GXS Delivers Supply Chain Solutions to Piggly Wiggly; America's First True Self-Service Grocery Store Takes First Step towards RFID by Automating Warehouse Receiving Process

WASHINGTON--Feb. 1, 20054, 2005--GXS, a leading provider of B2B e-commerce solutions, today announced that Piggly Wiggly Carolina, America's first true self-service grocery store, will utilize its global integration platform - GXS Trading Grid(TM) - to automate their warehouse receiving process. Piggly Wiggly will leverage the GXS Trading Grid to expedite receiving processes, lower inventory positions and reduce shipping errors with its more than 600 suppliers. With the GXS Trading Grid, Piggly Wiggly is taking an important step towards leveraging RFID to optimize its supply chain.

The GXS Trading Grid will transmit electronic documents listing details of forthcoming shipments of goods, as well as other critical information such as carton identifications, content descriptions and transportation details. For retailers, exchanging Advanced Shipping Notices (ASN) with suppliers enables better planning for receiving and warehousing operations, and as a result reduces shipping errors by providing better visibility and validation through the transportation process.

"In an age when companies in all industries are taking steps to make their supply chains increasingly demand-driven, we know that the use of RFID for shipping automation is a necessity in order to remain competitive," said Rachel Bolt, assistant director of information systems at Piggly Wiggly. "By deploying the GXS ASN enabling solution, we are confident that it can dramatically reduce shipping errors, increase inventory visibility and better manage the supply chain, taking the company one step closer to achieving a true demand-driven supply chain."

With more than 100 stores in South Carolina and coastal Georgia, Piggly Wiggly was looking to improve both trading partner relationships, as well as the quality of its customer experience. By automating the ASN process, Piggly Wiggly will be able to increase productivity by automating back-office functions and eliminating the need for staff to manually re-key data. In addition, auto-population of fields and scan verification during the packing process will reduce shipping errors and result in faster invoice generation and payment, thus increase customer satisfaction. Through GXS' ASN enabler, Piggly Wiggly and its trading partners will be able to easily and cost-effectively automate the exchange of shipping notices through Web-based forms and desktop software.

"Improving supply chain collaboration will position Piggly Wiggly to realize considerable savings as they automate shipment data collection," said Alex Schumacher, director retail and consumer products marketing. "Investing in barcode-based data collection will prepare Piggly Wiggly for additional value delivered by RFID and will create an inventory tracking system that leverages the best of both technologies."

In a recent retail-focused research report, AMR Research concluded, "Retailers that don't invest in these wide-ranging collaboration platforms will continue to fund, and be constrained by, inefficient processes during every supplier interaction. The results of improved collaboration can be dramatic." (AMR Research, Retail Decisions for 2005 by Scott Langdoc).

Piggly Wiggly will also use GXS Community Link(SM), a best of breed trading partner enabling solution that includes community outreach, education and testing. With Community Link, suppliers can follow an easy-to-use process to quickly integrate into the Trading Grid, and electronically participate in Piggly Wiggly's innovative warehouse receiving process.

About Piggly Wiggly

Joseph T. Newton founded Piggly Wiggly Carolina in 1947 and is the largest privately owned, family operated company in South Carolina with a workforce of over 5,000 employees. Piggly Wiggly is headquartered in Charleston, South Carolina. Piggly Wiggly has two distribution centers and operates 117 stores in South Carolina and coastal Georgia. The warehouse operation handles 23,000 items and ships approximately 1.8 million cases of product to the retail stores per week. For more information visit our web site at www.thepig.net.

About GXS

GXS (Global eXchange Services) is a leading worldwide provider of B2B e-commerce solutions that simplify and enhance business process integration and collaboration. Organizations worldwide, including over half of the Fortune 500, leverage the GXS Trading Grid to achieve the perfect balance of supply and demand. Active in the global standards arena, GXS solutions enable customers both large and small, to connect with global partners, synchronize product information, optimize inventory levels and demand forecasts, and accelerate the execution of supply chains.

Headquartered in Gaithersburg, Md., GXS provides sales and support to businesses and their partners worldwide. For more information visit our Web site at www.gxs.com.

All products and services mentioned are trademarks of their respective companies.

Caution Concerning Forward-Looking Statements

This document includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. These factors include technological developments, customer demand, trading partner participation and network availability.