TWENTY YEAR SALES VETERAN JOINS ESCALATE TO DRIVE WORLDWIDE SALES

Proven Track Record in Building and Managing over $100 Million Sales Organizations

Redwood Shores, California — February 15, 2000 — Escalate, Inc., the first E-commerce Service Provider (ESP), today announced the appointment of Robin Pederson to its executive management team. Mr. Pederson, who joins Escalate as Vice President, Worldwide Sales, has more than twenty years of business and technology experience in the areas of customer relationship management (CRM), e-business applications for finance, networking solutions, as well as global sales, marketing, services and operations. Pederson joins Escalate to continue the company's momentum as the worldwide leader in the E-commerce Service Provider (ESP) market.

"Escalate is the proven leader in online selling and outsourced e-commerce," said Pederson. "Who wouldn't want my job! I will be helping large companies be competitive and successful by building e-businesses and e-stores within weeks, instead of months."

"Since our 1999 launch we have been overwhelmed by interest from customer prospects," said Keng Lim, president and CEO of Escalate. "Robin's seasoned sales, management and operations experience will enable us to build a world class sales organization to achieve the #1 market share position. We are very fortunate to have Robin be a part of our executive team."

In his previous position as Vice President, Worldwide Sales with Information Advantage, Pederson built the company from a $4 million company to a $90 million company within three years. Pederson joined Information Advantage when its field operations had less than ten people, and helped to build the company into a worldwide organization in under three years. Prior to Information Advantage, Pederson was Senior Vice President for Great Plains Software where he helped to transform the company from a PC-based financial software company to a market leader in client-server based financial applications. Pederson also served as Vice President, Americas, with Banyan Systems, a recognized leader in delivering e-business services, where he managed all field resources in the U.S., Canada and Latin America.

Pederson holds two degrees from the University of North Dakota.

About Escalate
Escalate radically changes the economics of e-commerce. By outsourcing e-commerce to Escalate, customers reduce their time to market from nine months to six weeks and can focus financial resources on building their business, not infrastructure. As the first E-commerce Service Provider (ESP), Escalate takes a unique approach to deliver a complete outsourced e-commerce and online selling solution through its flagship e-commerce network. The Escalate Commerce Network provides the most comprehensive and integrated online selling solution, comprised of an end-to-end e-commerce management system with a vast product catalog, integrated supplier network, robust supply chain, and high-quality service provider network. Access to the Escalate Commerce Network is available to e-business customers, including large websites, retailers, e-retailers, e-marketplaces and emerging e-businesses.

Representative Escalate customers include such high profile e-businesses as Egreetings and Quokka Sports. A privately held company with over 100 employees, Escalate has raised more than $30 million in working capital from leading venture capital firms including Accel Partners, Norwest Venture Partners, and the Barksdale Group. Headquartered in Redwood Shores, California, Escalate serves Europe and Asia via offices in Paris and Tokyo. For more information visit Escalate's website at http://www.escalate.com.

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Escalate™ and Escalate to Market™ are trademarks of Escalate, Inc. Other names may be trademarks of their respective owners.

Lance Mercereau
Burson-Marsteller
415.591.4124
lance_mercereau@sfo.bm.com

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