news.jpg
 
 
Guitar Center Unifies Sourcing in 90 Days with TradeStone's Rapid Implementation Process
Enterprise-Wide Software Delivered On-Time and On-Budget Strikes the Right Chord at Musical Instrument Retailer

Gloucester, Mass., June 20, 2006 — TradeStone Software, the leader in delivering domestic and international sourcing, product lifecycle management, and order management through the Unified Buying Process™, today announced that Guitar Center, Inc. (NASDAQ:GTRC), America's leading musical instrument and professional audio retailer, has fully implemented the TradeStone Suite to unify its global sourcing. With TradeStone's technology, Guitar Center's global sourcing of musical instruments, equipment, and accessories has become quicker and easier to manage.

Guitar Center selected the TradeStone Suite in January 2006 to streamline its global sourcing operations, expand their private brand offerings, and improve gross margins. Phase 1 implementation of the Suite, which includes TradeStone's Unified Buying Engine and modules for Product Development, Sourcing, and Logistics, took 90 days to complete.

The TradeStone Suite allows Guitar Center to quickly create Requests for Quote (RFQs), and put those quotes out for bid to manufacturers worldwide. By normalizing currencies, languages, lead times and automatically calculating the estimated landed costs for goods, the TradeStone Suite enables Guitar Center to easily and accurately compare offers from different manufacturers, no matter their location.

"For us, TradeStone Suite unifies a number of separate and disparate communication threads into a singular, streamlined platform. This consolidation allows manufacturers, product managers, and buyers to literally be on the same page, confirming specs, viewing and exchanging images, requesting quotes — all in real-time and in historical context," said Steven Kitay, Director, Product and Brand Management at Guitar Center. "The TradeStone Suite helps dramatically reduce the risks inherent in global sourcing. From quote to product, it's fast, easy, and, ultimately, it makes us more profitable."

Additionally, TradeStone allows Guitar Center to react quickly to market fluctuations, providing products when and where they are needed, coordinating RFQs, quality control, packing lists, as well as invoices and Customs paperwork. "Last year TradeStone made a significant investment in developing rapid implementation models for electronics, apparel, footwear, and general hardlines goods, embedding the TradeStone Suite with native intelligence, industry-specific costing and event engines, and best practice workflows. Now in 2006, our customers are benefiting with rapid, tailored implementations that go live in 90 days and deliver hard dollar savings to the bottom line," stated Sue Welch, CEO of TradeStone. "Guitar Center leveraged our rapid implementation methodology to not only save services and consulting dollars, but to also receive value and ROI more quickly. With the software in production, Guitar Center is poised to better source goods for their private brands, improve shelf fulfillment, and increase profits."

About Guitar Center
Guitar Center is the nation's leading retailer of guitars, amplifiers, percussion instruments, keyboards, live-sound/DJ and recording Equipment. They presently operate 183 Guitar Center Stores across the United States, with 135 stores in 52 primary markets, 46 stores in secondary markets, and 2 stores in tertiary markets. In addition, their Music & Arts division operates 90 retail locations specializing in band instruments for sale and rental, serving thousands of teachers, band directors, college professors and students. Guitar Center is also the largest direct response retailer of musical instruments in the U.S. through their wholly owned subsidiary, Musician's Friend, Inc., and its catalog and website, www.musiciansfriend.com. More information on Guitar Center can be found by visiting the Company's website at www.guitarcenter.com.

About TradeStone Software, Inc.
TradeStone Software enables retailers and manufacturers to plan, design, collaborate on and purchase goods from across the world as easily as from across the street. TradeStone's Unified Buying Engine uses Web services technology to layer across an organization's existing infrastructure while its modular software fills in buying process gaps to provide a single view, access and interaction across the entire procurement process. The first and only complete solution for global sourcing, product lifecycle management, and unified order management, TradeStone's intuitive "No Training" technology helps people throughout the supply chain to collaborate globally, enabling users to focus on speeding innovative products to market. Marquee customers include American Eagle Outfitters, The Children's Place, Deutsche Woolworth, Ocean State Job Lot, Pacific Alliance and Federated Department Stores. TradeStone Software is based in Gloucester, Mass. and can be found on the Web at http://www.TradeStoneSoftware.com.

Contact:

Tania Stockbridge
TradeStone Software
978-281-3723
tstockbridge This e-mail address is being protected from spam bots, you need JavaScript enabled to view it