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IBM and Camstar Form Strategic Alliance to Deliver Collaborative Manufacturing Solutions To The Electronics Industry

Joint Solution Offers Improved Production Efficiencies and Rapid Response To Changing Customer Demand

White Plains, NY and Campbell, CA - December 12, 2002 - IBM and Camstar, a leading provider of enterprise Manufacturing Execution Systems (MES) for global manufacturers, today announced a strategic alliance to deliver collaborative manufacturing solutions to the Electronics industry. Sectors to benefit from the agreement are Consumer Electronics Manufacturing and Electronics Contract Manufacturing, which is comprised of companies that manufacture a variety of electronic products, such as printed circuit boards, for computer and electronics companies on a contract basis. 

The joint IBM and Camstar solution improves manufacturing operations and reduces operational costs by seamlessly integrating production information with supply chain, procurement and customer support enterprise solutions. Under the terms of the agreement, the two companies will jointly market the Camstar InSite™ manufacturing execution software optimized for the IBM WebSphere™ infrastructure platform, including the WebSphere Application Server™, WebSphere MQ™, IBM DB2™ database software, and IBM eServer pSeries* and xSeries* hardware. IBM Global Services (IGS) will provide consulting and integration services.

Shorter product life cycles and global price competition have placed the Electronics industry under pressure to respond more quickly to changing customer demand and to reduce manufacturing costs. Responding effectively to these challenges requires tight coordination between customers, manufacturing operations and suppliers. As part of IBM's e-Business On Demand initiative, the IBM and Camstar solution enables the coordination and integration of all manufacturing activities across the enterprise and the ability to respond quickly to changing market conditions.

IBM chose Camstar for its robust integration capabilities and proven scalability, along with its ability to manage highly complex manufacturing models, span multiple factories and adapt to change very quickly. IBM offers manufacturing solutions marketing, sales resources and open-standards based middleware and hardware solutions.

"Success in electronics manufacturing requires real-time access to product information throughout the value chain," said Lorene Steffes, General Manager, IBM Global Electronics Industry. "With the IBM Camstar solution, our customers receive critical manufacturing information that can be seamlessly integrated into procurement, supply chain, and customer delivery and support functions."

"IBM understands the business and technical challenges that large manufacturers face, and has the resources and expertise to get the job done," said Dave Cone, president and CEO of Camstar. "Manufacturers need this kind of support to be successful with lean manufacturing initiatives and to accelerate their rate of new product introductions. Our joint solution lets them focus their attention on growing their businesses."

The strategic alliance with Camstar is another example of IBM's commitment to go-to-market with leading independent software vendors (ISVs) through the PartnerWorld for Developers program. Under this initiative, IBM has signed agreements with recognized software leaders. These alliances target industries such as financial services, retail, healthcare, manufacturing, and solution segments including enterprise resource planning, supply chain management, customer relationship management and business intelligence. The goal is to provide developers with access to new customers and revenue opportunities through IBM's marketing, sales, and solutions resources. And as part of the agreement developers commit to lead with IBM's middleware, server platforms, and services in offerings to customers.

About IBM PartnerWorld for Developers
PartnerWorld for Developers is the developer resource for IBM Business Partners. It is a worldwide program designed to help software developers reach broader markets, lower their costs of doing business, and take their products to market faster. For more information, visit http://www.ibm.com/partnerworld/developer, or call 1-800-627-8363 in North America, 1-770-835-9902 outside North America.

About IBM
IBM is a global leader in the development and implementation of e-business solutions in strategic areas such as supply chain management, enterprise resource planning, customer relationship management, business intelligence, product design and management and e-commerce. For more information, please visit http://www.ibm.com/e-business/supplychain.

About Camstar Systems, Inc.
Camstar is a leading provider of enterprise Manufacturing Execution and Quality Systems. Camstar’s InSite and Medical Device Suite applications manage, monitor, and synchronize manufacturing activities across globally distributed plants, and integrates them in real-time with core business processes. Rapid to implement, they provide the manufacturing control needed to help eliminate scrap, rework, paperwork errors and redundant checks. As a result, manufacturers improve yields and product quality, shorten lead times and reach volumes quickly, respond to changing demand, and reduce the cost of compliance. More than 100 leading companies, including Johnson & Johnson, Roche, Tyco, ZOLL, CIBA Vision, Zeiss, Kinetic Concepts, BIOTRONIK, IBM, Kodak, AMD, Philips, Hitachi, SCHOTT, Amkor, ASAT, Renesas, Arcelor and Industeel rely on Camstar as a trusted software partner.

Camstar's solutions for the life sciences industry support FDA Regulation 21 CFR Part 11 requirements, such as Electronic Records and Electronic Signatures as well as the Good Manufacturing Practices outlined by FDA Regulation 21 CFR Part 820. The software system simplifies the process of collecting and maintaining device history records, and includes tightly integrated enterprise Corrective and Preventive Action (CAPA) functionality.

For more information about Camstar and its InSite product, call us toll free at 1-800-588-0030, or visit at www.camstar.com.

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