Covisint and Consortium of Automotive Leaders to Develop Data Messaging Solution

Southfield, Mich. - May 12, 2003 -- Covisint today announced the formation of a technology development consortium that will build and implement a data messaging solution to improve communications between companies in the automotive industry and replace costly EDI solutions. The messaging solution will also enable smaller companies, not currently using EDI, to connect to their customers and suppliers. Members of the consortium include DaimlerChrysler, Delphi, Ford Motor Company, General Motors, Johnson Controls and Lear. Each has committed financial and human resources to contribute to the development of the solution.

When deployed in late 2003, the new messaging solution will allow Covisint customers to send and receive electronic data to applications behind each other's firewalls, as well as to Covisint applications, at a significantly lower cost than available from current EDI solutions. It will support the latest Internet based protocols, XML standard messages, as well as the millions of EDI (EDIFACT and X12) messages, that are exchanged daily in the automotive business. The specifications for this solution are being developed in cooperation with the Automotive Industry Action Group (AIAG).

"A coordinated messaging implementation will lead to common processes and increased velocity of information throughout the automotive industry," said Bruce Swift, president, CEO and Chairman of Covisint. "Simplification of the messaging process will provide increased participation and reduced costs to businesses at every level of the supply chain. This will be core to Covisint's strategy in becoming the hub for the global automotive industry."

Automotive OEMs and suppliers pledge support
"Covisint's new messaging service helps to enhance open communication and information sharing at all levels of the supply chain," said Gary Valade, Executive Vice President, Global Procurement and Supply, DaimlerChrysler AG. "We continue to support and work with Covisint in partnership with our suppliers to improve the effectiveness of critical processes."

"EDI connections have long been a costly inefficiency for the industry," said J.T. Battenberg III, Chairman, President & CEO for Delphi Corporation. "This jointly developed messaging service will help to reduce this expense and improve the flow of information among the supply base."

"Supply chain efficiency is a shared vision of the OEMs and their suppliers," said Adriana Karaboutis, Director, Global Manufacturing and Supply Chain Information Technology, Ford Motor Company. "Covisint's coordinated data messaging tool represents an excellent opportunity to achieve part of this vision."

"GM sees real value in creating an EDI alternative that allows us to more efficiently collaborate in real time with our supply base," said Ralph Szygenda, GM group vice president and CIO. " We believe a standard solution will deliver economic efficiencies while providing an affordable data communication tool for smaller automotive companies as well."

"The service being developed by the consortium will help to reduce the number of connections and improve our data communications with the rest of the industry," said John Barth, President and CEO for Johnson Controls, Inc. "The simplicity of the new system should reduce cost and complexity."

"The consortium approach being employed is the best method of developing a true industry solution," said Jim Vandenberghe, Vice Chairman, Lear Corporation. "We look forward to rationalizing our EDI network".

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