Retail Chain IKI Replenishes with SAF Software

DJ Retail Chain IKI Replenishes with SAF Software

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- SAF systems tap significant sales and profit potentials 
- Precise knowledge of retail processes persuaded customer 
- Automated replenishment for stores and warehouses 
 
Tägerwilen/Switzerland, July 1, 2008. 
The SAF AG, which is listed in the Prime Standard of the Frankfurt Stock 
Exchange (ISIN CH0024848738), and is one of the worldwide leading suppliers of 
automated forecasting and ordering systems for retailers, has signed a license 
agreement with Retail Chain IKI, which is one of the leading grocers in the 
Baltic countries. 
 
The grocer focuses on the optimization of its profitability and the increase of 
customer´s satisfaction. Therefore it was decided to install SAF SuperStore and 
SAF SuperWarehouse to convert from manual to automated replenishment. The 
systems will optimize the replenishment process, reduce costs and increase 
profit both in the more than 220 stores and in the two warehouses in the Baltic 
countries. The SAF forecasting and ordering systems are able to forecast with 
great accuracy the future demand. In doing so, it considers seasonal influences, 
holidays, advertising promotions, school vacations and other effects which might 
influence the sales. The SAF systems produce on basis of these forecasts 
optimized orders with a high degree of automation. 
 
The grocer - which belongs to a European Alliance of Independent Trading 
Companies (Coopernic) - has ambitious growth targets. Today Retail Chain IKI 
(www.iki.eu) is the second largest retail chain in Lithuania by turnover, and 
one of the ten largest companies in the Baltic States. It has been engaged in 
commercial business for 15 years. Retail Chain IKI operates more than 220 stores 
in Lithuania and Latvia and is currently one of the largest employers in the 
Baltic countries - at present employing over 9,000 people. Retail Chain IKI is 
managing three retail chains (supermarkets, convenient and discount stores) 
which reached a turnover of LTL 1.7 billion in 2006, LTL 2.2 billion in 2007 and 
is planning to achieve a turnover of LTL 2.8 billion in 2008. Its expansion in 
the Baltic countries will be supported by SAF technology. 
 
Increasing Profit and Decreasing Costs due to High Automation, Significant 
Reduction of Out of Stocks and Less Inventory 
 
The project will start immediately with the parallel implementation of SAF´s 
core products for store and warehouse replenishment - SAF SuperStore and SAF 
SuperWarehouse. "IKI is convinced of our deep knowledge and understanding of 
retailer´s ordering processes and by the references confirming the fast ROI of 
SAF´s products" reports Dr. Andreas von Beringe, CEO of SAF. "The automation of 
the inventory replenishment represents a clear competitive advantage and helps 
to improve their margins. It significantly cuts warehouse inventory, reduces the 
out of stock rate and increases product turnover," adds von Beringe. The signed 
agreement will contribute to SAF sales from direct business in 2008 by 2010 and 
confirms the expansion of SAF´s direct business in Eastern Europe. 
 
 
 
About SAF AG 
SAF Simulation, Analysis and Forecasting AG specializes in the development of 
automated ordering and forecasting software for retailers and industrial 
manufacturers. SAF deploys the demand chain management approach, which controls 
replenishment planning based on consumer demand patterns. SAF software assists 
users to realize substantial cost savings and optimizes general logistics 
conditions through its simulation capabilities. As a result, significant 
competitive advantages are achieved along the entire value chain: lower 
inventories, improved product availability, and last, but not least, a higher 
level of customer satisfaction. 
 
SAF AG was established in 1996 by Dr. Andreas von Beringe and Prof. Dr. Gerhard 
Arminger. SAF shares are listed at the official market (Prime Standard) at the 
Frankfurt Stock Exchange (FWB). Today, the company employs approx 100 people. 
Consolidated sales revenues for fiscal year 2007, were approx. 13.2 million EUR 
with consolidated profit of 3.0 million EUR according to IFRS statements. SAF´s 
products are distributed in many European countries as well as in the United 
States. The company is headquartered in Tägerwilen, Switzerland. SAF also has a 
subsidiary in the United States: SAF Simulation, Analysis and Forecasting 
U.S.A., Inc., Grapevine, Texas and in Slovakia, Bratislava: SAF Simulation, 
Analysis and Forecasting Slovakia s.r.o. with the focus on 
Nearshore-Development. 
 
 
Forward Looking Statements and Estimates 
This information contains forward looking statements based on assumptions and 
estimates of SAF's Management Board. Although we assume the expectations in 
these forward looking statements are realistic, we cannot guarantee they will 
prove to be correct. The assumptions may harbor risks and uncertainties that may 
cause the actual figures to differ considerably from the forward looking 
statements. Factors that may cause such discrepancies include, among other 
things, risks that are mentioned in the annual report 2007. SAF does not plan to 
update the forward looking statements, nor does it assume the obligation to do 
so. 
 
 
end of announcement                               euro adhoc 
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(END) Dow Jones Newswires

July 02, 2008 05:39 ET (09:39 GMT)