Quadrem Achieves Net Cash Flow Positive Fourth Quarter; Grows Revenues 70 Percent, Triples Global Customer Base to 13,000

Quadrem Achieves Net Cash Flow Positive Fourth Quarter; Grows Revenues 70 Percent, Triples Global Customer Base to 13,000

Paris, February 8/PRNewswire/ --

- Mining, Oil and Gas, CPG Customers Conduct USD 4 Billion in Business
Via E-Marketplace



Quadrem, the global eMarketplace, increased profits in October, November
and December of 2004, culminating in the growing company's first cash-flow
positive quarter. Additionally in 2004, Quadrem revenues rose 70 percent over
the previous year, and the company tripled its global customer base to
include more than 13,000 companies.


"Our aggressive growth is a direct result of increased market demand for
the services and solutions Quadrem provides," said Mike Efting, Quadrem CEO.
"Global 1000 companies recognize the bottom-line ROI that mature e-supply
chain technology delivers. They are looking for a proven partner to help them
effectively conduct business with their global supply bases. We are
exceptionally capable of making their initiatives successful -- across
countries, cultures, and multiple ERP and back-end systems."


Last year procurement organizations sent suppliers 1.2 million electronic
purchase orders worth more than USD $4 Billion via Quadrem's eMarketplace.
Purchase order throughput numbers for December were at a record high and if
annualised would mean that more than $USD 7 Billion could flow through
Quadrem's eMarketplace in 2005.


"Electronic procurement is delivering measurable value in terms of
material and process cost reductions, enhanced compliance rates, and
increased spend under management," said Tim Minahan, Aberdeen Group's Senior
Vice President and Managing Director of Supply Chain Research. "Best-in-class
performers have leveraged external supplier enablement and catalogue content
services to third-party providers, such as Quadrem, that can offer greater
efficiencies and economies of scale than can be achieved supporting such
activities in house."


According to Aberdeen's "The E-procurement Benchmark Report," released
last month, enterprises today use e-procurement solutions to manage more
requisitions, spend categories and suppliers than ever before. On average,
participating enterprises:



- reduced off-contract spending by 64 percent;
- reduced costs by 7.3 percent on spend brought back onto contract;
- reduced requisition-to-order cycles by 66 percent; and
- reduced requisition-to-order costs by 58 percent.


In addition to these benefits for global procurement organizations,
Quadrem also offers benefits to suppliers by lowering the cost of doing
business, reducing errors associated with fulfilling orders and reducing days
sales outstanding -- sometimes to as low as 10 days. 2005 will see Quadrem
rolling out additional services and functionality targeted at driving further
value for its supplier customer base.


"As our financial performance is proving, Quadrem's business model of
providing value on a global basis to both buyers and suppliers is the right
approach for making b2b profitable," said Quadrem CFO Gary Ito. "Others in
the space have begun to shift and emulate our vision and model, which we've
maintained since our launch in 2000. This is additional confirmation that
Quadrem is a global leader and a successful growth company worth watching."



About Quadrem


Quadrem (http://www.quadrem.com ) provides e-business solutions that
connect buyers and suppliers to maximise supply chain efficiencies.
Established in 2000, Quadrem has locations in Australia, Brazil, Canada,
Chile, France, Mexico, The Netherlands, Peru, Singapore, South Africa, and
the United States.



Web site: http://www.quadrem.com




Source: Quadrem

Katherine Kirkpatrick of Quadrem, +1-972-543-8044, or kkirkpatrick@quadrem.com


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