Research Concludes Collaborative Logistics Networks
Result in 12.3% Gained Efficiencies

OMNI Consulting Group Measures Transportation Economic Efficiencies and Validates Trend

MINNEAPOLIS - October 20, 2000 - OMNI Consulting Group concluded its study of Collaborative Logistics Networks where it examined underlying economic principles and trends occurring within forward-demand planning and the creation of collaborative economies in the logistics marketplace using Nistevo's Collaborative Logistics Network. The study concluded that through a Collaborative Logistics Network, an organization could realize an efficiency gain of up to 12.3%. These gains are achieved through technical, economic and operational efficiencies.

Commissioned in April 2000, OMNI Consulting Group analyzed the economic behavior and trends of Collaborative Logistics Networks based on a detailed study of a major consumer packaged goods company and applied accepted economic theory pertaining to market structures as well as Game Theory practices (cost minimization and profit maximization relative to the interest of shippers and carriers.)

"The current logistics market is marginally 16.3% inefficient due to labor intensive, manual processes, and an information void created by a highly fragmented market," said Frank Bernhard, managing principal of the supply chain and telecommunications practice at OMNI Consulting Group. "The timeliness and quality of information shared between network members has an incredible influence on supply and demand. The more information that is shared, and its accuracy, can result in real economic gains."

Currently, little if any real visibility to demand for lanes and routes exist for freight that flows between carriers and shippers. With the advent of the Internet and the technology available through Collaborative Logistics Networks, members now have the forward visibility into demand, price, and supply. As a result, smoothing of demand and price due to imperfect information offers economic efficiencies, in other words, eliminating the "lumpiness effect" found in traditional logistics operations.

"Collaborative Logistics is an emerging market, offering the opportunity for both shippers and carriers to achieve real economic benefits" said Kevin Lynch, CEO and president of Nistevo. "This study validates the concept of Collaborative Logistics Networks and provides valuable insights into the relationships between market behavior, demand visibility, and web-based technology."

The Collaborative Logistics Networks: Economic Appraisal and Trend Validation executive summary and white paper are available at www.nistevo.com/omni.

About OMNI Consulting Group LLP

Founded in 1989, OMNI Consulting Group LLP, is the premiere source for empirical knowledge behind today's fast moving technology marketplace. With an impressive global network of economists and research practitioners, the firm serves many of the world's largest technology organizations and offers an unbiased approach of quantitative standards to address client-focused initiatives. OMNI Consulting Group fosters the understanding of market dynamics through an application of econometric solutions in a wide array of advisory and management research functions. Practice units within the firm concentrate on merger and acquisition support, technology audit and assurance, and intellectual asset management.

No longer is market blindness an excuse, but rather an opportunity to witness the next horizon. Discover the insight of technology economics by visiting our Website: http://www.omniconsultinggroup.com

About Nistevo

Nistevo is the leading provider of Web-based, collaborative logistics networks. The Nistevo.com network allows major buyers, shippers and carriers to collaboratively manage the procurement and execution of logistics services throughout the supply chain via private and semi-private networks. Through this trusted member network, organizations can share capacity, automate interaction with carriers and streamline their supply chain processes while carriers on the network optimize their capacity. The Nistevo network provides collaborative logistics services for various industries throughout the world. For more information about Nistevo visit our Web site at www.nistevo.com.