CVS and Gillette Win 2003 VICS Collaborative Commerce Award

JDA Portfolio® solutions help to provide Outstanding ROI Results for both Companies

(PresseBox) ( Scottsdale, Ariz. , USA, )
CVS and Gillette Win 2003 VICS Collaborative Commerce Award
JDA Portfolio® solutions help to provide Outstanding ROI Results for both Companies

Scottsdale, Ariz. - June 24, 2003 - On Tuesday June 10, the Voluntary Interindustry Commerce Standards (VICS®) Association committee named CVS Corporation (NYSE:CVS), America’s number one pharmacy chain with $24.2 billion in sales, and its partner, The Gillette Company, the $8.45 billion global leader in grooming, personal care, batteries and oral care products as this year’s winners of the VICS Collaborative Commerce Achievement Award for “Best in VICS CPFR® Implementation.”
The trading partners achieved outstanding quantifiable results, including increasing sales by 6.2 percent and reducing their inventory investment by 34 percent during the first five months of their Collaborative, Planning, Forecasting and Replenishment (CPFR) program.

“Our CPFR strategy supports CVS’ corporate mission to be the easiest pharmacy retailer for our customers to use,” comments Leo Hartnett, CVS’ vice president of efficient consumer response. “In addition to helping us increase service levels and prevent lost sales, we are reducing our inventory investment to improve gross margin return on investment. We are proud to have the industry recognize our efforts that are helping us to maintain and grow CVS’ leadership position in the markets that we serve.”
States Gillette’s vice president of customer support, Bill O’Connor, “We are honored to accept this award with our partner, CVS. Our CPFR initiative supports Gillette’s goal to consistently and profitably ensure the availability of our world-famous brands on CVS’ shelves. We look forward to working with CVS on other innovative, value-add processes that will bring about even greater supply chain efficiencies.”

Gillette and CVS Achieve Convincing Results in Five Months
The following factors and outstanding achievements supported their win:

· Project Scope: The trading pairs successfully launched a full-scale CPFR program just weeks prior to the start of their busiest holiday season. Gillette and CVS converted all 300 Gillette SKUs, including the popular Gillette, Duracell, Oral-B and Braun brands, that ship to CVS’ nine distribution centers servicing more than 4,000 retail and pharmacy stores in 32 states and Washington D.C.

· Return on Investment: From September through December 2002, the partners achieved stellar results:
Ø Reduced inventory investment by decreasing average days of supply by 34 percent.
Ø Increased sales by an average of 6.2 percent over prior five month period.
Ø Reduced cumulative out of stock dollars by 28 percent over prior five-month period.
Ø Decreased returns by 26 percent versus prior year
Ø Increasd service levels for turn and promotional products by an average of 1.2 percent.

· Innovation: In addition to building a VICS CPFR compliant technology infrastructure using JDA Portfolio® Collaborative Solutions, CVS and Gillette made important advances in other areas. For example, they improved the flow of goods in their supply chain resulting in first ship fill rates increasing by 5.6 percent.

Comments Laura Golding, executive director of The Voluntary Interindustry Commerce Standards (VICS) Association, “VICS is pleased to globally recognize CVS and Gillette for their success in leveraging the VICS CPFR® business model. The fact that these complex, multi-billion dollar market leaders are able to work collaboratively and realize such a strong return in such a short period of time further validates the significant benefits that the VICS process can deliver. We are proud to have CVS and Gillette reign as the 2003 Best in VICS CPFR Implementation.”
The CVS team, including Hartnett, Kevin Smith, John P. McGrath, Patrick Neville and Bill Beatson along with the Gillette team, including Shawn Evans and Dave Aukstikalnis, were honored at the 2003 VICS Collaborative Commerce Achievement Awards ceremony and board dinner on June 10th in Chicago during the Retail Systems/VICS Collaborative Commerce Conference.

JDA Clients Win Award for Third Consecutive Year
This marks the third consecutive year that JDA clients who rely on JDA Portfolio® solutions to support their CPFR program win the prestigious VICS award.
“JDA is very proud to have partnered with CVS and Gillette over the years,” commented Fred Baumann, JDA’s vice president of collaborative solutions. “Gillette and CVS are true industry leaders who deserve this honor for their tremendous dedication to customer satisfaction and continuous supply chain improvements. We are honored to again provide the enabling software to help trading partners launch winning enterprise CPFR programs and achieve their goals for a more competitive supply chain.”
In addition to Portfolio Collaborative Solutions, CVS uses JDA’s Advanced Warehouse Replenishment by E3® software as its host system to facilitate collaborative replenishment with Gillette and ten other primary suppliers, since 2002.

About the Voluntary Interindustry Commerce Standards (VICS) Association

The mission of the VICS Association is to take a global leadership role in the ongoing improvement of the flow of product and information about the product throughout the entire supply chain in the retail industry. The Association's overall global objective is to improve product availability to the consumer by providing leadership and encouragement in the identification, development and implementation of volunteer standards, protocols, guidelines, and other mechanisms, which when properly utilized, are expected to lead to better anticipation of, and reaction to, changes in consumer demand for these products with the subsequent optimization of production and carrying costs. For additional information, visit www.vics.org.

About JDA Software Group, Inc.
With more than 4,800 retail, wholesale and manufacturing clients in 60 countries, JDA Software Group, Inc. (Nasdaq:JDAS) is a global leader in delivering integrated software and professional services for the retail demand chain. By capitalizing on its market position and financial strength, JDA commits significant resources to advancing JDA Portfolio, its suite of merchandising, POS, analytic and collaborative solutions that improve revenues, efficiency and customer focus. Founded in 1985, JDA is headquartered in Scottsdale, Arizona and employs more than 1,400 associates operating from 32 offices in major cities throughout North America, South America, Europe, Asia and Australia. For more information, visit www.jda.com .


We do not believe this press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Nevertheless, if remarks in this press release, such as our remarks about the anticipated benefits to users of our software, are considered to be ''forward-looking'' or to have forward-looking implications, we would remind our investors and prospective investors that future events may involve risks and uncertainties, including, but not limited to, risks associated with our products’ ability to achieve comparable results for users other than CVS and Gillette. Risks and uncertainties that may affect our business are detailed from time to time in the ''Risks Factors section of our filings with the Securities and Exchange Commission. As a result of these and other risks, actual results may differ materially from those predicted. We undertake no obligation to update information in this release.

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