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Installed and operating within 90 days of purchase - $A400 million annual savings from Smartbuy marketplace?

January 8, 2003 - Intershop Communications, (Nasdaq: ISHP, Neuer Markt: ISH), the leader in e-commerce performance announces, that its Enfinity Procurement software was chosen and deployed by the NSW Government's Department of Public Works and Services (DPWS) in Australia.

The "smartbuy" system can handle over 11 million transactions annually. It connects
suppliers with government buyers and allows government agencies to conduct business
with the private sector over the Internet. It is designed to integrate multiple
suppliers, implement strategic sourcing, and leverage greater buying power. "Smartbuy
is the largest online marketplace in Australia, and we were able to launch the site in
just 90-days," said Steve Proctor, director of technology and cross sector products at
Logica. "Intershop's open, flexible architecture was key in keeping the project on

The five-year, $A25 million marketplace, called "smartbuy," allows government
departments and other organisations to browse, select and purchase goods and services
online from approved suppliers. "Today, governments are challenged to serve the
community better, and by deploying this technology we can save state money by directing
resources away from expensive overhead activities," said Morris Iemma, Minister for
Public Works and Services.


"This technology has allowed us to develop our main tool to facilitate procurement
reform which will make government purchasing more efficient and cost effective. This
successful deployment should serve as the e-commerce model for other governments,"
Iemma added.

The NSW Government spends roughly $A17 billion each year buying goods and services,
including capital works, and the "smartbuy" e-marketplace is a key piece of procurement
reform strategies that are estimated to save $A400 million annually by streamlining and
automating purchasing processes. Smartbuy is part of a 5-year project that the DPWS
awarded to Logica in partnership with Intershop in July of this year. It is set to
become the biggest electronic trading hub in Australia and the Southern Hemisphere as
well as being one of the largest in the world.

- ends -

Notes to the editor:

About Logica

Logica: Founded in the UK in 1969, Logica (LOG.L) is a leading global solutions company
providing management and IT consultancy, systems integration, products, services and
support. Logica's clients operate across diverse markets including telecoms, financial
services, energy and utilities, industry, distribution and transport and the public
sector. The company has revenues over £1 billion and operates in 34 countries
worldwide. Founded in 1969, Logica is the largest IT services company listed on the
London Stock Exchange. More information can be found at .

About Intershop Communications

Intershop Communications (Nasdaq: ISHP, Neuer Markt: ISH) is a leading provider of
e-commerce solutions for enterprises who want to automate marketing, procurement, and
sales using Internet technology. The Intershop Enfinity commerce platform, combined
with proven, flexible industry and cross-industry solutions, enables companies to
manage multiple business units from a single commerce platform, optimise their business
relationships, improve business efficiencies and cut costs to increase profit margins.
By streamlining business processes, companies can achieve a higher return on investment
at a lower total cost of ownership, increasing the lifetime value of customers and
partners. Intershop has more than 300 enterprise customers worldwide in retail,
high-tech and manufacturing, media and telecommunications.
Customers including Hewlett-Packard, Motorola, Bosch, BMW, TRW, Bertelsmann, Otto and
Homebase have selected Intershop's Enfinity as the foundation for their global
e-commerce strategies. More information about Intershop can be found on the Web at .


Vicky Steel
Brodeur Worldwide
020 7298 7070

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