ICG Commerce Extends and Expands Procurement Services Relationship with Crown Cork & Seal USA, Inc.
After a Successful 3-Year Relationship, Procurement Services Provider and Leading Manufacturer Partner for 4 More Years to Achieve Next Level of Procurement Savings
PHILADELPHIA - Monday, April 12, 2004 - Leading Procurement Services Provider (PSP) ICG Commerce today
announced a multi-year procurement services extension and expansion with long-term customer Crown Cork & Seal USA,
Inc. (Crown), a leading manufacturer of packaging products to consumer marketing companies around the world.
Crown Cork & Seal has a long and successful history of driving down costs across its operating business while
maintaining high product quality standards. Procurement excellence has long been a top priority for Crown, and the
company has worked diligently to leverage its internal expenditures in order to significantly reduce purchasing costs as
part of its World Class Performance Program.
In the year 2000, Crown became one of the earliest adopters of the PSP model, selecting ICG Commerce to provide
sourcing, purchase-to-pay automation and ongoing category management services for select indirect product categories.
Since that time, Crown has reduced its costs by over 10% and has generated year-over-year cost improvements
resulting in an additional 3-7% savings. Furthermore, the company has enhanced visibility and control of expenditures
by instituting greater discipline over internal requisition and approval processes and by utilizing ICG Commerce's
purchase-to-pay platform, RealExchange.
Given the increasingly challenging economic environment that many manufacturers are facing, Crown is expanding the
scope of its procurement cost savings initiative to include additional commodities such as plant MRO, packaging and
services like temporary labor. Crown has again engaged ICG Commerce to support this initiative, doubling the number
of categories and related spend addressed by the partnership.
"In evaluating options to address this new phase of our sourcing program, it became evident that ICG Commerce is still
the only partner that provides not only sourcing expertise and technology but also critical savings implementation and
on-going category management services," said Edward Vesey, Senior Vice President - Procurement for Crown Cork &
Seal USA, Inc. "While consultancies may provide sourcing services, what Crown needed, and has successfully
experienced with ICG Commerce, is a focus that goes beyond identifying savings to ensure realization and ongoing
improvement."
"We at ICG Commerce applaud Crown's proactive approach to managing its costs and supply-base and look forward to
working with the company in this next phase of what will be a seven-year partnership," said Edward H. West,
Chairman and CEO of ICG Commerce.
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About ICG Commerce, Inc.
ICG Commerce is a leading Procurement Services Provider exclusively focused on helping companies buy more
effectively and efficiently in order to reduce costs significantly and continuously. The company offers an unmatched
combination of process and category expertise and hosted technology to deliver Sourcing, Purchase-to-Pay Automation
and Outsourcing Services. ICG Commerce Inc., a privately held company founded in 1992, is a member of Internet
Capital Group's (Nasdaq: ICGE) network of partner companies and has been honored as one of Forbes' 'Best of the
Web: B2B', UPSIDE Magazine's 'Hot 100' and as an iSource 100 company.
About Crown Cork & Seal USA, Inc.
Crown Cork & Seal USA, Inc., is a leader in the design, manufacturing and sale of packaging products for consumer
goods. The company's primary products include steel and aluminum cans for food, beverage and consumer products
and a wide variety of metal and plastic caps, closures and dispensing systems.
Contacts:
Genevieve Brill
ICG Commerce
215-649-1494
Brittany Morris
Ruder-Finn
312-329-3983
morrisb@ruderfinn.com
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