VNE News
(PR NEWSWIRE) Valu-net and Bid Freight Global Launch Online Auction for Tr
Valu-net and Bid Freight Global Launch Online Auction for Transportation
Industry
- Initial focus is $400 Billion North American trucking industry freight
market -
CANADIAN VENTURE EXCHANGE SYMBOL: VNE
TORONTO, Dec. 16 /CNW-PRN/ - Valu-net Corporation ("Valu-net") (CDNX:
VNE) and Bid Freight Global ("Bid Freight"), a member of the Applied
Innovations Group of companies, today joined forces to launch
www.bidfreight.com, a business-to-business Internet service for the North
American transportation industry. Bid Freight.com uses proprietary
technologies, including a dynamic online auction platform, to directly
negotiate transactions between shippers, carriers and consignees. Valu-net
through its investment in the Applied Innovations Group owns a 5% interest in
Bid Freight and also benefits from the business interface with Bid Freight's
clients.
"The North American truck transportation industry is a $400 billion per
year market," said Mr. Ivan X de Souza, president and CEO of Bid Freight and
recently named executive vice president of Valu-net. "Our service is a natural
progression for the entire logistics community and we believe that Bid
Freight.com is well positioned to own substantial market share in this
sector."
Bid Freight.com benefits the entire transportation value chain by
replacing the role of the traditional brokerage, allowing qualified shippers
and carriers to interact directly with each other over the Internet.
Eliminating the middleman streamlines costs and administration while enabling
both shippers and carriers to more efficiently use their resources. Unlike
existing Internet bulletin board systems, Bid Freight.com is a total logistics
management solution that includes automated shipment tendering, bidding,
negotiation, scheduling, delivery notification, secure payment processing,
interactive marketing and electronic commerce initiatives.
Valu-net is the exclusive provider of Internet development and e-commerce
services for Bid Freight and is responsible for all Internet based activities.
The company is paid for all services provided to Bid Freight.com, as well as
all e-commerce programs, transaction fees and other shared revenue services.
In addition, Valu-net and Bid Freight Global are jointly developing
advanced GPS tracking and wireless in-cab technologies to deliver the Bid
Freight.com system directly to trucks on the road. This system offers truckers
the ability to access the Internet to pick up e-mail, book shipments and
browse a closed network of online information. Transportation companies can
track loads, communicate with the drivers and deliver information through the
wireless in-cab technology units. The proprietary network also allows Valu-net
and Bid Freight.com to deploy online marketing programs to members of the
service and offer "on the road" shopping and other revenue based services.
"Bid Freight.com offers a unique niche market opportunity for Valu-net,"
commented David Lucatch, president and CEO of Valu-net. "Being first to market
with this system, and the potential opportunities of using wireless
technologies to deliver marketing and electronic commerce offerings is a key
component of Valu-net's overall product selling strategy."
Bid Freight.com uses proprietary auction technology in a "reverse"
auction format where shipping companies can use the Internet to post available
loads that carriers can directly bid upon, with the lowest price winning the
tender. In an industry where up to 30% of all trucks on the road are empty,
the system enables greater load matching and substantial cost savings for both
shippers and carriers. The savings over conventional brokerage systems can be
as high as 70%. In addition, Bid Freight.com offers real-time financial
settlement using an automated secure transaction processing and payment
system, as well as key logistic management and information services. These
features result in a more efficient system for the execution of
transportation, cost savings and payment services.
On November 4, 1999, Valu-net Corporation and Applied Innovations Group
Inc. announced the signing of agreements expanding the business relationship
between the two firms to include reciprocal equity investments, as well as
exclusive, revenue based e-commerce services to AI Group companies, including
Bid Freight Global.
The transaction between Valu-net and Applied Innovations is subject to
the approval of Valu-net shareholders and receipt of all necessary regulatory
approvals and certain conditions.
About Valu-net
Founded in 1995, Valu-net develops online marketing and electronic
commerce programs for selling products over the Internet. This expertise is
used to directly create Internet business initiatives through Valu-net's own
divisions, joint ventures, and industry partnerships. In addition, Valu-net is
able to offer merchants a complete range of business enabling services to meet
the growing demand for secure and effective electronic commerce. These
services are available to merchants directly through Valu-net or indirectly
through agreements with agencies and resellers. Valu-net's division, The
eMerge Alliance (www.emergealliance.org) offers merchants easy entry into the
electronic commerce market with a turnkey solution that is both scalable and
cost-effective. Further information is available through Valu-net's corporate
web site at www.vncorp.com.
About Applied Innovations Group Inc.
AI Group is a private company with global business operations through
offices in Canada, the United States, and Europe. The company earned in excess
of $230 million in revenues in 1999 and is engaged in the supply and
reallocation of large volumes of computer and related hardware. AI's
management brings with it fifteen years of unparalleled computer product
sourcing excellence and experience that has positioned AI Group among the top
five distributors in its market sector.
AI Group also includes two leading edge e-commerce companies, Open Portal
and Bid Freight. Open Portal's proprietary database and content management
solution benefits the entire value chain of selected industries where the
ability to publish and maintain complete online lists of products, as well as
automated catalog maintenance is essential. Bid Freight is a transportation
exchange and is in the business of transacting land, sea and airfreight
shipments using the Internet. Bid Freight's proprietary software provides a
total logistics management solution that supplies automated methods for
shipment placement, bidding, negotiation, scheduling, delivery notification
and payment settlement through a centralized, real time information network.
Applied Innovations can be reached online at www.aiicorp.com
The Canadian Venture Exchange has neither approved nor disapproved the
information herein contained.
SOURCE Valu-net Corporation
-0- 12/16/1999
/CONTACT: VALU-NET INVESTOR RELATIONS CONTACT: Jay Hussey, The Equicom
Group Inc., Phone 416-815-0700 ext. 225, Fax 416-815-0080,
jhussey@equicomgroup.com; VALU-NET MEDIA RELATIONS CONTACT: Brad Friesen,
Friesen Strategic Inc., Phone 416-921-6789, Fax 416-921-6121,
brad@friesenstrategic.com.
To request a free copy of this organization's annual report, please go to
www.newswire.ca and click on reports(at)cnw./
(VNE.) |
