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Camstar Systems Announces $22 Million Investment by HarbourVest, Glenmount and Dominion

CAMPBELL, Calif. — 28 November 2000 — e-Manufacturing leader will use funding to deepen penetration into the supply chain network market Camstar Systems, Inc., a leading provider of e-manufacturing software and solutions for Fortune 1000 companies, today announced a $22 million investment that will expand the company's dominance in closing the loop between supply chain networks and manufacturing execution. HarbourVest Partners, LLC, led the investment with Glenmount International and Dominion Ventures participating.

"Companies have invested heavily in information technology to streamline customer-facing business processes, but many still rely on a combination of manual, proprietary and homegrown systems to manage the increasingly complex production processes required to meet the demands of today's e-business customers," said Dave Cone, Camstar's president and CEO. "By linking customer orders to real-time production information, Camstar enables manufacturers to execute e-business strategies across global supply chain networks."

This isn't the first supply chain optimization company in which HarbourVest has invested. Manugistics (Nasdaq: MANU), MatrixOne (Nasdaq: MONE) and webPlan are all HarbourVest-funded companies.

"Camstar's e-manufacturing value proposition is tremendous," said Rob Wadsworth, a HarbourVest Partners managing director. "Camstar shares some common characteristics with other successful companies in our portfolio: a proven product, blue-chip customers with global implementations and leadership in a high-growth market."

Forrester Research projects that the market for supply network applications will rise from $3.9 billion in 2000 to $6.2 billion in 2005. Camstar's client list includes industry leaders from established and emerging segments: Agilent, Alcan Aluminum, IBM, Kodak, Lexmark, Tellabs, Unifi, and optoelectronics giants JDS Uniphase and Nortel Networks.

Following the lead of JDS Uniphase and Nortel, more than 15 optoelectronics companies have standardized on Camstar's solutions, prompting David Cahn, high-tech research director at AMR Research, to characterize Camstar as the "de facto standard" for optoelectronics. "The funding enables Camstar to leverage new opportunities for enhancing collaborative manufacturing execution -- what we call CME," Cahn said. "This new level of collaboration will reduce the time-to-volume continuum by synchronizing product life cycle management and supply network execution with real-time manufacturing execution."

Success in optoelectronics helped Camstar make The San Jose Business Journal's prestigious "Fastest-Growing 100 Private Companies in Silicon Valley" list this year for the second time.

"As a substantial software company with a prominent customer base, Camstar's ability to maintain this level of growth is a testament to its ability to deliver what others talk about," said Robert Forbes, managing director of Glenmount International. "In an era where dot com companies come and go, Camstar has demonstrated its ability to apply its proven manufacturing experience to the Web."

About Glenmount International
Glenmount International is the leading private equity fund focused specifically on technology companies within the industrial sector. Comprised of partners with extensive entrepreneurial and managerial track records in industrial technology, the fund invests in proprietary industrial product and service companies with annual revenues ranging from US$20 million to US$200 million. Glenmount seeks to capitalize on the extraordinary growth potential available from industrial automation, and the application of embedded computer and communications technologies that increase productivity through the intelligent control of machines, processes and operating equipment. More information can be found at http://www.glenmount.com/.

About Dominion Ventures
Dominion Ventures provides capital and strategic guidance to emerging growth companies with the potential to achieve excellent performance and leadership in the marketplace, and create significant shareholder value. Dominion's investment focus is high-growth information technology and Internet services enterprises. Founded in 1985, Dominion has an excellent investment track record and is sponsored by highly regarded institutions, pension funds and endowments. In the last 15 years, Dominion has invested in more than 160 companies, approximately 45 of which have gone public.

About Camstar Systems, Inc.
Camstar is the leading provider of e-manufacturing solutions for Fortune 1000 corporations. By linking customer orders to real-time production information, Camstar enables manufacturers to execute e-business strategies across global supply chain networks. Camstar's InSite solution is designed for the most demanding manufacturing environments, offering a common, flexible, Internet-based platform for managing customer orders across multiple plants and processes. Manufacturers use InSite to speed the production of customized products, and provide stakeholders throughout the supply chain with up-to-the-second information and order status. With over 15 years of proven manufacturing experience, Camstar is the choice of industry leaders such as Alcan Aluminum, IBM, JDS Uniphase, Lexmark and Tellabs -- companies that rely on Camstar's combination of plant floor expertise and leading edge technology to drive their e-manufacturing strategies. Camstar Systems, Inc. is located at 900 E. Hamilton Ave., Suite 400, Campbell, CA 95008, 408/559-5700, Fax: 408/558-9350, http://www.camstar.com/.

About HarbourVest
HarbourVest Partners, LLC, formerly Hancock Venture Partners, Inc., was established in 1982 and is now one of the largest private equity investment firms in the world, managing assets of over $10 billion. HarbourVest has developed expertise in the areas of Internet infrastructure, networking, telecommunications, software and recapitalizations. In the last two years, HarbourVest has deployed over $500 million in over 40 growth-stage enterprises. The firm currently has investments in the United States, Canada, Europe, Asia and Latin America. Previous investments include Clarus Corp., Commtouch Software, Inc., Esprit Telecom Group PLC, Daleen Technologies, Inc., Digital Insight Corp., NETCOM On-Line, Jacada, Ltd., Manugistics, MatrixOne, Network Engines, RADWARE, Trintech Group PLC, UUNET Technologies, Vixel Corp. and webPlan. HarbourVest has offices in Boston, London and Hong Kong. More information can be found at http://www.harbourvest.com/.