PFSweb, Inc. (Nasdaq: PFSW), an international business process
outsourcing provider of end-to-end web commerce solutions today
announced a five-year agreement with Army & Air Force Exchange Service
(AAFES) to provide a comprehensive global fulfillment solution that
supports the All Services Exchange Catalog and Online Store.
AAFES is a multi-channel retailer, offering products to authorized
Exchange customers via retail stores, catalog and online. AAFES
authorized customers include active duty and retired military personnel
and their dependents. Over 18 million items are available through the
Exchange Online Store and Exchange Online mall at aafes.com
with an average savings of 10%-20%.
Under the agreement, PFSweb will support the printed Exchange AAFES
catalog as well as the Exchange Online Store. PFSweb’s customized
solution includes warehousing and order fulfillment utilizing its
integrated OMS and WMS to receive, manage and safeguard inventory,
fulfill direct-to-consumer orders and manage customer returns. PFSweb
will also provide AAFES with the professional services required to
create multiple technology interfaces with AAFES systems. PFSweb plans
to utilize one of its Memphis, Tennessee facilities to support this new
relationship.
The contract has been estimated by AAFES to generate a 5-year total of
approximately $15.3 million in service fees to PFSweb, based on expected
activities over the life of the contract.
Mike Willoughby, President of PFSweb’s services division, commented, “We
are working with Army & Air Force Exchange Service to provide a custom
logistics solution to support its catalog and website, which brings
together over 32,000 warehoused products as well as inventories of
numerous drop ship vendors. AAFES is a distinguished organization that
offers products to active and retired U.S. military personnel and their
families around the world, and we are pleased to have been selected to
support these efforts. This contract is the previously unnamed client
relationship that was referred to in our recent earnings release as the
one new client relationship signed thus far since late-December 2008.”
About AAFES
The Army & Air Force Exchange Service (AAFES) is a joint command of the
U.S. Army and U.S. Air Force, and is directed by a Board of Directors
who is responsible to the Secretaries of the Army and the Air Force
through the Service Chiefs of Staff.
