RubberNetwork selects IBM-i2-Ariba Alliance

July 19, 2000 - RubberNetwork.com today announced that it has selected the IBM-i2-Ariba alliance as its technology provider. RubberNetwork.com, which was announced April 17, is a global purchasing and procurement marketplace developed by seven of the largest companies in the tire and rubber industry. The member companies, including Bridgestone Corp., Continental AG, Cooper Tire & Rubber Company, The Goodyear Tire & Rubber Company, Groupe Michelin, Pirelli SpA, and Sumitomo Rubber Industries, represent approximately 75 percent of global tire industry manufacturing capacity. Total industry purchases represent more than $50 billion a year spent on raw materials, equipment, machinery, goods and services. The IBM-i2-Ariba alliance, according to a memorandum of understanding, will provide marketplace services, connect individual member companies' enterprise software systems to RubberNetwork.com, and link RubberNetwork.com to other exchanges. The alliance will provide an open marketplace platform to RubberNetwork.com with services for procurement, supply chain management and sourcing. Services for each company will include forecast and inventory data sharing, standardized catalogs, order promising and fulfillment, factory and demand planning, logistics optimization, marketplace-hosted e-procurement and dynamic trading mechanisms such as auctions and reverse auctions. Hence, participants will be able to both reduce procurement costs and improve operational efficiencies. RubberNetwork.com went through a rigorous evaluation process to select a technology partner that could provide robust technology. The IBM-i2-Ariba alliance was selected for its proven, scalable solutions that will add value for all participants in the exchange. Negotiations toward the execution of definitive agreements are underway. " The formation of RubberNetwork.com is further evidence of the critical need for value-added marketplaces as companies strive to cut costs and increase shareholder value," said Steven Minisini, group vice president of i2's Global Automotive and Industrial Business Unit, speaking on behalf of the IBM-i2-Ariba alliance. In March, IBM, i2 and Ariba announced an alliance to provide best-in-class procurement, planning and other value-added services for on-line marketplaces. In addition to its partnership with RubberNetwork.com, the alliance also provides technology for other automotive industry exchanges. MEDIA CONTACTS: