Borders Group Opens Chapter on Strategic Merchandise Management Solution

Global retailer implementing JDA portfolio optimization, advanced replenishment apps

Scottsdale, AZ — March 19, 2004 — Borders Group Inc., a leading global retailer of books, music and movies with annual sales of $3.7 billion, said it is looking to enhance efficiency by implementing several JDA Portfolio Strategic Merchandise Management solutions that it licensed in fourth quarter 2003.

With more than 1,200 Borders and Waldenbooks stores worldwide, as well as approximately 900 seasonal kiosks, Borders Group will rely on JDA Seasonal Profiling by Intellect, Advanced Warehouse Replenishment by E3 and Advanced Store Replenishment by E3 to help the company's expert buyer team forecast demand, pinpoint the sales seasonality of titles, and automate the store and warehouse replenishment process.

According to Mike Spinozzi, Borders Group senior vice president and chief marketing officer, JDA's solution will provide a set of tools to help Borders Group more efficiently market to its more than 30 million customers worldwide within the $60 billion worldwide consumer market for books, music and movies.

"The items we offer in our stores can be highly seasonal in their appeal to consumers and also very local," Spinozzi said.

Borders Group's Fred Johnson, senior vice president and chief information officer, added, "As we grow, our company is taking advantage of technologies, such as JDA's, to give our buyers a tool to obtain and act on detailed title information. This will help our company have the right titles in the right quantities in the right stores."

In addition to providing buyers with enhanced information, JDA's Seasonal Profiling solution will enable Borders Group to create targeted promotions based on more than 2,000 seasonal buying patterns. By synchronizing store and distribution center-level inventory using JDA's Advanced Replenishment applications, Borders Group plans to improve in-stocks, increase service levels and optimize inventory throughout its supply chain.

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