5/08/06

PFSweb Signs Agreement with Roots for E-Commerce Support Throughout Canada

Paul Demery , Managing Editor, B2B E-commerce

Expanded Relationship Provides Integrated North American Solution for Leading Canadian Retailer

PLANO, TX, May 8, 2006 – PFSweb, Inc. (Nasdaq: PFSW), a global provider of integrated business process outsourcing (BPO) solutions, announced today that it has been selected by Roots Canada Ltd., to provide a comprehensive e-commerce solution throughout Canada, effective immediately. Roots is Canada’s leading athletic lifestyle brand offering a wide range of quality apparel, premium leather goods and accessories for men, women and children of all ages.

PFSweb has been an integral part of the Roots online presence in the United States (www.roots-direct.com) since 2002. By expanding their relationship, PFSweb will now provide an integrated North American e-commerce solution for Roots that meets the unique customer expectations specific to each market while leveraging PFSweb’s integrated infrastructure in Plano, TX, Memphis, TN and Richmond Hill, ON. With over 130 retail store locations in Canada and the United States, Roots plans to leverage e-commerce to meet the needs of customers in both countries.

PFSweb provides a turnkey e-commerce solution for Roots in the U.S. that will be extended to Canada, including web-hosting, e-commerce technology, turnkey order management, payment processing and fraud prevention, brand-centric fulfillment, high-touch customer care, freight management programs and logistics.

With the expanded relationship, PFSweb will use a strategic distribution model for Roots in which inventory will be carried both in the United States and Canada, optimizing its inventory management system to meet customer expectations in each market and

minimizing freight and inventory costs. PFSweb will also address unique Canadian market requirements, such as bilingual customer care to support French-speaking Roots customers and an expanded online product catalogue that closely mirrors their Canadian retail store offering.

“PFSweb has successfully supported our online store in the United States for the past four years, helping us to develop the market and expand our presence in the United States, particularly during Olympics years when demand peaks,” said Michael Budman, co-founder of Roots.

“By expanding our partnership with PFSweb into Canada, we are gaining complete control over our web commerce presence to ensure that our online shoppers in both countries get the same high-quality care we provide in our physical stores,” Mr. Budman said. “PFSweb allows us to present an integrated, seamless multi-channel customer experience across our physical stores and our online store in Canada to our Canadian customers.”

“We will continue to support Roots with e-marketing initiatives to reach new customers in both markets and provide positive customer experiences to Canadian and U.S. shoppers,” said Mark Layton, CEO of PFSweb. “There is a tremendous opportunity for Roots to become a market leader in the Canadian online retail space as they already are recognized as one of Canada’s leading brands. We are proud to be able to help Roots accomplish that by creating a seamless online presence and by adding enhancements and features to the online stores that will meet and exceed ever-changing customer expectations.”

About Roots Canada Ltd.
Established in Toronto in 1973 by Co-founders Michael Budman and Don Green, Roots is Canada’s leading athletic lifestyle brand, offering a wide range of clothing, leather goods and accessories for men and women of all ages. Roots is proudly associated with the Olympic Games and has become renowned for outfitting the teams of Canada, the United States, Great Britain and Barbados in the past. The privately held company operates nearly 150 branded stores, including more than 125 in Canada, 5 in the United States and 18 in Taiwan. Roots products are also sold by independent retailers and department stores around the world.

To find out more about Roots Canada Ltd., visit www.roots.com. About PFSweb, Inc.

PFSweb develops and deploys integrated business infrastructure solutions and fulfillment services for Fortune 1000, Global 2000 and brand name companies, including third party logistics, call center support and e-commerce services. The company serves a multitude of industries and company types, including such clients as Adaptec, CHiA`SSO, FLAVIA® Beverage Systems, Hewlett-Packard, International Business Machines, Nokia, Pfizer, Inc., Raytheon Aircraft Company, Rene Furterer USA, Roots Canada Ltd., Smithsonian Institute and Xerox.

Through its wholly owned eCOST.com subsidiary, PFSweb also serves as a leading multi-category online discount retailer of high-quality new, "close-out" and refurbished brand-name merchandise for consumers and small business buyers. The eCOST.com brand markets more than 100,000 different products from leading manufacturers such as Apple, Canon, Citizen, Denon, Hewlett-Packard, Nikon, Onkyo, Seiko, Sony, and Toshiba primarily over the Internet and through direct marketing.

For more information, please visit the company`s websites at http://www.pfsweb.com and http://www.ecost.com.

The matters discussed herein consist of forward-looking information under the Private Securities Litigation Reform Act of 1995 and is subject to and involves risks and uncertainties, which could cause actual results to differ materially from the forward-looking information. PFSweb`s Annual Report on Form 10-K for the year ended December 31, 2005 identifies certain factors that could cause actual results to differ materially from those projected in any forward looking statements made and investors are advised to review the Annual Report and the Risk Factors described therein. PFSweb undertakes no obligation to update publicly any forward-looking statement for any reason, even if new information becomes available or other events occur in the future. There may be additional risks that we do not currently view as material or that are not presently known.

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Contacts:
Anne Donohoe / Jennifer Handshew
KCSA Worldwide / PFSweb
212.896.1261 / 212.896.1272
adonohoe@kcsa.com / jhandshew@kcsa.com

Robert Sarner
Director of Communication and Public Affairs
Roots Canada Ltd.
416.781.3574, ext. 4280
rsarner@roots.com

Topics:

department store, Management, Online shopping, PFSweb, Shoppers Drug Mart

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