René Furterer Inc. Selects PFSweb for Business Process Infrastructure, Fulfillment, Transportation and Logistics Services

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René Furterer USA, a California-based hair care products firm, has signed a multiyear contract with PFSweb, Inc. (NASDAQ-PFSW), a provider of business process outsourcing (BPO) solutions. They will manage and fulfill orders through the Internet from the client's national sales staff and its customers -- retail and beauty outlets, spas, salons and department stores.

René Furterer USA, an Azusa, CA-based hair care products firm, has signed a multi-year agreement with PFSweb, Inc. (NASDAQ: PFSW), a global provider of integrated business process outsourcing (BPO) solutions, to manage and fulfill orders through the Internet from the client’s national sales staff and its customers. René Furterer, a wholly owned subsidiary of Pierre Fabre Dermocosmetique France, which in turn is part of the Pierre Fabre Group based in Paris, is dedicated to the care, improvement and beautification of hair. Rene Furterer has been established in the United States for more than 15 years.

René Furterer Hair Care consists of more than 50 products specifically formulated for each type of hair and scalp. This global brand is Pierre Fabre’s entry into the U.S. markets along with such other brands as Klorane™ and Avene™. Its customer structure consists of high-end salons and spas – either directly or through specialized distributors – as well as select department stores such as Bloomingdale’s and Sephora.

“Under terms of the agreement, PFSweb will provide warehousing and inventory management, fulfillment and transportation management, order fulfillment and returns management, invoicing/credit management and information technology support, including use of PFSweb’s EntenteOrderSM Management System,” said Bruce McClung, a PFSweb partner and vice president-Sales. “We expect to complete our implementation during the next several months and be ready to go live during the December 2004 quarter.”

“Our brand operated and was previously supported as part of another product line, requiring a complete new infrastructure solution when that line was sold,” explained Andre Pieters, president and CEO of René Furterer.

“Personnel from René Furterer and the Pierre Fabre Group conducted extensive due diligence with multiple visits to PFSweb’s Plano headquarters and Memphis facilities,” added Julie Matrat, Special Project Management for the West Coast firm. “We were seeking a partner who would be able to provide us a full range of integrated solutions related to the logistics of our business and the management of our credit collection.

“Our visits to PFSweb and its competitors convinced us that PFSweb was the highest quality logistics solutions provider,” Matrat continued. “We were impressed by the state-of-the-art technology employed by PFSweb in its warehouse, the cleanliness of the environment and the accuracy with which its employees perform their work.”

“PFSweb is a fully integrated logistics service provider operating a very sophisticated IT system that will enable us to get real-time, detailed reports of our sales activity,” Pieters emphasized. “We also selected PFSweb for its historic experience in the cosmetics industry, as well as its experience in the retail picking business.

“The fact that PFSweb has been entrusted by other leading international brands also was a guarantee for us of its expertise,” he said. “PFSweb’s added ability to provide reporting and such financial services as invoicing, billing and credit collection management, offers our company the opportunity to focus on our core business as a sales and marketing organization.”

“This elite brand is an exciting addition to our client list,” said Mark Layton, senior partner and chief executive officer of PFSweb. “We believe our full service offering and industry experience will enhance René Furterer’s growth strategy of penetrating additional retail and beauty outlets, spas, salons and department stores."

Known as the “brand behind the brand,” PFSweb provides seamless, transparent, “best-in-class” supply-chain efficiencies and management for its Fortune 500 and Global 1000 clients. PFSweb currently warehouses, manages and fulfills more than $1 billion annually in merchandise and transactions from its distribution facilities in Memphis, Toronto, Canada and Liège, Belgium.

About Rene Furterer USA:

Company founder René Furterer has dedicated 30 years of his life to hair care, joining forces with Pierre Fabre Laboratories in 1979 and benefiting from leading research and scientific development at the pharmaceutical company. René Furterer Hair Care consists of a line of 50 products formulated from plant extracts and essential oils. Additional product and other information can be found at http://www.ReneFurterer.com
(Information provided by Rene Furterer USA)

Corporate contacts: Andre Pieters, President & CEO, 1055 W. 8th St., Azusa, Calif., 91702; 626-804-0107; or Julie Matrat, Special Project Management, 626-334-3395, Ext. 1-324

About PFSweb, Inc.

PFSweb’s comprehensive outsourcing solutions provide proven, fast and secure business infrastructure to enable traditional and e-commerce strategies. PFSweb solutions include: professional consulting services, e-marketplace logistics, order management, web-enabled customer contact centers, customer relationship management, international distribution and fulfillment services, reverse logistics, billing and collection services, kitting and assembly services and ERP information interfacing utilizing its Entente SuiteSM.

PFSweb develops and deploys integrated business infrastructure solutions and fulfillment services for Fortune 1000, Global 2000 and brand name companies, including third party logistics, call center support and e-commerce services. The company serves such notable clients

as Brillian Corporation, CHiA’SSO Dupont Fluoroproducts, Hewlett-Packard, IBM, NokiaUSA.com, Pfizer, Inc., Raytheon Aircraft Company, Roots Canada, Shell Energy Services Company, Smithsonian Institution, Xerox and other brand name companies.

(SAFE HARBOR CLAUSE)

The matters discussed in this news release, particularly information regarding future revenue, earnings, business plans and goals, consist of forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are subject to and involve risks and uncertainties, which could cause actual results to differ materially from the forward-looking information. Such statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. These statements are based on assumptions and estimates that management believes are reasonable based on currently available information; however, management’s assumptions and the Company’s future performance are both subject to a wide range of business risks and uncertainties, and there is no assurance that these goals and projections can or will be met. Any number of factors could cause actual results to differ materially. The Company undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking information contained herein is subject to the risk factors and uncertainties described in the Company’s filings with the Securities and Exchange Commission, which risk factors and uncertainties are incorporated by this reference as though fully set forth herein.

To find out more about PFSweb, Inc. (NASDAQ: PFSW), visit our website at http://www.pfsweb.com. PFSweb is a registered trademark. Entente Suite is a service mark of PFSweb. All rights reserved.

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Preston F. Kirk, APR
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