EUROPE’S LEADING B2B SOFTWARE PROVIDER SETS UP AT SHANNON TO EXPAND INTO ENGLISH SPEAKING MARKETS ‘Softline puts Shannon on the Electronic Software Delivery map’ – Treacy Shannon Facility to serve as European Hub for E-Commerce and Electronic Software Delivery, Logistics and Software Production

Speaking at the official opening of the new Shannon facility, Minister Treacy said: "Softline AG, which employs 150 people at its Offenburg/Germany headquarters, was established in 1983 by the Blumenschein twins. The company has grown to become the largest marketer of professional B2B software for German and French speaking territories. Earlier this year, Softline successfully had its IPO (Initial Public Offering) on Frankfurt’s Neuer Markt, Europe’s leading technology exchange, and is now spearheading its aggressive expansion into English speaking markets from its new Shannon location. Activities in Shannon include E-Commerce for Software Delievey over the web (‘ESD Electronic Software Delievery’), software localisation and manufacturing, web programming, customer support and finance and administration.

"Selling traditionally through direct marketing by catalogue and over the Internet, Softline has, in the last two years, pioneered the electronic sale and delivery of software over the Internet in Europe. Sales via this medium are projected to account for fifty per cent (50%) of Softline’s turnover within the next three years. With the European software industry expected to grow at the rate of 10% per annum from its 1999 value of IE£42.6 billion, and with Internet usage in Europe expected to grow by an annual growth rate of 31% into the medium term, opportunities for companies such as Softline are great," the Minister added.

Minister Treacy said "The arrival of a new German software company to Shannon is a very welcome development as the sector is very important to the Shannon Region which now accounts for Ireland’s second largest concentration of software activity. The attraction of direct marketing operations to the Shannon Free Zone has been a particular target of Shannon Development, who have also been keen to avail of the opportunities presented by developments in the E-Commerce area. The arrival of Softline to the Free Zone represents a further milestone for the area to gain a foothold in both sectors."

Mr. Peer Blumenschein, CEO Softline, visiting Shannon for the official opening of the group’s new English language headquarters said: "With choosing Shannon, Softline positions itself in the Software Capital of Europe. We are able to leverage off the skilled workforce, efficient production facilities and low corporate taxes in Ireland. In particular the strong future outlook for a perfect Internet friendly environment with fast and cheap internet bandwidth, convinced us to choose Ireland. Since our business is shifting to digital delivery, the Irish Global Crossing initiative with fibre-optic connections to the US and 35 major European cities is perfectly suited for delivering software electronically via cable to worldwide customers."

Mr. Liam Mc Elligott, Chairman Shannon Development, said that "Softline exemplifies what can be achieved by entrepreneurial-minded individuals and teams with the use of cutting edge technology. With many of Ireland’s high growth, high potential indigenous companies emanating from the Shannon Region, Softline’s presence at Shannon is doubly beneficial to the area. It supports our thesis on the overall benefits of encouraging and supporting entrepreneurship and it is demonstrating that Shannon is capable of meeting the needs and attracting ‘New Generation’ activity in the high potential E-Commerce market."