Promodes Expands Use of the QCS.net Service to Perform

Pre-Order Sourcing Activities Via the Internet With SuppliersWorldwide Mountain View, Calif. (PROTEXT) - QCS.net Corporation (OTCBulletin Board: QCSC) announced today that based on the highacceptance rate by its suppliers, Promodes has adapted theQCS.net service as their standard to perform pre-order sourcingactivities via the Internet with their suppliers worldwide. Promodes is one of Europe's leading international retailerswith 1998 total sales -- trade volume of $36 billion andconsolidated net sales of $21 billion. Promodes operates avariety of retail formats including hypermarkets, supermarkets,discount stores, convenience stores and wholesale operations in11 countries. Promodes' best know retail format is Continent, aleading operator of hypermarkets in France and Spain. Promodes'central buying company, Paris-based CIM, is responsible for thecentralized sourcing of products for each of the operatingcountries. CIM's use of QCS.net to conduct pre-order sourcingactivities with their suppliers worldwide is the first phase ofPromodes' plans to connect all of the operating countries to theQCS.net service. CIM began a pilot of QCS.net with a limitednumber of suppliers in August 1998. Based on the pilot's successin shortening the buying cycle, Promodes decided to rollout theQCS.net service to its CIM suppliers beginning in February 1999.Since February, over 70 percent of the suppliers have eitherregistered or committed to register to the service. Paul Mir, General Manager of CIM said, "We are very pleased atthe high percentage of suppliers who have registered for theQCS.net service in such a short period of time. One reason wechose QCS.net is that it provides us with a cost-effectiveExtranet capable of connecting us with all our suppliers and tointerface our sourcing activities directly to our in-housesupplier management systems. The fact that the QCS.net service isalso easily accessible and affordable for our suppliers has beena key element to us. All our suppliers have to do is pay amonthly fee and have a PC with Internet access. Unlike EDI,there's no expensive technology investments or transaction-basedfees." To subscribe to the QCS.net service, which is marketed andsupported by IBM worldwide, suppliers pay a fixed monthly fee of$95 for unlimited transactions. With QCS.net, suppliers createand publish public and private electronic catalogs for theirbuyers, complete with digital images of their products. Promodesbuyers view online their suppliers' up-to-date catalogs, thensend for more information through standard requests forproposals. Suppliers respond with product offers, e-forms thatprompt suppliers to fill-in required buying information. Afternegotiating the offers, Promodes buyers compile the productofferings into company standard electronic catalogs that areinterfaced to in-house management systems. Corporate referencecatalogs are made available over the Internet to local buyers ineach of the operating countries, reducing considerable time andcost. Olivier Mouton, Project Manager at CIM, added, "Without thetime and expenses of communicating with suppliers worldwidethrough fax and phone, we can make better buying decisions morequickly. The QCS.net Internet-based service saves us time gettingour products to our local buyers." Sean Maloy, QCS.net President and CEO, added, "We are veryproud of the high percentage of Promodes suppliers that we haveregistered for our service. We have been able obtain this resultbecause of Promodes effectively sharing their vision with theirtrading partners worldwide. We are convinced that Promodes willnow be able to start realizing the enormous benefits of sourcingproducts using the Internet and the QCS.net solution." QCS.net Corporation (www.QCS.net) has developed an Internet-based turnkey solution for business-to-business e-Commerce thatenables retailers to organize, automate and significantly reducethe cost of their pre-order merchandise sourcing activities withtheir merchandise suppliers around the globe. All customer, helpdesk, and training services are available through regionalSolution Centers based in Cincinnati, Brussels, and Hong Kong. Any statements in this announcement about future results arepreliminary and based on partial information and assumptions, andactual results may differ. Except for historical informationpresented, the matters discussed in this announcement containforward-looking statements that involve risks and uncertainties,including the development and growth of markets targeted byQCS.net Corporation, the acceptance of Electronic CollaborativeSolutions by retailers and vendors, the continuance of IBM as abusiness partner, subsequent competition, general economicconditions in the U.S. and abroad, and other risks detailed fromtime to time in the company's public disclosure filings with theU.S. Securities and Exchange Commission (SEC). Copies of the mostrecent forms 10K and 10Q of QCS.net Corporation are availableupon request from its corporate office. ots Original TextService: QCS.net Corporation Internet: http://www.newsaktuell.deContact: Larry Selwitz, Investor Relations of QCS.netCorporation, (USA) 562-493-2770, or fax, (USA) 562-493-4510, orinvestor@QCS.net Web site: http://www.qcs.net

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