1. BDM slide deck The following slides are intended to be for a more business focused audience (Account Mgr., Corporate Account Mgr. etc.)

2. Claus Loos – Covast Corporation EDI and AS2 Solutions for 2004

3. Why Do You Need EDI? B2B/EDI B2C B2B/EDI A2A Suppliers and Outsourcers Consumers Customers and E-Trading Communities Intra-enterprise A2A integration within an enterprise may involve applications running on the same computer, on disparate computers within the same data centre, or on computers distributed across a campus or world-wide network B2B relationships may involved application systems running in different enterprises, or conducted directly by an end user (B2C)

4. Recent industry statistics show EDI’s importance is not diminishing as expected a few years ago. Used by 99% of the Global 1000 companies More than 30 years and $100 billion invested Core to business processes (i.e., P.O.s,funds transfer) EDI will continue to account for the majority of B2B transactions EDI revenues for software and services will grow from $1.8 billion in 2001 to $2.1 billion by 2006 Even with the maturation of of XML-based standards, EDI will continue grow EDI = Important B2B Legacy

5. Where EDI is used today and tomorrow

6. Why BizTalk Server + Covast EDI? Combines existing and future B2B One platform for A2A and B2B Takes away high Mainframe and VAN costs Integrates EDI with the new open standards Integrated AS2 Solution Based on Microsoft technology in general and the fastest growing Integration Broker in particular

7. Covast Partner Status Covast is the Microsoft recommended EDI Solution for BizTalk Server The Covast EDI Accelerator for BizTalk Server 2004 is the 3 rd generation of its kind The EDI Accelerator is also available for BizTalk Server 2000 and 2002

8. Where does EDI fit in BizTalk Server?

9. BizTalk Server and Covast XML/EDI integration - on any platform BizTalk Server Standard Edition bCentral Service or Microsoft Office Non-BTS Server: Windows, UNIX, AS400, Mainframe… BizTalk Server Enterprise Edition Financial Application Distribution Application Application Warehousing System HTTP/FTP XML/web services Basic EDI functionality VAN connectivity Batching, validation All EDI standards And versions Functional acknowledgements All mappings for XML and EDI Are maintained within BizTalk One unified view for All XML and EDI messages AS2, connectivity-send secure XML + EDI messages over the internet

10. What ships “out of the box” within BizTalk 2004 – What Can It Do? BizTalk Native EDI will suffice when: –You only use a limited number of standard X12 or EDIFACT messages –Don’t need batching –You don’t need VAN or other EDI specific communications

11. BizTalk “out of the box versus Covast EDI Accelerator summary FeatureBTS 2004 EDI out of the boxCovast EDI Accelerator ANSI X 12 versions and transaction sets Specific versions and documents supported: 2040: 810, 832, 846, 850, 855, 856, 861, 864, 867, 997 3010: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 997 3060: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 940, 944, 997 4010: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 940, 944, 997 ALL versions and transaction set of ANSI X 12 (as well as subsets such as VICS, UCS, WINS) UN/EDIFACT versions and messages Specific versions and documents supported: D93A: DESADV, INVOIC, INRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D95A: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D95B: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D97B: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT D98A: APREAK, CONTRL, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT D98B: APREAK, CONTRL, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT ALL version and messages of UN/EDIFACT + standards used with Europe such as EANCOM, TRADACOM, ODETTE, VDA, GENCOD Functional Acknowledgments Not supported Batching Not supported VAN – Communication support Not supported Validation Very limited validationExtensive validation according to the standard

12. Competition in the EDI Marketplace Large, Legacy EDI providers - Sterling Commerce - GXS (Global Exchange Services)… formerly GEIS - Harbinger/Inovis - Mercator Moving to new revenue sources - Less focus on the VAN (from a revenue perspective) - offer countless adapters, bolt-ons; EAI products - support for AS2 and internet protocols - enhanced mapping/config tools Selling against the competition - platform decision (.NET), BTS - flexibility, use of internet-based protocols (support for all VANS) - completes notion of B2B (inside to outside the enterprise) - TCO, ROI

13. The EDI Landscape

14. Provides opportunities to sell more BTS Licenses - additional procs - upgrade from standard to enterprise Helps build opportunities for MS GTM for integration - e.g. when EDI is key to customer - advantage when addressing EAI competitors (WebMethods, TIBCO, etc.) Promotes BizTalk as a platform decision (.NET) - current BTS customers that require EDI - potential new customers moving towards BTS (.NET) as their integration platform Expands relationship with the customer - provides greater business value, ROI How Covast can help to drive more BizTalk revenue?

15. Qualifying Questions – Identifying Opportunities 1) Are you currently doing EDI with your trading partners? 2) Why change your existing EDI infrastructure? (critical business issues/compelling event) Common responses: - cost/savings - contract will soon expire - technical/feature issues w/ current provide - batching/distribution issues - demand of customer/trading partner - timeline/deadlines for new IT initiatives - single platform play (EAI driven) 3)Do you handle your EDI internally or outsource to a third party?

16. Qualifying Questions – Identifying Opportunities 4)Which software/service do you use to conduct EDI? How long have you used this service? (some large companies may use MORE than one provider) 5)Do you use a VAN to send your EDI docs? (note name of VAN) 6)Do you currently send any EDI messages via internet based protocols? 7) What types of documents are you exchanging with you business partners? 810 (Invoice)….850 (Purchase order)… 856 (Advanced Ship Notice)….997 (Functional Acknowledgement) 8)What is your estimated monthly volume of EDI? (# of transactions, VAN fees, etc.) 9)What is your timeline for implementing a new EDI infrastructure? 10) CALL COVAST!

17. Joint customer successes across verticals Manufacturing Retail Aerospace Logistics Energy

18. About Flextronics: Business Challenge: The solution: Results: is a vast, global provider of electronics-manufacturing services for a long list of end users, including Ericsson and Xerox, Microsoft (Xbox) a materially significant portion of Flextronics’ purchase-order activity is done by fax and e-mail, throwing a gigantic crimp into the efficiency drive by a company whose marketplace has become hypercompetitive. Flextronics counts on BizTalk Server to enable it to communicate seamlessly with suppliers and customers who use Electronic Data Interchange, via Covast’s EDI Accelerator for BizTalk. …30 percent to 40 percent reduction in the amount of time that it takes to establish connectivity with a typical supplier. "If at 8 a.m., I receive 1,000 orders, it used to be that by the time I had those keyed in manually, by keyboard operators, it would be the end of the day," Simpson says. "Now, I've got them shipped within hours." James Simpson, senior director of IT for Flextronics case study

19. OSRAM SYLVANIA is the world’s second largest lamp manufacturer About Osram Sylvania: It was important for OSRAM SYLVANIA to base new integration projects on Extensible Markup Language (XML), while preserving its existing trading communities and business processes, which are based on EDI. Business Challenge: “The combination of Covast’s EDI Accelerator with Microsoft BizTalk Server enables OSRAM SYLVANIA to properly manage the co-existence of EDI and proprietary file formats with new, open standards such as XML. Our seven-year-old legacy EDI system could not do that; the challenge required both BizTalk Server and the EDI Accelerator.” said Michael Cipoletti, SAP EDI/XML Technology Manager The solution: This initiative will greatly reduce costs – chiefly by reducing the need for value-added network (VAN) connections which now constitute about $25,000 per month. Results:

20. Pre-Qualification questions 1. Do you currently have/use BizTalk Server? If no, go to question no. 2 If yes, Do you currently use EDI 2. Are you currently evaluating/considering BTS? If yes, from which perspective are you going to use it? - Do you want to have ONE platform which provides XML and EDI functionality? - Do you want to replace your existing EDI system, such as Sterling Commerce(product name is GENTRAN), Mercator, Innovis (ex Harbinger) and have limited need for XML Business qualifications: Why must they change (CBI's)? What is their Budget? What is their Project timeframe? Who is the competition? Who/Name of the decision maker; Title?

21. Technical qualification questions EDI Software: (Sterling Commerce, Harbinger now Inovis) Document Types (EDI + other formats): EDI Standards (X12, others?) EDI Versions (ANSI X 12 versions such as 3060, 4010, 4020) EDI Document types (850 PO, 810 = invoice) Use Functional Ack's (997)? Number of Trading Partners: VAN Provider(s) now/future: (such as Sterling, ICC, Kleinschmidt) Document Volume/ day/wk/mo Plans to replace VAN through AS2? Top 3 technical care-abouts batching, hi-avail., BTS intergration vans supt, EDI specs, doc track/trace

22. Typical Sales Cycle Initial interest / qualification Understanding of total MSFT / Covast solution (White paper review, product video, case studies) Placeware business review and technical demo Scope proof-of-concept (if needed) Establish business agreements Initiate POC Benchmark results Roll-out

23. Pricing/Support EDI Accelerator is priced the same as the other Microsoft Accelerators –Enterprise Covast EDI Accelerator - $20,000/CPU –Standard Covast EDI Accelerator - $4,000/CPU EDI Accelerator has similar support and upgrade policies/procedures

24. Additional resources Link to our MSFT section on our website where they could get sales readiness materials such as: –Covast battle card –Competitive positioning against (Sterling, Mercator) –White papers –Next Covast training –Case studies

25. Covast resources – got EDI  call COVAST Covast-MSFT video + product demo http://www.microsoft.com/biztalk/partners/featured/covast.asp The Covast –Microsoft relationship http://www.covast.com/news/press.php?id=48 Covast Sales contact: Jeff Sevel, Account Executive - West Phone: 425-646-7344 Jeff.Sevel@covast.com Roy Carnes, Account Executive –East Phone: 214-712-7352 Roy.Carnes@covast.com Microsoft/Covast relationship: Claus Loos, Director BizDev Phone: 425-785-4462 Claus.Loos@covast.com

26. TDM slide deck The following slides are intended to be for a more technical audience (Solutions Sales Specialist, MCS etc.)

27. Claus Loos – Covast Corporation EDI and AS2 Solutions for 2004

28. Where does EDI fit in BizTalk Server?

29. Architecture

30. Stack Chart of EDI Functionality What is needed to “do” EDI? –EDI Auditing, managing & monitoring –End-to-End acknowledgements –EDI formats and document types support –Control numbering –Syntactic and Semantic validation –Batching facilities –Communication Protocols Auditing Acknowledgements Formats and Types Control Numbering Validation Batching Communication

31. Native EDI – What Can It Do? Auditing Acknowledgements Formats and Types Control Numbering Validation Batching Communication Auditing Acknowledgements Formats and Types Control Numbering Validation Batching Communication Native EDIEDI Accelerator

32. Native EDI – What Can It Do? BizTalk Native EDI will suffice when: –You only use a limited number of standard X12 or EDIFACT messages –Don’t need batching –You don’t need VAN or other EDI specific communications

33. BizTalk “out of the box versus Covast EDI Accelerator summary FeatureBTS 2004 EDI out of the boxCovast EDI Accelerator ANSI X 12 versions and transaction sets Specific versions and documents supported: 2040: 810, 832, 846, 850, 855, 856, 861, 864, 867, 997 3010: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 997 3060: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 940, 944, 997 4010: 810, 832, 846, 850, 852, 855, 856, 861, 864, 867, 940, 944, 997 ALL versions and transaction set of ANSI X 12 (as well as subsets such as VICS, UCS, WINS) UN/EDIFACT versions and messages Specific versions and documents supported: D93A: DESADV, INVOIC, INRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D95A: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D95B: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, SLSRPT D97B: APERAK, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT D98A: APREAK, CONTRL, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT D98B: APREAK, CONTRL, DESADV, INVOIC, INVRPT, ORDERS, ORDRSP, PARTIN, PAYEXT, PRICAT, PRODAT, RECADV, SLSRPT ALL version and messages of UN/EDIFACT + standards used with Europe such as EANCOM, TRADACOM, ODETTE, VDA, GENCOD Functional Acknowledgments Not supported BatchingNot supported VAN – Communication support Not supported Validation Very limited validationExtensive validation according to the standard

34. EDI Accelerator - Communication Value Added Networks –Atlas400, BusinessMail –GXS EDI*Express –IBM Information Exchange –ICC.Net –Inovis –Kleinschmidt –SITA –Sterling Commerce –GXS Tradanet –Transettlements –Uniplus 400 Net –Worldcom EDI*Net Peer-to-Peer –AS2 –OFTP –FTP –POP3/SMTP –MSMQ –IBM MQSeries –HTTP –HTTP/s

35. EDI Accelerator - Batching EDI Interchanges consist of multiple documents or even document types to be sent to one recipient –Cut communication costs –Group logical batches of documents Batching can be configured on the Send Port level from within the BizTalk Explorer It can also be influenced from within a BizTalk Mapping

36. EDI Accelerator - Validation All EDI Interchanges and Messages are validated agains the specification stored in the EDI Repository. The following is validated: –Syntax –Mandatory elements and composites –Segment repetition –Separators –Maximum and Minimum lengths –Types –Code sets –Semantics (inter-segment and element relationships)

37. EDI Accelerator - Validation

38. EDI Accelerator – Control Numbers Each EDI transaction is treated as a unique business document exchanged with a Trading Partner This means that the transactions need unique identifiers Control numbers can be generated per type of message and/or per Trading Partner They can also be Transactional – meaning that no gaps will occur in the numbers and therefore the remote party can check if ALL transactions have been received Inbound duplicates are NOT allowed

39. EDI Accelerator – Formats and Types Supported formats: –X12 (U.S.) –VICS (U.S. General Merchandise Retail) –WINS (U.S. Warehousing) –UCS (U.S. Grocery Retail) –EDIFACT (Worldwide) –EANCOM (European Retail) –Tradacoms (U.K.) –VDA (German Automotive) –Odette (Automotive) –Cargo-IMP (Airfreight) –Gencod (France) –Name/Value pairs –Proprietary –Other (User Configurable)

40. EDI Accelerator - Acknowledgements Full End-to-End handling of Functional and Technical Acknowledgments –X12 997 (Functional) and TA1 (Technical) –EDIFACT CONTRL (Functional) Interchange, Group and Document level acknowledgements Time-out handling Full reporting via Health and Activity Tracking (HAT)

41. EDI Accelerator - Auditing All EDI documents passing through the EDI Accelerator are recorded in the database (metadata) and on disk (the EDI files themselves) Timestamps for Receive, Translate and Hand-off to BizTalk MessageBox on the inbound Timestamps for Receive, Translate and transmission to the EDI Partner on the outbound Archive & Delete scheduler – prepare for storage on Tape or CD for legal purposes

42. EDI Accelerator - Auditing