Fujitsu Transaction Solutions Inc.

July Marks Launch of StoreNext "Declaration for Independents"

Company Outlines Grocery Industry Self-evident Truths And Sets Independents' Bill of Rights

Plano, TX, June 24, 2004 — In a move designed to reinforce its position as the brother-in-arms for the independent grocer, StoreNext Retail Technologies LLC is launching the Declaration for Independents campaign.

"At StoreNext, every day is independents' day," said Ray Carlin, president and CEO of StoreNext. "It's now time for our nation's independents to assert their independence. They've suffered technological disadvantage against national chains for far too long. Independents play a vital role in the retail food industry as well as our economy, and have an inalienable right to compete for consumers' food dollars."

Carlin said that the campaign is designed to clearly position StoreNext as the only major IT company exclusively focused on meeting the needs of independents and regional chains. "StoreNext is the partner that understands the 'self-evident truths' of the grocery business and we 'pledge allegiance' to delivering solutions for the specific challenges independents face."

StoreNext's "Bill of Rights" outlines ten guiding principles for success when independents look to StoreNext for technology solutions. According to Carlin, additional campaign elements will include direct marketing to grocers and channel partners; the launch of a totally revamped StoreNext Web site; a major presence at the Retail Solutions Providers Association (RSPA) Show July 18-21 in Las Vegas; and a special dealer road show tour to Los Angeles, Chicago and Boston.

"A streamlined, efficient approach to IT management is vital to the independent grocer of the future," said Carlin. "With store management systems that are cost effective, easy to use and improve overall customer service, independents gain a new weapon in their arsenal and can drive the efficiencies required to lower costs and improve margins."

Independents are unfortunately at a distinct disadvantage in the IT arena compared to larger competitors that can spread the cost of state-of-the-art hardware and software across hundreds or thousands of stores, according to Carlin.

"Simply put, in-store systems - for everything from self-checkout to customer loyalty programs - typically require large up-front investments and continued staffing and maintenance costs that are not economically feasible for most independents," said Carlin.

"This is widening the gap between the larger 'haves' and the smaller 'have-nots.'"

According to Carlin, that trend is what makes StoreNext's total solution approach of Connected Services and a complete store automation package so important for the independent grocer. Connected Services is StoreNext's portfolio of Web-based store management applications, which are offered to individual stores and chains on a subscription basis, similar to an application service provider, or ASP, business model.

"Connected Services creates an affordable, virtual data center with powerful applications ranging from sales reporting, item management, inventory management, data warehousing and data mining, to labor scheduling, fuel management, loyalty programs and others," explained Carlin.

"As we approach the celebration of our own nation's independence, we felt it appropriate to recall the first ten amendments to the U.S. Constitution and develop this 'Bill of Rights' for independent grocers," said Carlin.

The Independents' Bill of Rights

I. Every independent grocer has the right to compete with industry giants on a level technology playing field.

II. Independent grocers have the right to increase their productivity and profitability through cost-effective store management systems.

III. Independents deserve IT solutions that are tailored to their own business models.

IV. Independent grocers have the right to demand immediate and measurable ROI from their IT resources.

V. Independents have the right to protect their technology investments against future changes in IT standards.

VI. No independent shall be without exceptional IT service and support.

VII. Every independent has the right to take full advantage of the power of the Internet.

VIII. Independents shall be free to create economies of scale through a community of shared services.

IX. Independents shall not be denied a technology vendor that is fully committed to serving their specific needs.

X. Independent grocers have the right to rely on StoreNext for ongoing support and innovative solutions.

"Henceforth, these basic tenets of freedom shall be the guiding light and driving force through which we engage our dealers, wholesalers and this country's more than 21,000 independent grocers," concluded Carlin.

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For sales and product information call (469) 241-8400.

Connected Services is a trademark of StoreNext Retail Technologies LLC

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About StoreNext

StoreNext Retail Technologies LLC is the No. 1 supplier of retail technology to independent grocers and small chains. Based in Plano, Texas, StoreNext is a joint venture of Retalix Ltd. (NASDAQ: RTLX) and Fujitsu Transaction Solutions Inc. and markets Fujitsu POS hardware, Retalix's ISS45 POS software and Internet Connected Services for managing stores via Web-enabled applications. StoreNext is the only retail IT company focused exclusively on meeting the needs of this wholesaler-served market with packaged solutions that were previously available, affordable or practical only for large chains.
For more information, please see: www.storenext.com

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