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Cap Gemini Ernst & Young and Descartes Form Global Alliance To Provide Leading B2B Internet Fulfillment Solutions To Multiple

11 December 2000

The Descartes Systems Group Inc. (NASDAQ:DSGX), (TSE:DSG), a leading provider of global Internet logistics solutions and Cap Gemini Ernst & Young, (Paris:12533.PA), one of the largest management and IT consulting firms in the world, announced today a global alliance to provide leading B2B Internet fulfillment solutions to multiple industries, including high tech, telecommunications, consumer packaged goods, retail and automotive. Under the agreement, Descartes and

Cap Gemini Ernst & Young will engage in joint marketing, sales and operations activities to further accelerate the growth of Descartes’ Global Logistics Network and strengthen Cap Gemini Ernst & Young’s global presence.

Companies will use Descartes’ DeliveryNet technology and Cap Gemini Ernst & Young’s consulting services to build a high performance fulfillment network. The DeliveryNet solution will enable companies to rapidly connect its trading partners to one network, providing end-to-end visibility and an accelerated flow of goods throughout its logistics network. Cap Gemini Ernst & Young’s will provide companies with systems integration, implementation, project management, and training for the Descartes technology.

“The Descartes-Cap Gemini Ernst & Young global alliance is about helping our customers achieve time-to-market advantages and supporting the accelerating growth of Descartes’ Global Logistics Network to the benefit of all participants,” said Aivars Lode, Group President at Descartes. “Our decision to partner with Cap Gemini Ernst & Young is based on our confidence in their people - their expertise in multiple industries and geographies, their strength in account management for networked systems, and their ability to rapidly and readily respond to the needs of our customers with a complete understanding of our solutions. We look forward to many successes with Cap Gemini Ernst & Young and our joint customers.”

“We have designated Descartes as a Strategic Global Alliance Partner of Cap Gemini Ernst & Young because they are the global leader in Internet logistics,” said Phil Robers, Global Supply Chain Leader at Cap Gemini Ernst & Young. “Descartes has enabled organizations in multiple industries to undergo rapid transformations to the Internet. Descartes’ Global Logistics Network is now undergoing accelerated growth, with rapid adoption by companies around the world. Our alliance will leverage the core capabilities of each organization to benefit the global logistics community.”

The global alliance announced today between Descartes and Cap Gemini Ernst & Young replaces earlier agreements between Descartes, Cap Gemini, and Ernst & Young that were announced prior to the acquisition of Ernst & Young’s Consulting Services by Cap Gemini. This latest agreement is more global and comprehensive in scope than earlier agreements, establishing Descartes as a Premier Global Partner of Cap Gemini Ernst & Young.

About Cap Gemini Ernst & Young

Cap Gemini Ernst & Young is one of the largest management and IT consulting firms in the world. The company offers management and IT consulting services, systems integration, and technology development, design and outsourcing capabilities on a global scale to help traditional businesses and “dot companies” continue to implement growth strategies and leverage technology in the new economy. The organization employs more than 58,000 people worldwide and reports global revenues of about 7.7 billion euros (1999 pro forma). More information about individual service lines, offices and research is available at www.capgemini.com

About Descartes

Descartes is a leading provider of end-to-end logistics solutions that facilitate B2B e-commerce. Descartes’ e-fulfillment software and exchange solutions enable companies to create high-speed, high-performance fulfillment networks called DeliveryNets. DeliveryNet solutions empower organizations to deliver reliable, responsive customer service in a profitable manner and to create innovative new products and services.

DeliveryNet solutions leverage the Internet-based Global Logistics Network, an open, worldwide network of shippers, receivers, carriers, logistics service providers, e-marketplaces, vertical portals, and transportation exchanges. The result is a global e-fulfillment information infrastructure that provides cost savings and revenue opportunities for businesses that need to manage physical product movement.

Descartes products are licensed today by more than 850 companies in 35 vertical industries in over 50 countries worldwide. For more information about Descartes, visit www.descartes.com.

All registered and unregistered trademarks mentioned in this release are the property of their respective owners.

This release contains statements that may relate to expected revenue from and transaction volume of Descartes customers, performance of Descartes’ DeliveryNet solutions, market dynamics and other matters that may constitute forward-looking statements that involve risks and uncertainties. The Company’s actual results may differ from the results discussed in the forward-looking statements as a result of factors discussed in the section entitled, “Risk Factors” in documents filed with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada.