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Marks & Spencer Signs Deal With IBM and SAP


LONDON - 27 Jan 2009: IBM (NYSE: IBM) and SAP (NYSE: SAP) today announced an agreement with Marks & Spencer (M&S) to implement a suite of SAP Retail applications.

The programme aims to provide M&S with accurate business data and robust core processes to enable business improvement initiatives in cost and operating efficiencies. Specifically, the programme will improve stock visibility and management of information, while increasing process efficiency which M&S believes will enhance the customer experience and drive greater control over net margin.

Marks & Spencer Director of IT & Logistics, Darrell Stein, says: "We selected IBM and SAP after an extensive assessment of the market. In addition to strong retail credentials, we felt there was also a strong cultural alignment. In order to provide the very best customer service, we need to be flexible and agile to their changing needs. The SAP solution, implemented by IBM, will allow us to do that."

Protecting the environment is also considered by the IBM programme, and recommendations have been provided to ensure all aspects are aligned with 'Plan A,' M&S' 100-point eco plan. For example, the increased accuracy of business data will help M&S monitor and report its environmentally friendly activities.

"IBM is committed to helping retailers deliver smarter solutions which drive operational excellence, demand-driven merchandising and supply chain processes," said Simon Rabone, Associate Partner, Retail, IBM Global Business Services. "IBM's retail expertise and ongoing relationship with M&S will help the retailer develop new innovative ways to add value to their business and drive down operational costs."

IBM will draw on its organisation, process and technology expertise to provide end-to-end programme management, including change management and business process consulting services. SAP will provide its leading Industry Solution for Retail, a suite of business applications designed specifically to meet the unique requirements of large and sophisticated retailers.

"As retailers strive to grow their businesses, many are looking towards international expansion and extending into new retail formats. The execution of these strategies needs to be underpinned by adaptable solutions that can drive out the anticipated benefits. SAP has a proven track record in food, convenience and general merchandise retailing and we are delighted that M&S has joined the growing list of retailers that are selecting SAP to support their growth ambitions," said Tom Fischer, Retail Divisional Manager, SAP UK & Ireland.

About IBM
For more information on IBM please visit -- www.ibm.com/retail.

About SAP
SAP is the world's leading provider of business software(*), offering applications and services that enable companies of all sizes and in more than 25 industries to become best-run businesses. With approximately 76,000 customers (includes customers from the acquisition of Business Objects) in over 120 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE, under the symbol "SAP." (For more information, visit www.sap.com).

(*) SAP defines business software as comprising enterprise resource planning and related applications.

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

Copyright © 2008 SAP AG. All rights reserved.

SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serve informational purposes only. National product specifications may vary.

Contact(s) information

Lucy Chapman
IBM Media Relations
44 (0) 20 7021 8911
LUCYCHAPMAN@uk.ibm.com

Molly McDonagh
PR Manager, SAP UK
44 (0)7966 975 287
Molly.mcdonagh@sap.com

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