Columbia Sportswear Company Uses TradeCard For More Profitable Procure

    Business Editors

    NEW YORK--(BUSINESS WIRE)--May 3, 2005--TradeCard Inc., the leading provider of on-demand financial supply chain products, announced that it automates Columbia Sportswear Company's (Nasdaq:COLM) trade transactions with international suppliers - from purchase order delivery through payment. TradeCard also automates Columbia's early payment discount program. The program gives suppliers the option to select early payment in exchange for a discount off their invoice.
    Columbia is the largest seller of skiwear in the United States and one of the world's largest outerwear brands.
    "Our benefits include lower transaction costs with our suppliers, streamlined procurement processes and improved information flow across our supply chain," says Bryan Timm, Columbia's chief financial officer. "In particular, TradeCard helps Columbia to monetize our entire relationship with suppliers, so that we can assess the cost-efficiency of our transactions. That has enabled Columbia and our suppliers to eliminate costs from the supply chain."
    To date, the implementation spans eight countries and represents over 50 percent of Columbia's total sourcing volume. These results - the first phase of an ongoing project -were achieved in less than 20 weeks, with TradeCard and Columbia teams in the United States, China, Hong Kong, Korea, Vietnam, and Taiwan orchestrating the fast rollout to suppliers. Over the next year, Columbia plans to migrate additional sourcing volume to TradeCard.

    TradeCard Extends Value of Columbia's ERP System

    Through its web-based platform, TradeCard automatically creates, routes, matches and stores trade documentation - such as electronic purchase orders, supplier invoices and other information - to facilitate payment and financing. Each party has appropriate access to view and amend documents as a transaction progresses. Payment decisions are automated based on supplier compliance to purchase order terms and conditions. Discrepancies are systematically flagged and managed online.
    At Columbia, TradeCard integrates with a J.D. Edwards ERP system, sharing information with this technology - while remaining transparent to most staff. Columbia's suppliers access TradeCard over the web or, if they prefer, by integrating the platform into their own back-end systems.

    Early Payment Discounts a Win For Columbia - and Suppliers

    According to Timm, "When our suppliers submit an invoice on TradeCard, they can opt for full payment on standard payment terms, or for discounted early payment. TradeCard's ability to automate and manage this program is something we found to be unique. We are using it to improve our return on working capital."
    A common roadblock to traditional early payment discount programs is time-consuming negotiation with individual suppliers. "What's great about TradeCard's approach is that it eliminates the need to negotiate discount terms," says Timm. "We can simply offer early payment as an opt-in program."
    Suppliers also benefit from the program, as they gain a new source of operating capital - one that does not draw down their bank credit lines. Timm notes, "About 30% of our suppliers now use the program. We expect that number to increase as we bring the rest of our trading community on board. The program actually gives us an advantage when dealing with new suppliers, as they're excited for access to early payment."
    Through TradeCard, companies can fund early payment discount programs with their own cash, or via third-party financial institutions.

    Executing Columbia's Vision For Global Supply Chain Visibility

    "It is a real challenge to keep our suppliers and our finance, import and procurement departments all on the same page," says Timm. "Each phase of the TradeCard implementation brings us closer to recognizing our vision for complete visibility and information sharing across the entire supply chain."
    For instance, TradeCard automatically creates and populates invoices, packing lists and other documentation for suppliers - based on the information in Columbia's purchase orders. The benefit for Columbia is standardized supplier documentation from purchase order through logistics, customs and finance, along with a reduction in supplier re-keying errors.
    "Whenever I see Gert Boyle in a Columbia ad, I smile knowing we are an integral part of their operation," says Kurt Cavano, TradeCard's chairman and chief executive officer. "Columbia is one of the most respected outerwear brands - and a great company to work with. We're proud to have helped them and their suppliers achieve more profitable transactions."

    About Columbia Sportswear Company(R) (Nasdaq: COLM)

    Founded in 1938 in Portland, Oregon, Columbia Sportswear Company is a global leader in the design, sourcing, marketing and distribution of active outdoor apparel and footwear. As one of the largest outerwear brands in the world and the leading seller of skiwear in the United States, the Company has developed an international reputation for quality, performance, functionality and value. To learn more about Columbia Sportswear please visit the Company's web site at www.columbia.com
    Mr. Timm noted that this press release contains a number of forward looking statements, including his own statements regarding Columbia's benefits from using the TradeCard program, program expansion plans, returns on working capital, supply chain visibility and information sharing, and profitability. Actual results achieved by Columbia could differ materially from those projected in these and other forward-looking statements as a result of a number of risks and uncertainties, including those described in Columbia's Annual Report on Form 10-K for the year ended December 31, 2004, under the heading "Factors That May Affect Our Business and the Price of Our Common Stock," and other risks and uncertainties that have been or may be described from time to time in other reports filed by the Company, including reports on Form 8-K, Form 10-Q, and Form 10-K.

    About TradeCard

    TradeCard, the leading provider of on-demand financial supply chain products, is revolutionizing global trade with a web-based platform that automates the financial processes in supply chains that have been plagued with decades-old paper-based solutions. By using TradeCard, buyers and sellers can manage their transactions with complete visibility to initial orders through final settlement. TradeCard's global network of partners provides additional automated services on the platform including supply chain financing, credit protection, money movement and inspection. In addition to process improvements, customers realize immediate cost savings, optimized cash flow, reduced reliance on credit lines and improved supply chain relationships. Headquartered in New York City, TradeCard Inc. has offices in San Francisco, Hong Kong, Brussels, Taipei, Seoul, Tokyo and Shenzhen. TradeCard is a registered trademark in the United States and elsewhere throughout the world. TradeCard is located online at www.tradecard.com.

    This press release contains a number of matters that constitute forward-looking statements. The presentation reflects the current views of TradeCard's management with respect to future events and is subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements.

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CONTACT: TradeCard Inc. Lois Bruu, 212-402-3298 lbruu@tradecard.com or Fitzgerald Communications (For TradeCard) Rurik Bradbury, 212-771-3687 rbradbury@fitzgerald.com

KEYWORD: OREGON NEW YORK INDUSTRY KEYWORD: HARDWARE SOFTWARE BANKING APPAREL/TEXTILES RETAIL MARKETING AGREEMENTS SOURCE: TradeCard Inc.

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