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VARSITY NEWS

ATC DISTRIBUTION GROUP TAKES CONTROL OF SHIPPING EXPENSE THROUGH VARSITY’S SHIPAUDIT™

Carrier Invoice Auditing Software Enables Automotive Aftermarket Distributor to Cut Auditing Time, Eliminate Third-party Auditing Costs and Reduce Carrier Invoice Expense

San Francisco, CA. January 9, 2003.
Varsity Logistics, Inc., the pioneer of transportation management solutions for the AS/400, today announced that ATC Distribution Group, Inc. an automotive aftermarket distributor, is reaping early benefits from its successful deployment of Varsity's ShipAudit. ShipAudit has enabled ATC Distribution Group, who ships over 30,000 parcels a week, to improve the complex auditing of freight bills against negotiated carrier rates and discounts.

Since implementation of ShipAudit, ATC Distribution Group has cut weekly carrier invoice auditing time from 18 hours to less than one, and eliminated third-party auditing expenses. By identifying billing errors, ATC Distribution Group has reduced carrier invoice expense by 1 _ percent. In addition, the company has improved the monitoring of regional shipping activity to catch disproportionate freight discounting.

Setting up ShipAudit was straightforward. ATC Distribution Group established their specific exception criteria based on package size, shipment method and service charge guidelines. Variances outside the company's defined ranges appear on an exception report, saving days of auditing time. "We no longer have to review thousands of records," remarks Victoria L'Heureux, Freight Manager for ATC Distribution Group. "Invoice auditing used to take us 18 hours per week, now it takes less than an hour."

A Varsity customer since 1999, adding ShipAudit was an extension of ATC Distribution Group's commitment to a total Varsity shipping solution. "We like working with Varsity because they maintain a close relationship with the carrier companies. With our dispersed locations, we need the most current shipping information", notes L'Heureux. "Adding ShipAudit was a simple process with immediate payback."

"Freight costs are a highly visible area for Varsity's customers to reduce top-line expenses," said Tony Phillips, Product Manager for Varsity. "ShipAudit is designed to enable our customers to do their own freight or parcel invoice auditing quickly and easily, using their established business and accounting rules".


About Varsity
Founded in 1989, Varsity Logistics, Inc. is a pioneer of integrated Transportation Management Systems (TMS) designed for the AS/400 platform. Varsity's supply chain execution suite manages the fulfillment of orders initiated through both e-commerce and traditional sales channels via third-party carriers. ShipSoft, the core of Varsity's offering, automates the shipping process by providing automatic weigh/rate/label services, rate shopping, multi-weight consolidation, "bill as/ship as" options, and electronic manifesting for small package, LTL (Less Than Truckload) and international parcel shipments. Varsity is based in San Francisco, California.