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EXHIBIT 99.1
FOR IMMEDIATE RELEASE
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GATEWAY FORMS STRATEGIC ALLIANCE WITH PURCHASEPRO TO CREATE GLOBAL E-COMMERCE
MARKETPLACES FOR SMALL- AND MEDIUM-SIZED BUSINESSES
New business-to-business eMarketplaces enhance Gateway's
beyond-the-box services for business clients
SAN DIEGO and LAS VEGAS (October 2, 2000) - Strengthening its leadership in the
small- and medium-sized business market, Gateway, Inc. (NYSE: GTW), a Fortune
250 computer solutions provider, today announced a strategic alliance with
PurchasePro (Nasdaq: PPRO), a leading enabler of business-to-business e-commerce
for companies of all sizes, that will allow small- and medium-sized businesses
to leverage the Internet to improve business efficiencies.
PurchasePro is a key partner in Gateway's strategic initiative to provide its
small- and medium-sized business clients with a range of beyond-the-box
solutions that empower them to achieve their business objectives through the use
of leading edge services and technologies. Together, the companies will develop
three global marketplaces that allow clients to conveniently buy and sell
products and services online. In addition, the companies will launch a worldwide
customer trading initiative, which will include an education program for small-
and medium-sized business members on the use of electronic marketplaces.
"The Internet can be a great equalizer for small- and medium-sized companies,"
said Todd Bradley, executive vice president of global operations for Gateway.
"Gateway's knowledge of the small- and medium-sized business market and our
unique business model puts us in a leading position to help companies realize
the enormous potential of the Internet. Partnering with PurchasePro provides our
business customers with a best-in-class solution that can positively affect
their business."
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By teaming with PurchasePro, Gateway will provide business clients instant
access to 30,000 businesses, enabling them to enjoy the purchasing clout and
selling reach typical of large companies. In addition, Gateway's e-commerce
training program will help business clients recognize the possibilities the
Internet can bring to their businesses.
PurchasePro will power Gateway marketplaces for Gateway's small- and medium-
sized clients in the United States, Europe, Middle East, Africa and Asia Pacific
regions. Gateway clients will be linked to such industry leaders as AOL, Sprint,
Hilton and others through PurchasePro's active marketplace-to-marketplace (m2m)
connectivity. The first Gateway eMarketplace is operational and will be
officially launched by mid-November, allowing Gateway clients to interact with
PurchasePro's 30,000 businesses and 200 private-labeled marketplaces to quickly
and efficiently sell their products online.
"As we continue to partner with industry leaders such as Gateway, it becomes
clear that our business model, revenue model, and e-commerce model empowers
businesses of all sizes to profit from e-commerce," said Charles E. Johnson Jr.,
chairman and chief executive officer of PurchasePro. "By partnering with
PurchasePro, Gateway is leveling the playing field, providing their small- and
medium-sized business clients access to global electronic marketplaces."
PurchasePro will work with Gateway's training professionals to create localized
educational opportunities and programs that will help marketplace members
maximize their e-commerce growth worldwide including those on the PurchasePro
exchange. Training programs will be conducted through the Business Solution
Centers in Gateway's Country Store locations by an experienced staff of
corporate e-commerce trainers. Additionally, Gateway will offer access to Web-
and computer-based training for those not close to a Gateway Country store.
"Upon full deployment of our global training program, PurchasePro and Gateway
expect to train more than 1,400 businesses per week, resulting in more than
70,000 companies per year," said Dale Boeth, senior vice president of channel
development for PurchasePro. "Educating our end users about the use of e-
commerce solutions, allows us
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to differentiate our company and its products from others in the business-to-
business e-commerce industry."
In addition, Gateway clients will be able to access the global marketplace
through an icon that will be featured on Gateway PCs designed for small- and
medium-sized business. Through an embedded demo located on their computer, end
users can instantly become members of the Gateway branded marketplace powered by
PurchasePro.
Gateway is also a preferred supplier of computing systems and peripherals on the
PurchasePro global exchange. This designation allows Gateway to enhance sales
efforts and open up its sales channel, connecting businesses in an effort to
increase sales and profitability.
About PurchasePro
PurchasePro (Nasdaq: PPRO) is a leading enabler of business-to-business e-
commerce for businesses of all sizes, powering approximately 200 private-labeled
marketplaces and encompassing more than 30,000 businesses.
With the fastest e-marketplace products in the industry, such as e-Procurement,
v-Distributor, and e-MarketMaker, the company makes private labeled marketplaces
operational in 45 days or less. PurchasePro's highly scalable, browser-based
solutions enable businesses of any size to easily buy and sell products and
services across marketplaces through the company's active marketplace-to-
marketplace (m2m) connectivity.
With the industry's only complete buyside/sellside solution, PurchasePro adds an
effective new sales channel to any company, in addition to streamlining online
procurement efforts. Strategic alliances with industry leaders such as America
Online, Sprint Corp., Hilton, and Office Depot, Inc. are instrumental to
building the company's customer base of large, midsized, and small businesses.
For information, visit www.PurchasePro.com
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About Gateway
Gateway (NYSE:GTW), a Fortune 250 company founded in 1985, focuses on building
lifelong relationships with consumers and businesses through complete technology
personalization. Gateway ranked number one in U.S. consumer PC revenue in 1999
and was rated among the top ten best corporate reputations in America according
to a survey conducted in August of 1999 by Harris Interactive and the Reputation
Institute and published in The Wall Street Journal.
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Gateway employees worldwide provide clients with services and built-to-order
computers that consistently win top awards from leading industry publications.
Gateway had total global revenue of $8.65 billion in 1999 and shipped 4.68
million systems. For more information, visit its Web site at www.gateway.com
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NOTE TO EDITORS: PurchasePro.com is a servicemark of PurchasePro.com, Inc. All
other trademarks or registered trademarks are the property of their respective
owners.
This press release includes forward-looking statements which are subject to the
"Safe Harbor" created by Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended. These
forward-looking statements (which involve the company's plans, beliefs and
goals, refer to estimates or use similar terms) involve certain risks and
uncertainties, including the risks and uncertainties associated with rapidly
changing technologies such as the Internet and wireless communication, the risks
of technology development and the risks of competition that can cause actual
results to differ materially from those in the forward looking statements. The
company undertakes no obligation to revise or publicly release the results of
any revision to these forward-looking statements. For more information about
these risks and uncertainties, see the SEC filings of PurchasePro.com, Inc.,
including the section entitled "Factors That May Affect Results" in its 10-K
filing for the period ended December 31, 1999 and its 10-Q for the quarter ended
June30, 2000, which is available from the company on request and on the Internet
at the SEC's Website, www.sec.gov.
MEDIA CONTACTS: INVESTOR CONTACT:
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PurchasePro.com PurchasePro.com
Matthew Brimhall Keith Jensen
(702) 316-7000 (702) 316-7000
[email protected] [email protected]
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Shandwick International
Amy Agnew, Shana Frahm
(310) 785-9002
[email protected], [email protected]
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Gateway
Ruth Rosene
(949) 609-4498
[email protected]
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