Manhattan Associates, IBM Take Partnership to New Strategic Level

Manhattan Associates, Inc. (NASDAQ: MANH) today announced a significantly expanded relationship with IBM (NYSE: IBM) to sell and implement supply chain solutions built on IBM’s open technologies for businesses in the retail, consumer goods, manufacturing and transportation industries around the world. As part of this enhanced partnership, the two companies will be ramping up their joint sales efforts across Asia-Pacific, Europe, Latin America and the Middle East, while continuing their efforts in North America.

Working together, Manhattan Associates and IBM will enable companies to gain a global view of their supply chains and improve planning and execution strategies that lead to increased revenue, cost savings and customer satisfaction. This newly expanded relationship is expected to help the two companies capture a larger share of the global supply chain market, estimated by Gartner Group(a) to be $5.4 billion in 2007. Manhattan Associates is one of the world’s leading providers of supply chain solutions, while IBM has the industry's broadest worldwide network of sales, marketing and research and development experts to help close business in global markets.

As part of the agreement, Manhattan Associates will further enhance and develop its global supply chain solutions on IBM hardware, software and services. Manhattan Associates will also deliver its solutions on IBM's WebSphere(a) and Information Management(a) technologies, including WebSphere Application Server, Message Broker, and Transformation Extender, as part of a preferred reference architecture for Manhattan Associates’ Integrated Planning Solutions™ and Integrated Logistics Solutions™.

“Throughout our 15-year history together, IBM and Manhattan Associates have delivered innovative market-leading supply chain solutions. Our joint customers can depend on us to continue to lead the market with solutions that redefine how supply chain leaders drive improvements throughout their global supply chains,” said Pete Sinisgalli, Manhattan Associates’ president and chief executive officer.

Manhattan Associates and IBM share nearly 1,000 customers around the world. By expanding the strategic alliance, the two companies will focus on growing business in core vertical markets such as retail, consumer goods, manufacturing and transportation in all geographies. IBM’s commanding sales presence in these verticals and geographies will contribute significantly to the sale and promotion of Manhattan Associates’ solutions to new customers as well as create additional value for our existing customers. The companies will continue to collaborate on research and development in the IBM Innovation Centers in San Mateo, California and Waltham, Massachusetts.

“Companies of all sizes across the globe are looking for business solutions to improve how they interact with their suppliers, partners and customers,” said Mark Hennessy, general manager, Global Distribution Sector, IBM. “This presents an enormous opportunity for IBM to help its business partners grow their business in both emerging and established markets. With today's announcement, Manhattan Associates is partnering with IBM to capture new potential customers in geographies around the world.”

About Manhattan Associates, Inc.

Manhattan Associates® is a leading supply chain solutions provider. The company’s supply chain planning, supply chain execution, business intelligence and business process platform capabilities enable its more than 1,200 customers worldwide to enhance profitability, performance and competitive advantage. For more information, please visit www.manh.com