"Oh Sure, We're Automated, Don't Ya Know"

Minnesota signs on for MaterialNet's e-Sourcing platform

Lake Success, NY  September 19, 2001  MaterialNet, a provider of e-sourcing solutions announced that the State of Minnesota has committed to using the Custom Procurement Management System (CPMS), MaterialNet's e-sourcing application. CPMS will be a platform handling the reverse auction purchasing for Minnesota under an initiative launched by the Minnesota Department of Administration announced on June 29, 2001.

"Forward-thinking state governments that are looking to bring more value to their taxpayers' money are keeping pace with the private sector by aggressively adopting e-sourcing technologies and practices. MaterialNet is pleased to be providing Minnesota with the next generation e-sourcing tools that allow it to better manage its purchasing and to cut costs and boost taxpayer value," said Joe Pecoraro, chief operating officer (COO) of MaterialNet.

The use of CPMS is expected to reduce the cost of purchasing activities and for cost of goods and services for Minnesota, the primary rationale for the selection of MaterialNet.    In their first reverse-auction event for aluminum substrate, Minnesota experienced savings that will translate to $175,000 over the next five years. Minnesota uses 500,000 pounds of aluminum each year to make license plates.

"It's gratifying to be able to provide state governments and agencies with the tools that facilitate savings that get passed back to taxpayers," said Pecoraro. "We expect to see local municipalities and federal agencies to take the states' lead and begin adopting e-sourcing technologies as well."