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JDA(R) Software Group Inc. (Nasdaq:JDAS) announced that Factory Card & Party
Outlet Corp., operating 185 company-owned retail stores in 20 states, is
implementing additional JDA Portfolio(R) software, which it licensed in the
first quarter 2005. The party supplies and greeting card retailer will combine
the Portfolio Advanced Replenishment by E3(R) suite, Seasonal Profiling by
Intellect(TM) and Marketplace Replenish(TM) in order to achieve their inventory,
sales and margin goals by improving their replenishment, logistics and customer
service processes. Factory Card & Party Outlet will integrate these
solutions with JDA's merchandise operations solution, MMS(R), which they
previously licensed.
Commenting on the retailer's rationale for
selecting JDA's replenishment solutions, Richard Oppenheimer, Factory Card &
Party Outlet's vice president of inventory management, stated, "While being a
JDA customer for 10 years certainly played a part in our decision to add to our
JDA Portfolio, the major reason is the confidence we have in the ability of JDA
to implement the solutions in the timeframe that we expect. Over the years, JDA
has developed well-defined processes and organizational structures to support
successful replenishment implementations."
Regarding the retailer's
investment in additional JDA solutions, Peter Charness, JDA's senior vice
president of global marketing and chief product officer, remarked, "As retailers
continue to meticulously scrutinize their technology investments for maximum
ROI, JDA is continuing to prove that our products and services are well equipped
to help them to get the most from their investment. In this case, Factory Card
& Party Outlet has seen how our tightly integrated Intellect(TM) and
Advanced Replenishment applications will deliver top value by driving more
efficient replenishment processes."
JDA Portfolio Replenishment
Solutions Deliver Sophisticated Functionality
According to Oppenheimer,
Factory Card & Party Outlet requires sophisticated replenishment technology
to support their strategy for profitability and growth. In citing the
replenishment functionality that will benefit the retailer, Oppenheimer stated,
"JDA's replenishment solutions contain a long list of features that will be
instrumental in our future success, such as seasonal profiling, exception
management and promotion management."
Oppenheimer provided additional
background on the outcomes that he expects to gain by addressing the company's
requirements in the following areas:
-- Seasonal Profiling: "We expect
seasonal profiling to provide some tremendous benefits to our organization. We
support about 40 seasons that run anywhere from a couple of weeks to nine
months, so for us, having more precise seasonality index profiling is crucial to
getting the right inventory to the right place at the right time," commented
Oppenheimer.
-- Exception Management: "Exception management
functionality will help Factory Card & Party Outlet to identify
fast-occurring trends at the store/SKU level and to identify on hand integrity
issues," explained Oppenheimer. "We currently carry 30,000 items and of these,
we replenish approximately 16,000. When you multiply this by 185 stores, we
basically replenish almost two million store/SKU locations. If we need to zero
in on an inventory problem anywhere within the organization, we basically would
have to check two million data points and currently, we just don't have the
resources to do this. Our new JDA solutions will enable us to manage the
abnormal inventory movements, so that we can more easily track down what might
have gone wrong, if anything."
-- Promotional Sales Planning: "We
currently use 'work arounds' within our existing system to build up the
appropriate inventory levels prior to a promotional event. Once we go live with
JDA's E3 applications, we anticipate being able to more effectively plan our
promotions by allowing our new applications to automatically identify and
suggest ordering for our annual promotional events," stated Oppenheimer.
About Factory Card & Outlet Corp.
Factory Card & Party
Outlet, (www.factorycard.com) based in Naperville, Ill., currently operates 185
company-owned retail stores in 20 states, offering a wide selection of party
supplies, greeting cards, gift wrap, balloons, everyday and seasonal
merchandise, and other special occasion merchandise at everyday value prices.
About JDA Software Group Inc.
With more than 4,700 retail,
manufacturing and wholesale customers in 60 countries, JDA Software Group Inc.
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, Ariz., and employs more than 1,100 associates
operating from 26 offices in major cities throughout North America, South
America, Europe, Asia and Australia. For more information, visit www.jda.com,
e-mail info@jda.com or call 800-479-7382.
This press release contains
forward-looking statements that are made in reliance upon the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements include Oppenheimer's expectation that JDA will
implement our solutions in the timeframe expected by the client; Charness'
statements concerning our products' integration and the anticipated efficiency
increases from using our products, and the anticipated benefits of using our
products. Future events may involve risks and uncertainties, including, but not
limited to, uncertainties inherent in the retail supply chain, the fact that
competitive products exist and may be more successful or a better choice, the
fact that our products are not yet fully integrated and may not be implemented
in the expected time frame, and other risks detailed from time to time in the
"Risk 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.
"JDA," "JDA Portfolio," "Portfolio," "MMS,"
"Seasonal Profiling by Intellect," "Intellect," "Marketplace Replenish" and
"Portfolio Advanced Replenishment by E3" are trademarks or registered trademarks
of JDA Software Group Inc. Any trade, product or service name referenced in this
document using the name "JDA" is a trademark and/or property of JDA Software
Group Inc.
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