Atrium Companies Save Millions Using Sorcity Reverse-Auction Service; Significant Dollar Savings can be Gained in Both Direct and Indirect Materials

Business Wire, August 9, 2005

DALLAS -- Atrium Companies, Inc., one of the largest and most widely recognized manufacturers and distributors of windows and patio doors in North America, has achieved millions of dollars in savings on direct and indirect materials purchases, including computers, office supplies, labels, nation-wide wireless service, safety supplies, promotional items, and temporary labor, using the Sorcity.com Reverse-Auction service.

Recognized for the past six years as a leading Reverse-Auction service, Sorcity.com helps organizations in all industries reduce their time spent getting bids, saving them money. In the case of Atrium, savings have averaged over 15% percent.

"These percentages equal millions of dollars of savings for us," said Gus Agostinelli, Senior Vice President at Atrium Companies, Inc., who recently completed a group of Reverse-Auctions for temporary labor across seven of their U.S. regions. "We needed a lower price to contribute to our competitive edge in the marketplace, while actually improving service-levels in these regions, but without disrupting current operations or quality."

"Sorcity provided more than just Reverse-Auction services, they assisted us with collecting and normalizing the data, standardizing a common set of requirements, evaluating the economic impact of these changes, deeply penetrating the market to get a high number of competitive bids, and the post-qualification of suppliers. Knowing the sensitivities surrounding Reverse-Auctions, we were pleased to find that Sorcity provides added professional services to ensure success, and it doesn't cost our company to conduct these Reverse-Auctions," said Mr. Agostinelli.

Through Reverse-Auctions, the number of bids Atrium receives has jumped from 8-12, in negotiations, to an average range of 80-120 bids. The net result is a contract with current or new suppliers, but at a lower price, making the company more profitable.

Wes Guillemaud, CEO of Sorcity.com, says, "Our goal is to deliver 10-20% savings across our clients entire spend, without asking them to invest time or money. The Supply Managers, who designed this service in 1999, made it so easy to use that anyone can have their first Reverse-Auction running within a day. This is the reason our clients have been so successful. It just makes good business sense."

Web Sites: Atrium www.Atrium.com Sorcity.com www.Sorcity.com