Sep 20, 2004

Seagate Launches B2B Platform with its Distributors to Facilitate and Streamline POS and Inventory Reporting

SINGAPORE - Seagate Technology (NYSE:STX) announced today it has implemented B2B connectivity with its distributors to gain more streamlined, timely and accurate point-of-sale and channel inventory information. This solution enables Seagate to improve its overall inventory management and better understand customer demand and consumption.

Leveraging a B2B integration solution from E2open, Seagate integrated more than 30 small-and medium-sized distributors - many of them geographically remote and with limited IT capabilities - in just three months. The project allows Seagate to see the actual consumption of its products at the point-of-sale, a key requirement in Seagate's corporate strategy of building a supply chain based not on forecasts but on true customer demand.

"The establishment of B2B connectivity with our distributors is part of our ongoing efforts to increase the value of the Seagate franchise for our partners and customers," said Teh Ban Seng, Seagate vice president and managing director of Asia Sales and Marketing. "We are pleased to be working with our distributors on the B2B implementation for greater ease and quicker turnaround times on sales-out and inventory reporting, which in turn enables them to focus on their core business."

"The introduction of B2B is a great initiative from Seagate and another testimonial to Seagate's commitment to its distributors and its efforts to provide value-add to our businesses," said Edison Tan, president of Millennium Computer Technology Corporation. "Furthermore, we can leverage this B2B infrastructure for transaction exchange with other suppliers. This is definitely another key step forward in our relationship with Seagate."

"We are pleased to be partnering with Seagate - a global technology leader which has consistently delivered best-in-class products and services," said James Hu, executive vice president and general manager of Distribution Group at Synnex Taiwan. "With the B2B implementation, Seagate has further strengthened its integrated supply chain from supplier to customer, providing us a better infrastructure in which to operate our business. This initiative is clearly a reflection of Seagate's continued efforts to drive customer success."

With the launch of the B2B platform, Seagate now receives a daily report from participating distributors that improves information flow and reduces the cost of managing the associated business processes. In addition, this initiative helps increase visibility throughout the supply chain. Some of the business benefits to Seagate and its distributors include:

* Improved overall information flow (system-to-system)
* Reduced cost of associated business processes
* Better visibility of sales out, pricing and inventory levels in the channel
* Availability of accurate data for making decisions relating to pricing and marketing programs

In the old reporting process Seagate distributors manually prepared and uploaded the weekly data. The new process calls for true B2B integration between Seagate and its distributors. As such, there should be no need for human intervention in the creation or transmission of the data. The new Seagate reporting solution is tightly integrated to the backend systems of its distributors and transmits data back to Seagate in a seamless fashion. The solution automatically translates information between different languages and currencies, making it a truly global solution for Seagate.

About Seagate
Seagate is the worldwide leader in the design, manufacturing and marketing of hard disc drives, providing products for a wide-range of Enterprise, Desktop, Mobile Computing, and Consumer Electronics applications. The company is committed to delivering award-winning products, customer support and reliability, to meet the world's growing demand for information storage. Seagate can be found around the globe and at www.seagate.com.

Seagate and Seagate Technology are registered trademarks of Seagate Technology LLC. Specified storage capacities reflect standard configurations exclusive of operating system or other software formatting.