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Matalan Gears up for Further Growth with Manhattan Associates` Leading Extended Supply Chain Execution Solutions

Matalan to Deploy PkMS, SmartInfo and infolink for Robust Supply Chain Execution and Real-time Supply Chain Visibility

LONDON - October 31, 2002 - Manhattan Associates (Nasdaq: MANH), the global leader in providing extended supply chain execution (x-SCE™) solutions, today announced that Matalan, one of the UK`s leading clothing and homewares retailers, is to implement Manhattan Associates` industry leading supply chain execution solutions as part of a broad-reaching supply chain enhancement project.

Matalan will implement Manhattan`s PkMS® supply chain execution solution, a component of MA Fulfill, across its distribution network in the UK at Knowsley, Winwick and at Skelmersdale where there are two distribution facilities. In addition to the core PkMS software, Matalan will also deploy SmartInfo™, the business intelligence and analysis tool from Manhattan`s MA Optimize suite that delivers real-time and historical performance information.

Finally, Matalan has also invested in infolink™, the collaborative commerce tool that will provide Matalan with real-time connectivity to its external trading partners, allowing its users to view information such as order status and product availability via the Web for global inventory visibility and Supply Chain Event Management (SCEM) capability. Initially, the solution will enable suppliers to print retailer-compliant labels from the web, facilitating streamlined receiving at Matalan`s distribution centres.

Manhattan Partnering with JDA and Kurt Salmon Associates Manhattan is one of three key partners working with Matalan on this expansive supply chain project. JDA Software`s Portfolio® solution, including the open, client-server Portfolio Merchandise Management™ software, has been selected to provide the core supply chain functionality needed to rapidly grow the retailer`s current UK store count of over 150 nationwide. Kurt Salmon Associates (KSA) is Matalan`s Supply Chain Transformation partner, selected to help the retailer deliver both on its performance objectives and its implementation timescale.

"These changes to our systems will improve the responsiveness of our supply chain, allowing improved product availability and overall levels of customer service. We are confident that we can continue to deliver what our customers really want from our products and stores," said Paul Mason, Matalan chief executive. "Matalan, JDA, Manhattan Associates and KSA will share all of the challenges of this project. We have a great deal of confidence in our partners` ability and commitment to deliver."

On the appointment of Manhattan, Roger Burnley, Matalan`s Supply Chain Director, summarises; "With Manhattan`s extended supply chain execution solutions, we know that we are implementing a proven, best-of-breed solution set into our current facilities. We can really begin to exploit the scalability of Manhattan`s solutions as we bring new facilities on-stream, and benefit from the fact that the solutions are continuously evolving to meet changing customer needs."

In addition to its worldwide strategic alliance with JDA formalised in January 2002, Manhattan Associates is successfully partnering with KSA on other significant supply chain projects such as UK-based Wolseley Group, the world`s largest specialist trade distributor of heating and plumbing products.

"We`re pleased to be working with a leading retailer such as Matalan and to be working alongside key partners JDA and KSA to jointly deliver Matalan`s supply chain transformation goals. We are 100% committed to working closely and diligently with the programme partners to ensure that Matalan not only achieves its objectives, but does so on time and on budget," said Allen Scott, Vice President of European Operations at Manhattan Associates. "Helping Matalan to attain its goals of higher efficiency and service excellence is part of our pledge to deliver best-of-breed solutions to the retail industry and as Matalan continues to grow, PkMS, SmartInfo and infolink will adapt to suit the changing business environment, giving it a sustainable competitive edge."

About Matalan
Matalan currently employs over 11,500 team members;

In October 2002 Matalan reported interim results for 27 weeks ended 31 August 2002 as follows:
Group profit before tax up 9% to £53.6m (for 26 weeks ended 25th August: £49.4m);
Turnover up 28% to £492.2m (2001: £385.2m);
Matalan Retail like for like sales up 4% (2001: 10%).

Matalan has over 8.6 million active members;
Matalan sells more jeans in the UK than any other retailer;
Matalan sells more towels in the UK than any other retailer;
Matalan is one of the UK`s leading clothing and homewares retailers, and the only significant dedicated edge-of-town clothing retailer.

Founded by John Hargreaves, the first Matalan Store opened in Preston in 1985. Matalan now trades from 4 million square feet in over 150 stores.

In a recent survey by the retail analyst Verdict, Matalan was confirmed as the number one value-clothing retailer. Matalan`s product range offers a comprehensive selection of homewares, ladies`, men`s and children`s clothing and footwear - all under one roof. With emphasis on value, top quality, style and choice, customers can choose from a range of in-house brands, as well as top fashion names including Wrangler, Falmer, Wonderbra and Lee Cooper. In January 2002 Paul Mason, former UK President and Managing Director of ASDA Wal-Mart, was appointed Chief Executive of Skelmersdale based Matalan PLC. For more information visit www.matalan.co.uk

About Manhattan Associates
Manhattan Associates is a global leader in providing supply chain execution and collaborative commerce solutions. These solutions leverage state-of-the-art technologies, innovative practices and the company`s domain expertise to enhance performance, profitability and competitive advantage. Manhattan Associates has licensed more than 800 customers representing 1,100 facilities worldwide, which include some of the world`s leading manufacturers, suppliers and retailers. For more information about Manhattan Associates visit www.manh.com.

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