Press Releases

Catalyst XPS Optimizes Small Parcel Carrier Packing and Shipping for Powell Electronics

CATALYST XPS implemented at leading distributor of electronic connectors, switches and related components

PHILADELPHIA, PA AND LONDON, UK, June 17, 2008—CDC Global Services announced today that its Catalyst SAP services unit implemented its native SAP® cross-carrier packaging and shipping system, Catalyst XPS, at Powell Electronics, Inc., a leading value-added distributor of electronic connectors, switches and related components. CDC Global Services is a business unit of CDC Software and Catalyst, its SAP services unit, managed the implementation.

With Catalyst XPS, Powell is able to manage its small parcel carrier packing and shipping activities within Powell's SAP ecosystem. Catalyst XPS empowers users to have one common single point of access across the supply chain with complete integration to external parcel carrier systems to provide complete visibility of each order, Track/Trace capabilities, combined with accurate, real-time updates between SAP and the carriers.

Catalyst's XPS is a comprehensive, powerful and easy-to-use solution that helps simplify all aspects of packing and shipping. It integrates SAP with the leading parcel carriers' systems to deliver visibility and control over all aspects of order fulfilment from the warehouse to the customer. As goods arrive in packing areas, XPS provides a series of clear and intuitive graphical screens that allows distribution managers to customize the packing process. From these screens, operators can facilitate the handling of products into the right packages and containers using a comprehensive range of pre-configured options. The system also generates detailed bar code labels covering specific customer requests and key information required by shipping companies.

Powell Electronics, based in Swedesboro, New Jersey, is one of the country's leading wholesale value-added distributors of electronic connectors, switches and related components. The company works with leading logistics providers, including FedEx, UPS and DHL, to meet the needs of their global distribution network. Mike Ayars, SAP project manager for Powell Electronics, explained, "We were in a situation where we had separate servers for each of our carriers. This meant that operators had to manually enter delivery information for each order into a dedicated terminal, and could only monitor that delivery from that terminal. One of the primarycarriers was not integrated to SAP, which meant any changes or errors had to be uploaded back to SAP manually. Similarly, we had very limited visibility of deliveries and had no way of knowing how many packages were in each delivery and could not identify tracking reference numbers for multi-box deliveries."

Powell selected Catalyst XPS after an extensive review process. Bob Oldrati, Powell's controller and IT director, adds, "We had successfully partnered with Catalyst to implement the SAP console in our distribution center and were very confident in their ability to deliver a world class solution. When they showed us Catalyst XPS, we could see the potential immediately. We implemented Catalyst XPS at the beginning of April and our process improvements and business benefits have been instant and dramatic."

"Catalyst delivered the system from blue-print to go-live in just four weeks," says Mike Ayars, adding, "We went live in early April and have already seen some major improvements to our shipping processes. Thanks primarily to Catalyst XPS, we have dramatically improved the throughput of orders from the warehouse to customers. Operators can use any workstation to initiate or check on an order and because Catalyst XPS resides within SAP, they only need to enter minimal information, such
as an order number, to retrieve or enter all the information they need. It is a consistent process for all carriers, which means there is no need for users to be trained in all the different carriers' systems. In addition, the integration with SAP means that the need for manual checking has been eliminated."

He continues, "Catalyst XPS provides us with visibility of all deliveries, which has significantly improved our customer service capabilities. We have extended the reach of Catalyst XPS to enable our sales people to deliver accurate information to customers by providing a real-time view of each delivery by any carrier. It also eliminates the need for manual communications with shippers by allowing access to all systems through a single workstation interface. This alone saves a significant amount of user processing time and allows us to work more efficiently and effectively. With this additional real-time, accurate information, we are able to identify and respond to problems immediately and can generate complex analytical reports to allow much greater control over the business."

Brian Thorn, vice president of sales and operations for Catalyst, comments "Catalyst XPS has been designed to increase the efficiency of the distribution process for SAP customers that have small parcel carrier shipping and packing requirements. Catalyst XPS leverages standard SAP objects and architecture, using the latest toolsets, and provides an easy to manage, centralized view of the entire packing and shipping process, across multiple distribution centers and multiple carriers."

Mike Ayars concludes, "Catalyst has been an excellent partner in this project. The product was implemented with no negative impact on the business and the benefits have been almost immediate as just a few weeks after go-live, there has been a real boost to the company. The solution takes advantage of standard hardware, printers and scales and eliminates the need for carrier-dedicated servers and workstations. Catalyst clearly understands SAP and has developed a product that delivers a first
class solution to an issue that can be a headache for any company sending out large numbers of deliveries with multiple carriers."

About Catalyst

Catalyst is a SAP® services partner, specializing in building and implementing business solutions for enterprise requirements in supply chain execution, planning, and management, and part of CDC Global Services. Catalyst services excel at helping organizations with complex distribution networks in the retail, manufacturing,life sciences, process, and consumer packaged good sectors; as well as parts distribution for the automotive, aerospace, and electronics industries. Catalyst serves hundreds of customers around the world from its headquarters in Newtown, PA, U.S. and its European headquarters in London, England. For more information, please visit www.catalystinternational.com/sap.

About Powell

Powell Electronics is a wholesale electronic component distributor, headquartered in Swedesboro, New Jersey, near Philadelphia. Powell specializes in the value-added distribution of ruggedized and harsh environment electronic, connectors, switches and sensors, and serves the military, aerospace and energy markets. In business since 1946, Powell has sales offices across North America, and in Europe and China. Powell's unbroken record of growth and success has made it one of the world's largest providers of specialized electronics components and value-added services.

About CDC Global Services

CDC Global Services, a business unit of CDC Software, provides IT consulting services, including platform-specific services for Microsoft and SAP, as well as project management, staff augmentation, managed help desk solutions and a full range of outsourced service offerings. CDC Global Services provides hardware for data collection and RFID, through partnerships with some of the industry's most reputable vendors. CDC Global Services embraces a customer-first approach, which means they are able to draw upon a wide range of expert resources to address each customer's unique business needs, while keeping their best interest as a top priority. CDC Global Services customers benefit from streamlined vendor management and the ability to control project costs, while being able to access the right IT resources through a singular point of contact. For more information on CDC Global Services, visit: www.cdcglobalservices.com.

Cautionary Note Regarding Forward-Looking Statements

This press release includes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, and includes statements relating to the expected benefits of using Catalyst XPS to our customers, their employees, processes and businesses, our beliefs regarding the ease of use and functionality of Catalyst XPS, the ability of Catalyst XPS to address the needs of clients such as the ability improve supply chain efficiencies, improve customer service, drive cost savings and competitive advantage, and our beliefs regarding the benefits of using our products and services. These statements are based on management's current expectations and are subject to risks and uncertainties and changes in circumstances. There are important factors that could cause actual results to differ materially from those anticipated in the forward looking statements including, among others: the conditions of our vertical industries; the continued ability of Catalyst XPS solutions to address industry-specific requirements of companies in the our vertical industries; demand for and market acceptance of new and existing Catalyst solutions; development of new functionalities which would allow our customers to compete more effectively in their respective industries. If any such risks or uncertainties materialize or if any of the assumptions proves incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make. Further information on risks or other factors that could cause results to differ is detailed in filings or submissions with the United States Securities and Exchange Commission made by CDC Corporation in its Annual Report for the year ended December 31, 2006 on Form 20-F filed on July 2, 2007. All forward-looking statements included in this press release are based upon information available to management as of the date of the press release, and you are cautioned not to place undue reliance on any forward looking statements which speak only as of the date of this press release. The company assumes no obligation to update or alter the forward looking statements whether as a result of new information, future events or otherwise.

For More Information

Contact

Mariangela Miglioranza
Global Marketing Manager
Phone: +44 (0) 1628 601 109
Email: mmiglioranza@cdcsoftware.com