Invistics Closes $2.5 Million Series A Financing

ATLANTA--Aug. 2, 20038, 2003--Invistics Corporation (formerly SAK Logistics), a leading provider of lean manufacturing software that accelerates factory performance, today announced closing $2.5 million in its first round of institutional funding. H.I.G. Ventures and North Carolina-based Intersouth Partners led the Series A round with the participation of Imlay Investments and Atlanta Technology Angels.

"We set the bar extremely high when qualifying new investment opportunities," said Fred Sturgis of H.I.G. Ventures. "Invistics really impressed us with a proven solution that is already delivering significant results. In addition, Invistics' opportunity in the $5 billion supply chain software market is large and rapidly growing."

Invistics enables manufacturers to shorten cycle times, meet customer deadlines and ship more products. Customers have reduced inventory and cycle times by an average of 50% while simultaneously raising on-time delivery to 99% or higher. Invistics' software solutions have been improving plant performance since 1999 for blue chip manufacturers such as DuPont and Bristol-Myers Squibb.

This $2.5 million investment provides Invistics with growth capital to expand its leadership in lean manufacturing solutions designed for complex manufacturing environments. Invistics will use the funds to accelerate the penetration of their software suite. The company will also expand its implementation services and customer support functions to meet the needs of its rapidly growing customer base.

"The loyalty of Invistics' customers and their overwhelming support for the company's FlowPath Management System is very impressive," said Kip Frey of Intersouth Partners. "Given the bottom-line impact that Invistics delivers to manufacturers, the leadership of CEO Tom Knight and the size of its addressable market, the company's potential for growth is considerable."

"Our focus on delivering measurable business benefits has paid off. We have already delivered results for several large manufacturers and been awarded multiple grants from the National Science Foundation. We're excited about the next phase of our accelerated growth," said Tom Knight, CEO of Invistics.

About H.I.G. Ventures

H.I.G. Ventures is one of the largest and most successful venture capital firms in the southeastern United States. Dedicated to helping talented entrepreneurs build market-leading businesses, H.I.G. Venture's investment activity is focused on early and growth stage technology and healthcare companies. Its most recent venture capital fund has total capital of over $250 million. In addition, its affiliate, H.I.G. Capital, manages more than $1 billion of equity capital dedicated to investments in private equity and management buyouts. The firm has offices in Atlanta, Miami, Boston and San Francisco. For more information, visit www.higventures.com.

About Intersouth Partners

Intersouth Partners, one of the nation's most experienced early stage venture capital firms, has raised more than $500 million since 1985. As one of the largest early stage venture funds in the Southeast and Mid-Atlantic regions, it has invested in more than 70 companies, primarily in the life sciences and information technology industries. Intersouth funded some of the first venture-backed companies in North Carolina to go public and has been instrumental in funding start-ups in this region for nearly two decades. The Company is based in Durham, NC. For more information on Intersouth Partners, visit http://www.intersouth.com.

About Invistics, Inc.

Invistics (formerly SAK Logistics) helps manufacturers significantly improve supply chain performance by identifying, understanding and reducing sources of variability. By combining the talents of manufacturing veterans with operations research scholars from MIT, Invistics has overcome the obstacles of implementing lean production in highly complex manufacturing environments. Clients including DuPont and Bristol-Myers Squibb have improved visibility and teamwork - from manufacturing executive to shop floor operator - by using Invistics' FlowPath Management System to analyze, optimize, and run their manufacturing operations. FlowPath's Internet-native architecture allows customers to implement in a week and begin realizing the benefits of lower inventory costs, reduced cycle times and improved on-time delivery within a month. For more information, please visit www.invistics.com or call 877-233-6442.