ModusLink Signs a Three Year Licensing Agreement With Microsoft Corporation

Business Wire, Nov 16, 2005

WALTHAM, Mass. -- ModusLink Corporation, a subsidiary of CMGI, Inc. (Nasdaq: CMGI), today announced that it has signed a global three year licensing agreement with Microsoft Corporation for their SQL Server and BizTalk messaging system running in a Windows operating environment. Microsoft SQL Server and BizTalk will provide the back end support to ModusLink's global enterprise resource planning system, SAP. Additionally, the Company renewed its enterprise license for Microsoft's desktop productivity software.

"ModusLink's business solutions strategy is to offer an integrated supply chain system that extends from front-end order management through distribution, and returns management," says Joseph C. Lawler, President and CEO of CMGI. "We are pleased that Microsoft is working with ModusLink to execute this strategy. ModusLink's global business solution platform will offer clients a secure, reliable and scalable system environment that links supply and demand in real time, improve visibility and performance throughout the supply chain and provide real-time access to information for greater collaboration."

"Microsoft SQL Server and BizTalk were chosen based upon proven performance. Their operational functionality, ease of development, integrated reporting and ability to handle large volumes of transactions fits well with our requirements," says Dennis Hughes, Chief Information Officer, ModusLink. "After a thorough analysis we are confident that Microsoft's Professional server products can provide the processing power and scalability required to support our 2,000 users managing more than 90,000 transactions daily."

"At Microsoft, we're motivated and inspired every day by how our customers such as ModusLink, use our software to develop breakthrough solutions to address the most important needs of their business and their clients," says Frank Holland, Vice President Microsoft Operations, Microsoft Corporation. "We have a strong partnership with ModusLink and we are confident our products will deliver the functionality required to enable ModusLink to offer their clients the best global supply chain system solution to achieve their business goals."

About ModusLink

ModusLink is a leading provider of global supply chain management solutions. The company provides global technology clients in the software, hardware, telecommunications and wireless markets with customized supply chain solutions that reduce risk and time to market and improve efficiency and productivity. ModusLink's services include demand planning, sourcing and procurement, manufacturing support, kitting and assembly, fulfillment, full-cycle logistics, systems integration and development, customer support and optimization consulting. Headquartered in Waltham, Massachusetts, ModusLink maintains 41 solution centers and project management offices in 14 countries and employing 3,900 people worldwide. The company is a subsidiary of CMGI, Inc. (Nasdaq: CMGI). For additional information, see www.moduslink.com.

About CMGI

CMGI, Inc. (Nasdaq: CMGI), through its subsidiary ModusLink, provides technology and product solutions that help businesses market, sell and distribute their products and services. In addition, CMGI's venture capital affiliate, @Ventures, invests in a variety of technology ventures. For additional information see www.cmgi.com.

This release contains forward-looking statements, which address a variety of subjects including, for example, the expected benefits of the new system infrastructure for clients. All statements other than statements of historical fact are forward-looking statements. The following important factors and uncertainties, among others, could cause actual results to differ materially from those described in these forward-looking statements: ModusLink's success, including its ability to enhance its system infrastructure, depends on its ability to execute on its business strategy; ModusLink's management may face strain on managerial and operational resources as they try to oversee the implementation of this new system environment; ModusLink may experience difficulties integrating technologies in accordance with its business strategy; ModusLink frequently sells to its supply chain management clients on a purchase order basis rather than pursuant to long-term contracts or contracts with minimum purchase requirements, and therefore its sales are subject to demand variability; and increased competition and technological changes in the markets in which ModusLink competes. For a detailed discussion of cautionary statements that may affect ModusLink's and CMGI's future results of operations and financial results, please refer to CMGI's filings with the Securities and Exchange Commission, including CMGI's most recent Annual Report on Form 10-K. Forward-looking statements represent management's current expectations and are inherently uncertain. We do not undertake any obligation to update forward-looking statements made by us.