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Halfords Completes Multi-Site Implementation of Manhattan Associates' Warehouse Management Solution

19.07.2005

Supply chain execution solution provides perfect complement to SAP ERP system

LONDON and ATLANTA - July 13, 2005 - Manhattan Associates, Inc. (NASDAQ: MANH), the global leader in supply chain execution and optimization solutions, today announced that Halfords has completed its UK implementation of the Warehouse Management component of Manhattan Associates' Integrated Logistics Solutions.

Manhattan Associates' Warehouse Management solution for Open Systems operates at Halfords on IBM's eServer platform and has been running the retailer's two national distribution centers (NDCs) at Redditch for more than 12 months. Now also live at the NDC in Cowley, Oxfordshire, the solution has been deployed across all three sites to improve accuracy, quality and speed of delivery and to complement Halfords' SAP ERP system.

The three national distribution centers each serve the UK and Eire with a different selection of products. Halfords currently occupies approximately 200,000 square feet of the Cowley distribution center, which is operated by Unipart Logistics. The NDC contains many "hard" car parts, such as alternators, air filters and brake pads, along with bulky objects such as baby seats and roof boxes.

The Cowley installation of Manhattan Associates' Warehouse Management solution for Open Systems represents the last stage of Halfords' order fulfillment system replacement program. The legacy system superseded by Manhattan Associates' solution dated from the era when Halfords was still part of The Boots Company plc. Being largely manual it was not only complicated to use but had become increasingly difficult to support technically. Manhattan Associates' solution, selected for a number of reasons including its ability to be easily integrated with Halfords' SAP ERP system, is fully integrated with radio frequency barcode scanning technology from LXE and provides Halfords with greater control, accurate 'real time' stock data and the flexibility to change operating practices as the business develops.

Although all three distribution centers are now operating on a common warehouse management platform, the final implementation was not simply a repeat of the previous two, as each facility has an entirely separate set of stock-keeping units (SKUs). "Each warehouse has been configured very differently," explained Steve Whyman, supply chain and business systems director at Halfords. "Manhattan Associates' solution was flexible enough to adapt easily to variations in environment and specific requirements that exist at each of the facilities."

The project was delivered on time and on budget, with no interruption to service in the stores. Future benefits are expected to come from a greater level of inventory accuracy and a faster 'store order to delivery' cycle time. Labor efficiency will also be improved following the automation of task allocation and the introduction of functionality such as task-interleaving.

Steve Smith, vice president of EMEA at Manhattan Associates, commented, "Halfords' implementation of our Warehouse Management solution for Open Systems is a great example of how best-in-class supply chain execution solutions are increasingly being used in high volume, high complexity supply chain network environments, to complement the respective strengths of an ERP system. With the completion of this company-wide integrated system roll-out, we look forward to helping Halfords exploit the full potential of their investment."

About Halfords
Following the acquisition of Halfords from The Boots Company by CVC Capital Partners In September 2002, Halfords was subsequently floated on the London Stock Exchange In June 2004. With 398 stores across England, Wales, Scotland, Northern Ireland and including three in Eire, Halfords is one of the largest non-food retailers in the UK. It has around 11,000 product lines, an annual turnover in excess of 600 million and a company history spanning more than a century.

About Unipart
Unipart Logistics is the logistics, consultancy and service management division of the Unipart Group of Companies (UGC) and is one of Europe's leading providers of logistics to the automotive, technology, aerospace, rail, leisure and retail sectors.

Unipart Logistics is based upon the principle of "demand chain" management which reflects Unipart's capability in managing complex global supply chains, from suppliers through to customers. Unipart's fundamental approach to logistics is to deliver the greatest possible benefits to their clients by removing waste at each level of the supply chain. For further information visit www.unipartlogistics.com or contact Mark Howard, External Affairs Associate on 01865 383440.

About Manhattan Associates
Manhattan Associates, Inc., is the global leader in providing supply chain execution and optimization solutions. It enables operational excellence through its warehouse, transportation, distributed order management, reverse logistics and trading partner management applications, as well as its RFID, performance management and event management capabilities. These Integrated Logistics Solutions leverage state-of-the-art technologies, innovative practices and our domain expertise to enhance performance, profitability and competitive advantage. Manhattan Associates has licensed more than 900 customers representing more than 1,600 facilities worldwide, which include some of the world's leading manufacturers, distributors and retailers.



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