DirectGroup Bertelsmann Bundles Sourcing for Paper and Print in Europe / Total value of 200 Million Euro; Establishment of an Internet Marketplace

GÜTERSLOH, Germany (PROTEXT/ots) - DirectGroup Bertelsmannwill bundle the sourcing activities for print and paper for 15book clubs in 13 countries across Europe. Additionally, thespecifications and formats of the print products will bestandardized on a pan-European level. In order to achieve this,the orders will be negotiated centrally. Simultaneously, a jointeMarket platform will be established on the Internet. In thisway, improvement potentials for the sourcing and suppliers are tobe realized. The order value of DirectGroup for print productsamounts to approximately 200 million Euro per year. The eMarket platform is the central tool for the bundling ofprint orders; through it, the placing of an offer as well as theprocessing of an order will be possible. The platform willcontribute to improving the status of information flowing betweenseller and buyer and to facilitating communication. In a second phase, the platform will be opened up to third-party companies, both inside and outside of Bertelsmann AG. Anestimated 100 clients and 150 print companies can place offersthroughout Europe through this channel. With its companies,Bertelsmann AG is among the top clients for the European printingand paper industry. Dr. Klaus Eierhoff, the Head of DirectGroup and Member of theExecutive Board of Bertelsmann AG, stated, " For Bertelsmann, wewill mobilize considerable cost reserves and are thus alsocontributing to the improvement of the result within DirectGroup.The possibilities of the Internet are consistently being used forpan-European sourcing. With the eMarket platform, we're creatinga unique offer for customers and suppliers and thus become anengine of innovation for the printing industry in Europe. " The service unit of DirectGroup under the direction of Dr.Peter Kallweit is responsible for the bundling of the print andpaper orders. Patrick Ohle, located in Munich, is responsible fornegotiations and the marketplace. About DirectGroup Bertelsmann DirectGroup Bertelsmann has been directing the end customerbusinesses of Bertelsmann AG since July 2000. With a total ofabout 50 million customers and members, the DirectGroup comprisesthe book and music clubs worldwide as well as the global e-commerce businesses. Bertelsmann is the global market leader withrespect to media clubs and, with BOL, CDNow and BN.com, is thenumber two worldwide with respect to media e-commerce activities.The DirectGroup, next to Content and Services, is one of thethree supporting pillars of Bertelsmann's overall strategy. Dr.Klaus Eierhoff heads the Group whose total revenues for fiscalyear 2000/01 are projected to be approximately DM 7 billion. With13,000 employees the division is active in 24 countries andcontributes a great deal to the internationality of theBertelsmann Group. ots Original Text Service: DirectGroupBertelsmann Internet: http://recherche.newsaktuell.de Contact:Gerd Koslowski, DirectGroup Bertelsmann Phone ++ 49 5241 8041555,gerd.koslowski@bertelsmann.de

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