Southern Company Targets e-Settlement

Utility adopts Pantellos solution to electronically transact with supply base through e-marketplace

Utility adopts Pantellos solution to electronically transact with supply base through e-marketplace

The Woodlands, TX — June 16, 2004 — Energy firm Southern Company has selected an e-settlement solution from Pantellos in order to electronically transact with its supplier base, capture invoice early payment discounts and maximize the functionality and automation capabilities of electronic supply chain solutions.

With 4 million customers and nearly 39,000 megawatts of generating capacity, Atlanta-based Southern Company is a top super-regional energy company in the Southeast and a leading U.S. producer of electricity.

The utility will use Pantellos DirectSettle, an e-settlement solution powered by payment specialist Xign. DirectSettle is the latest version of Pantellos' electronic invoice and payment solution.

"Pantellos DirectSettle is a smarter way of doing business and helps us maximize our investments in existing Pantellos e-sourcing and e-procurement technologies," said Jacki Lowe, vice president of supply chain management for Southern Company. "We look forward to extending our electronic interaction with both large and small suppliers to deliver greater business results to both Southern Company and our valued supplier community."

Branded to reflect new upgraded functionality, Pantellos DirectSettle now offers customers integration with the Pantellos e-marketplace and allows customers to benefit from e-payment capabilities without investments in additional hardware or software behind their firewall. DirectSettle also provides access to the analytic capabilities of the e-marketplace to track transaction details, such as purchase orders, procurement spend by supplier and total procurement spend under management, as well as enhanced customer support.

Based upon the Enterprise Order to Pay service from Xign, DirectSettle electronically enables the invoice payment process for customers and their suppliers, including online invoice receipt, invoice approval and processing, payment, remittance, reconciliation and dispute resolution, according to Pantellos. To support supplier enrollment, customers have access to Pantellos' supplier adoption services, which coordinate and manage the electronic enablement process of a company's supplier base.

For suppliers, DirectSettle offers the potential to reduce accounts receivable processing costs, improve cash forecasting, detail remittance information and reduce invoice payment cycles, according to Pantellos.

"E-settlement completes the electronic supply chain from procure to pay," said Jim Neikirk, president and CEO of Pantellos. "The features and enhanced capabilities Pantellos DirectSettle offers will help our customers maximize current investments in e-sourcing and e-procurement technologies while streamlining internal processes, improving relationships with suppliers and delivering bottom line savings."

Pantellos DirectSettle is available today. Existing Pantellos eSettlement Network customers will be upgraded to Pantellos DirectSettle in late June 2004, according to scheduled solution roll-out plans and solution maintenance, Pantellos said.