BOMBARDIER RAIL SERVICE ALLIGNS WITH XTIVITY INC. TO CREATE A UNIQUE COMPETITIVE ADVANTAGE FOR ITS CLIENTS

Toronto, ON and London, ON, CANADA – October 5, 2006 – Bombardier Transportation, the global leader in the rail equipment manufacturing and servicing industry, today announced an alliance with MRO inventory optimization specialists Xtivity Inc.

Bombardier has been using Xtivity’s xIO™ Inventory Optimizer Service for the past 18 months, to optimize order points and order quantities within its clients’ maintenance, repair and operations inventories. 

Keith Sheardown, Bombardier’s General Manager, Business Development, Services (North America Transportation) explains the reason for this alliance, saying, “Xtivity’s xIO Service helps us to greatly improve passenger car availability through higher availability of repair parts for our clients’ railcar fleets.”

According to Sheardown, “Xtivity’s xIO Service stands alone in its ability to deliver bottom line improvements to our client’s MRO inventory operations and planning, despite the challenges inherent in managing these inventories.”

“Optimized MRO ordering values are key to a best-practice environment, but are historically difficult to attain,” he says, “The xIO Service allows us to optimize MRO inventory investment, for significant service level and cash flow benefits.”

John F. Cowan, Xtivity President, says “Equipment availability and uninterrupted service are critical to success for Bombardier Transportation” clients, and we are proud to see the xIO Service helping them excel in this area.”

“This alliance with a worldwide industry leader underlines the bottom-line impact that xIO delivers for large-scale operations facilities.”

Sheardown agrees.  “Xtivity has proven to be a great partner,” he says, “and their xIO Service provides an important addition to Bombardier’s suite of transportation services.”

About Bombardier
A world-leading manufacturer of innovative transportation solutions, from regional aircraft and business jets to rail transportation equipment, Bombardier Inc. is a global corporation headquartered in Canada. Its revenues for the fiscal year ended Jan. 31, 2006, were $14.7 billion US and its shares are traded on the Toronto Stock Exchange (BBD). News and information are available at www.bombardier.com

About Xtivity Inc.
Maintenance Inventory Optimization Services from Xtivity Inc. deliver hard cost savings in 90 days, while improving executive confidence in Operations decision-making. Xtivity's executive team includes experienced leaders in MRO, software development and best practice implementation. The Xtivity Inventory Optimizer (xIO™) is the only service on the market proven to optimize MRO inventories - while offering unparalleled efficiencies and controls in corporate governance at the Operations level. xIO delivers proven results in refining, mining, manufacturing, utilities, food, transportation and automotive industries. More information is found at www.xtivity.com.

Bombardier Contact:
Keith Sheardown
General Manager, Business Development Services, North America Transportation
905-614-5520
keith.sheardown@ca.transport.bombardier.com

Xtivity Inc. Contact:
Ned Meyer                   
VP Sales & Marketing
519-642-1881 ext 27
nmeyer@xtivity.com

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