GNER Selects Manugistics to Deliver Groundbreaking Passenger Rail Origin and Destination Optimization Solution

ROCKVILLE, Md.--Manugistics MANU, the leading global provider of supply chain management and pricing and revenue optimization (PRO) solutions, today announced that Great North Eastern Railway (GNER) - a subsidiary of the Sea Containers Group - has selected Manugistics' leading PRO solutions to help improve seat availability and optimize fare allocation.

GNER operates the UK's fastest railway, linking England and Scotland with one of the country's most heavily traveled passenger rail networks. In 2001 GNER carried more than 14 million passengers to stations between London and Scotland. Forecasting the right quantity and types of seats for each train run is an imperative for GNER both to help ensure high levels of customer satisfaction and help achieve revenue targets.

When GNER won the franchise to operate what was formerly Inter City East Coast in 1996, the management team set out to implement major improvements to the business, investing in new train interiors, new station facilities, bigger parking lots, and better staff training. GNER also introduced automatic ticketing, an expansion of telesales and Internet ticket sales. The company is now focused on leveraging information technology to help further improve customer satisfaction with a market-leading approach to optimizing seat availability. The Manugistics solution, which will be utilized by GNER's Commercial teams based in its London King's Cross and York offices, will provide the company with a more accurate and detailed view of demand and enable GNER to optimize the seat allocation available to travelers in all classes of accommodation.

"We recognized that we would benefit from a solution that could help us forecast passenger demand by individual fare category for every train departure for every day of the year," said Andrew Markham, Commercial Manager for GNER. "We selected Manugistics based on the company's well proven solutions and expertise, which have been delivering benefits in the airline industry for many years. Manugistics clearly demonstrated a real understanding of our unique business issues, and offers a packaged solution which has been extensively tried and tested. We are excited about being the world's first passenger rail company to implement an origin and destination optimization solution."

"We are delighted to add GNER to our global customer base of innovative organizations, and are especially pleased to have the opportunity to work together to roll-out a groundbreaking passenger rail origin and destination seat optimization solution," said Terry Austin, president of European Operation for Manugistics. "Manugistics has deep domain experience in offering differentiated PRO solutions across multiple industries, along with a proven track record of delivering quick return on investment. GNER joins a growing number of market-leaders that have turned to Manugistics PRO solutions to build and sustain a critical competitive advantage."

About GNER

GNER operates fast and frequent services on the East Coast Main Line between London Kings Cross, the East Midlands, Yorkshire, the North East of England and Scotland - a route network of 920 miles. Employing 3,100 staff, the company has an award-winning reputation for customer service and has consistently scored the highest passenger satisfaction ratings of any UK long-distance train operator, according to independent surveys.

About Manugistics Group

Manugistics leads the industry in delivering innovative pricing and supply chain software solutions. Today, more than 1200 clients trust Manugistics to help them reduce costs, increase revenues and enhance margins. The company provides comprehensive solutions for pricing and revenue optimization, supply chain management, service and parts management, and supplier relationship management. Manugistics has offices in Australia, Belgium, Brazil, Canada, France, Germany, Hong Kong, Italy, Japan, Mexico, The Netherlands, Singapore, Spain, Sweden, Taiwan, the United Kingdom and United States. Its clients include industry leaders such as 3Com, AT&T, , BMW, Boeing, Brown & Williamson, Caterpillar, Cisco Systems, Circuit City, Coca-Cola Bottling, Continental Airlines, DaimlerChrysler, Diageo, DuPont, Fairchild Semiconductor, Ford Motor Company, General Electric, Harley-Davidson, Kraft, Nestle, RadioShack and Unilever. For more information, go to www.manugistics.com.

FORWARD LOOKING STATEMENT
This announcement contains forward-looking statements that involve risks and uncertainties that include, among others, continuing economic and political uncertainty, the timing and degree of business recovery, anticipated losses, unpredictability of future revenues, potential fluctuations in quarterly operating results, unexpected competition, risks related to quarterly performance, risks of new business areas, international expansion, business combinations and strategic alliances, lengthening of sales cycles for software products and services, and the effectiveness of the cost reduction efforts undertaken by Manugistics and their impact on the company's ability to operate its business. A decreased demand for enterprise application software due to weakened economic conditions could result in decreased revenues or lower revenue growth rates. More information about factors that potentially could affect Manugistics' financial results is included in Manugistics filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended February 28, 2002 and Quarterly Report on Form 10-Q for the quarter ended August 31, 2002. Manugistics assumes no obligation to update the forward-looking information contained in this announcement.

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