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January 2006, Oracle. All rights reserved. This document and presentation (this "presentation") is provided for information purposes only, and the contents hereof are subject to change without notice, and may not be incorporated into a contract. This presentation is not warranted to be error-free, nor is it subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this presentation. References to third party content, including analysis, opinions, predictions and statements, do not necessarily constitute or imply Oracle’s endorsement of or concurrence with such content.

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Oracle and 360CommerceAcquisition AnnouncementJanuary 18, 2006

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Agenda

What We Are Announcing

Strategic Rationale

Anticipated Benefits to Retailers

Background on 360Commerce

Combined Solution and Post-transactionIntegration Plan

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What We Are AnnouncingOracle has acquired 360Commerce

• Terms undisclosed

About 360Commerce• Most proven and widely deployed open store

solutions• Over 14 years experience and 22 customers

worldwide:North America, Europe, Asia and Latin America

• Approximately 220 employees• Highly complementary solutions

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Strategic RationaleStore solutions represent the highest spend in retail as retailers seek to differentiate on the in-store experience to better compete

Fits the Oracle Retail “Best of the Best” M&A Strategy • Best people: Recognized thought leadership, domain expertise,

and vision • Best products: #1 provider of Java-based Point-of-Sale

solutions with marquee retail customer references

Solves time to market in stores & improves competitive advantage• 2-3 year speed to market over current Point-of-Sale and Back

Office build-out plans

Combination of Oracle and 360Commerce will bring together the store solutions, merchandising, supply chain and optimization solutions across the enterprise, from the back office to the store, enabling Customer-Centric Retailing

Will provide retailers with a single retail technology stack and point of integration

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Business Benefits to Retailers

Competitive advantage in the marketplace by delivering a superior customer shopping experience

Increased revenue and lower operating and service costs

Increased brand recognition and differentiated stores

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Large pent-up demand“In the next 12 months, 57% of retailers plan to replace or upgrade their POS

systems.”Retail Horizons: Forecasts for 2005

“44% of retailers are planning to purchase WFM in the next 12-18 months.”Year of the Store?, IHL Consulting, January 2005

Retailers plan to address the need“58% of retailers said store systems is the #1 focus of their strategic

investments over the next 12 months.”Retail Industry Leaders Assoc.

“Over the next two years, eight out of 10 retail IT initiatives will be focused on store systems.”

NRF 2005

“52% of retailers plan to increase IT spending in 2006.”15th Annual Retail Technology Study

Store Solutions Continue to be the Focus of Retailers

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Store Systems$ 2.4B

360CommerceCurrent SAM

Retail Market Framework* Retail Market Opportunity

Source: AMR Research and 360Commerce analysis.* Segments highlighted represent areas covered by current 360Commerce product offerings.

$31.0B

$13.0B

$7.0B

$7.5B

$3.5BWFM$ 1.1B

Product Segment Int’l TAM

Expansion Opportunities

SAM = Served Addressable MarketTAM = Total Addressable Market

Discount/Trad. Dept.# Retailers: 34SAM: $0.4B

Automotive# Retailers: 26SAM: $0.2B

Jewelry# Retailers: 15

SAM: 0

Apparel & Shoes# Retailers: 95SAM: $0.9B

Miscellaneous# Retailers: 46SAM: $0.3B

Quick Serve# Retailers: 122

SAM: $0.1B

Electronics# Retailers: 40SAM: $0.5B

Drug & HBC# Retailers: 30SAM: $0.1B

Books/Music Video# Retailers: 18

SAM: 0

Convenience# Retailers: 56

SAM: 0

Supermarket# Retailers: 77

SAM: 0

Home Furnishings# Retailers: 30SAM: $0.1B

General Mdse.# Retailers: 20SAM: $0.2B

Sporting Goods# Retailers: 15SAM: $0.1B

Housewares/Gifts# Retailers: 14SAM: $0.1B

Home Center/HW# Retailers: 42SAM: $0.5B

Total# Retailers: 680

SAM: $3.5B

Retail Software Market Opportunity

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22 customers worldwide: North America, Europe, Japan, andLatin America.Joint Oracle/360Commerce customers include Best Buy, Circuit City,Gap Inc., The Home Depot, and Stein Mart, among others.

360Commerce Customers

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Proven Next-Generation Store Solutions

360Commerce Installed Clients

2002 2003 2004 2005

75,900

82,200

36,600

11,900

360Commerce Total Stores

2002 2003 2004 2005

12,42012,625

7,188

3,609

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360Commerce Solutions

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ArchitectureEnterprise-class solution

provides retailers with benefits of best-of-breed and integration.

Reusable components reduce the cost of customization and creation of new applications.

Service-oriented, standards-based application framework reduces risks and total cost of ownership.

J2EE-based architecture enables hardware, OS and database agnostic solution.

360Platform

Commerce Services

New Retail Applications

360Commerce

Point-of-SaleBack Office

Inventory ManagementCentral Office

Returns ManagementWorkforce Management

Data Enterprise Other

Web Interface

Kiosk

Mobile

Cash Register

360Commerce Technology Architecture

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Store Solutions

Merchandise and Supply Chain

Retail Profit Optimization

Enterprise applications, middleware and database technologies

Oracle Retail Enterprise-wide Solution

Combination creates a stronger retail

enterprise solution

Powerhouse of talent focused on retailGlobal reach and resourcesValue – Vitality – Vision

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Customer Centric RetailingInsight Driven RetailingWe believe that the majority of critical retail decisions made today can be dramatically improved by the infusion of demand-insight and optimization.

Store & Multi-Channel RetailingWe believe there is a great opportunity to lower the cost of service and to dramatically improve the customer experience with next generation store & multi-channel solutions.

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Retail ValueChain

TailoredShoppingExperiences

BuyingData

CustomerInsight

Information

OptimizedProcesses

Insight and Customer-Driven Retailing

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*360Commerce

Point of Sale Systems*

Store Solutions*

Wireless Service*

ReturnsManagement *

Multi-ChannelService*

StoreOperations *

WorkforceManagement*

Oracle Retail Solution Footprint

Assortment &Space

Management

MerchandiseManagement

CampaignManagement

CustomerProfile

Management

CRM&

Marketing

DataWarehouse

ETL

Retail Infrastructure

IndirectProcurement

FinanceManagement

Corporate Operations

Corporate Administration

StoreConstruction

Projects

LeaseManagement

EnterpriseAsset

Management

Real EstateManagement

Payroll

HumanResources

Supply ChainManagement

PriceManagement

Database, Tools, Application Server, Collaboration SuiteTechnology

Benefits

Recruiting

TrainingCorporate

PerformanceManagement

Supply ChainPlanning

DirectProcurement

InventoryManagement

Distribution& Fulfillment

Manufacturing

Item Definition

MerchandisePlanning

PromotionManagement

CustomerIntelligence

EnterpriseApplicationIntegration

Portal

Workflow,Triggers,

Messaging

Oracle Retail

Note 1: Time & Labor requirements at Store Level, Associate Budget and Planning.Note 2: POS – E.g Multi-channel servicing, Customer loyalty. Coverage includes POS for apparel.Note 2: G-log acquisition fills Transportation & Logistics

Transportation& Logistics Store Ops

Time & Labor

The above is for informational purposes only and may not be incorporated into a contract.

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Post-transaction Integration PlanIntegrate 360Commerce store solutions with Oracle Retail Store Inventory Management (SIM) systems for complete supply chain and demand management.

Integrate 360Commerce store solutions clock in/out functionality into Oracle Retail Workforce Management solution.

Integrate 360Commerce Back Office employee maintenance functionality with PeopleSoft solution.

Integrate 360Commerce Central Office solution with Oracle Retail’s data warehouse and business intelligence solutions.

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