H. J. Heinz Company today announced that it is joining 48 other consumer packaged goods companies as an equity participant in Transora, a revolutionary business-to-business e-commerce enterprise launched today.

Transora is the first and largest e-market initiative by food, beverage and consumer product goods (CPG) manufacturers, representing more than $500 billion in annual sales or close to 40 percent of the $1.3 trillion global consumer product industry. It is a global, independent "dot-com" enterprise funded and owned by participating CPG companies and certain key partners. As a part owner of Transora, Heinz will participate in a new open, standards-based e-market for the CPG industry, similar to the e-market formed by leading automobile manufacturers.

"Heinz is proud to participate in the formation of this transformative electronic marketplace," said William R. Johnson, president and chief executive officer of the H. J. Heinz Company. "Transora will deliver breakthrough value to our company and other participants by establishing consistent industry-wide e-commerce solutions and standards for a broad range of transactions among customers and suppliers."

Mr. Johnson explained that Transora will construct a global business-to-business e-marketplace that will generate significant efficiencies in purchasing as well as reduced cost for implementation and ongoing operation of e-commerce activities. "Instead of having to develop different standards and platforms for every supplier, Heinz will be able to conduct e-commerce activities through a single exchange," he noted.

Generating Significant Benefits

Heinz was one of the first CPG companies to sign up for the development of an industry-wide e-market, which was first announced in March. Short-term benefits for the company include opportunities in purchasing, as Transora brings multiple buyers and sellers into a virtual marketplace to support catalog purchasing, bidding and price quotes, on-line sourcing and auctions for raw materials, packaging supplies and other goods and services critical to their operations.

Long-term, Heinz expects to be able to streamline its entire supply chain through participation in Transora. The exchange could eventually encompass supply-chain processes such as flow management, order fulfillment, payment and logistics.

Heinz's CEO stated: "The Internet is transforming the way we do business, and Transora enables Heinz and the other participants to leverage the power of new technology to offer our customers improved service, greater efficiency and reduced cost. It is a perfect example of the so-called `old economy' using the `new economy' to generate greater value for customers, consumers and shareholders."

Full details on the Transora announcement are available in a release issued by Transora at noon today.

Heinz Announces Appointments in Information Technology and E-Commerce

As part of its strategic development of information technology and e-commerce capabilities, Heinz also announced two new management appointments. Heinz North America has named Marc Brown Vice President - Information Technology, with responsibility for all information systems within the Heinz Frozen Food and Heinz North America Dry companies. Mr. Brown joined Heinz U.S.A. in 1996 as General Manager - Information Systems, and moved to Heinz Frozen Food in the same capacity in 1999.

At Heinz World Headquarters, the H.J. Heinz Company promoted Mike Garfield to the position of General Manager - E-Commerce, with responsibility for defining and creating the operational and strategic framework for all Heinz e-commerce initiatives. He will focus on developing technological infrastructure and global standards to enable the success of Heinz's e-commerce efforts and be a catalyst for new capabilities and platforms for all aspects of the company's business.

Mr. Garfield joined Heinz six years ago in Europe, managing development projects across the region, followed by a role in the company's restructuring project, consolidating the European Information Services groups in support of the category business model. Since July 1999, he has been managing the Heinz North America Information Services function, including the Year 2000 Project and, most recently, the merger of Star-Kist Foods, Inc., and Heinz Pet Products into the Pittsburgh systems.