taking advantage of Exult's centralized administration and broad-based buying power.

"This expansion reflects IP's continued focus on finding new ways to improve HR administrative processes and reduce costs," said Mark Azzarello, Director, HR Operations for International Paper.

"We are very pleased to expand our agreement with IP. Our Learning Administration solution will improve training delivery and expand the use of eLearning and distance learning as key vehicles to give employees increased access to knowledge," said Kevin Campbell, Exult's Chief Operating Officer.

Exult's Learning solution will create a single point of contact to meet International Paper's U.S. demand for training services through Exult's established alliance with Docent. Docent provides the Learning Management System and Learning Content Management System that powers Exult's learning offering.

In October 2001, Exult signed a ten-year, $600 million contract with IP to deliver HR services to approximately 70,000 International Paper U.S.-based employees. In September 2002, the original agreement was expanded to include Flexible Staffing. The Exult services delivered to International Paper focus on the transactional and administrative components of key HR processes. These services are delivered via the Exult Service Delivery Model(SM), which is designed to streamline HR processes, reduce costs and improve service to employees through self-service and increased efficiencies.

About Exult

Exult, Inc. is the market leader in HR business process outsourcing for Global 500 corporations, with headquarters in Irvine, California, and client service centers in the U.S., Europe, and India. Through its proprietary Exult Service Delivery Model(SM), Exult offers comprehensive, scalable process management solutions designed to transform and manage clients' entire human resource departments. Exult uses its HR process expertise, shared client service centers, expert HR consulting capabilities and its myHR(SM) web-enabled applications to help Global 500 corporations enhance human capital productivity, reduce costs, streamline processes and provide superior HR services to their employees. Visit Exult's web site at www.exult.net.

Forward Looking Statements

Statements in this release about the duration, revenues and scope of services of the International Paper contract and the benefits of Exult's service offering to International Paper and other clients are forward-looking statements and are subject to risks and uncertainties that could cause actual results to differ materially from expectations. The Company is still expanding, developing and enhancing its learning administration function and other service capabilities and must transition client processes on schedule and transform these processes to the Exult Service Delivery Model(SM) to reduce the cost of delivering in-scope services while meeting contractual service level commitments. Exult must meet performance standards and the International Paper contract permits reduction or early termination of the relationship under various circumstances. More information about Exult's risks is available in Exult's annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and other filings made from time to time with the Securities and Exchange Commission. Special attention is directed to the portions of those documents entitled "Risk Factors."