Matalan is reducing queue times and improving customer service following a complete
revamp of instore technology carried out in alliance with Capgemini UK plc. A
new customised electronic point of sale (EPOS) system is providing faster checkout
times, better information to staff and greater responsiveness to change at all
186 Matalan stores nationwide.

The new instore IT is the central pillar of a multi-million pound transformation
of technology at Matalan, which also involves replacing all core systems within
finance and supply chain.

Nick Beighton, Matalan’s Chief Information Officer, said: ‘The new EPOS systems
were up and running in time for the busy Christmas and New Year trading period
and performed very well. They will give us greatly increased power to respond
quickly in today’s fast-moving retail world, and enable us to run more effective
promotions tailored to specific needs. They will also enable us to take advantage
of new developments in retail technology on a plug-in-and-go basis. Above all
they are an important step in reducing queue times and helping to enhance the
whole customer experience of shopping at Matalan.’

The 12-month EPOS project, involving some 2,600 tills at 186 stores, was completed
on-schedule by a joint Matalan and Capgemini team. Input from Matalan personnel
at all levels, including store managers, sales and customer service staff, was
an important feature of the project, as was a ‘virtual store’, constructed at
a Capgemini development centre in Birmingham to test the new system under realistic
but risk fee conditions. Capgemini provided business consultancy, project management
and technical architecture skills throughout the programme and was also responsible
for managing 3-party implementation, systems integration and go-live.

John Crampton, Capgemini’s Programme Director for the Matalan EPOS Project, said:
‘We are naturally delighted to have completed this key project in collaboration
with Matalan, who are very happy with the solution. We are looking forward to
reporting similar success with the other parts of their technology transformation.’

The new instore IT at Matalan is based on Open Systems software from Retail Java
and is believed to be the first large-scale Linux EPOS system to be deployed in
UK retail.

-ENDS-

For further information, please contact:

The Red Consultancy

Liz Hayes/Sarah Wilkinson/Emma Fanshawe

Tel: 020 7025 6573/6508/6559

Email: liz.hayes@redconsultancy.com, sarah.wilkinson@redconsultancy.com, emma.fanshawe@redconsultancy.com

About Capgemini

Capgemini, one of the world’s foremost providers of Consulting, Technology and
Outsourcing services, has a unique way of working with its clients, which it calls
the Collaborative Business Experience. Through commitment to mutual success and
the achievement of tangible value, the company helps businesses implement growth
strategies, leverage technology, and thrive through the power of collaboration.
Capgemini employs approximately 60,000 people and reported 2003 global revenues
of 5.754 billion euros.

More information about individual service lines, offices and research is available
at http://www.capgemini.com/

About Matalan

Matalan is one of the UK’s leading clothing and homewares retailers offering
quality fashion and homewares at up to half the equivalent high street price.
Matalan now trades from 5 ½ million square feet in some 186 out-of-town stores
across the UK. Shopping at Matalan offers outstanding quality at prices that are
simply unmatched elsewhere. By buying direct from the manufacturer and having
convenient out-of-town stores with low overheads, Matalan is able to offer unbeatable
value for money. Further information on Matalan is available at www.matalan.com.