Encapsulon's Loss Prevention Pilot Program Delivers 60-Day ROI to Garden Ridge(R)

Encapsulon(TM), Inc., a technology and loss prevention solution provider, today announced that the company's pilot program of its new Retail Software Suite with Garden Ridge® has resulted in a direct impact on Garden Ridge's bottom-line profitability with a savings of $8.5 million. Garden Ridge -- a leading retailer of home decorating accessories -- participated in the Retail Software Suite pilot program as the first phase of its roll-out to all of the company's store locations in the Midwest and Southeastern United States.

Given its success with the Garden Ridge pilot, Encapsulon has launched the "Encapsulon Challenge," a no-obligation pilot program for qualified retailers. By aggressively pursuing shrink-challenged organizations, Encapsulon seeks to duplicate its recent success by posting substantial ROI within 60 days. "I encourage any retailer interested in impacting its company's bottom-line profitability to contact Encapsulon directly or visit our web site at www.encapsulon.com for details," said Encapsulon Founder and CEO, Andrew Wren.

Encapsulon's Retail Software Suite supports Garden Ridge's loss prevention efforts to more effectively identify and resolve problems such as theft, credit card fraud and training issues. The software, which was competitively selected, replaced Garden Ridge's data mining tool, which did not meet the company's necessary requirements for business information or accessibility. Garden Ridge extended Encapsulon's solution into its merchandizing and operations departments to solve critical pricing and discounting problems concerning one of the company's top-selling products. Encapsulon provided the ability to quickly identify aberrant occurrences, determine the root cause and implement new standards for effective resolution.

"Real-Time retailing is a trend the entire industry is talking about. Encapsulon has allowed Garden Ridge to quit talking and start delivering," says Grant A. Anderson, vice president of information technology for Garden Ridge.

Encapsulon benefits extend across retail organizations and include loss prevention, operations, merchandising, risk management and customer service. Software from Encapsulon pro-actively delivers actionable data and the supporting information behind key issues that help business owners stay competitive and protect their profit margins. Encapsulon's Retail Software Suite enables retailers to implement industry-standard best practices. The easy-to-use, browser-based platform integrates digital events from store systems such as video, POS, EAS, access control, and alarms. It gives companies instant access and the ability to manage critical information across departments and at field, regional, and enterprise levels. This visibility allows companies to immediately address key problem areas before they affect their bottom line.

"Encapsulon's approach is unique," says founder and CEO, Andrew Wren. "It provides an integrated solution across the enterprise that's understandable, accessible, and easy to use. Employees at all levels of the organization can identify problems and manage them through resolution, saving time and money, which is important in the highly competitive retail environment."

About Encapsulon

Encapsulon is a software and solution provider that helps organizations gain a competitive advantage by streamlining operations, reducing loss, and increasing profitability. Its flagship product, the Retail Software Suite, is a patented web-based platform that allows retailers to manage critical events and increase visibility, control and effectiveness of loss prevention and operations programs. For more information call 877-206-1292, email info@encapsulon.com or visit the company's web site at www.encapsulon.com.

© 2004 Encapsulon, Inc. All rights reserved. Encapsulon is a trademark of the Wren Technology Group, Inc. Garden Ridge is a registered trademark of Garden Ridge, L.P. Encapsulon technologies are patented, USPTO patent number 6,847,393.

Editor Contact: Suzanne Moccia Carabiner Communications smoccia@carabinercommunications.com P: 404.842.0823