News Release

APAC Teams with Cisco to Drive New e-CRM Solution

APAC Delivers the Most Comprehensive and Competitive Solution Available for Web-Based Customer Interaction
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Dec 13, 1999

DEERFIELD, IL - Dec. 13, 1999 - APAC Customer Services, Inc. (NASDAQ: APAC) today announced that it has collaborated with Cisco Systems, Inc. (NASDAQ: CSCO) to provide the backbone of its new e-commerce customer relationship management (e-CRM) platform. Integrating Cisco Collaboration Server, Cisco Media Blender and Cisco eMail Manager into the framework for the e.PACSM platform, APAC is providing customers with the ability to improve customer care and intimacy by increasing the percentage of Web site visitors who turn into buyers, reducing the number of abandoned shopping carts and improving the "stickiness" of Web sites for greater customer retention.

With these three powerful components fully integrated into APAC's existing call center infrastructure, APAC provides customers with a variety of choices for their Web-based interaction. Using Cisco Collaboration Server, APAC delivers powerful features to the customer including collaborative "follow-me" browsing, form sharing and split screen comparisons. Likewise, the integration of Cisco Media Blender allows customers to choose from multiple communication channels, including Web, phone, voice over IP (VOIP), Web-based text chat, email or fax.

Further extending the functionality of APAC's e-CRM solution, Cisco eMail Manager was chosen for inbound email response management. Cisco eMail Manager allows APAC to efficiently manage high volumes of customer email inquiries. This function allows APAC to reduce the number of lost responses by processing and tracking incoming e-mail messages, directing them to an appropriate agent for personalized response, and even suggesting relevant response templates. Never before has the customer had as many choices for Web-based support.

A recent study by Datamonitor concludes that businesses lost $1.6 billion in sales in 1998 due to the failure to Web-enable their customer service operations. By using Cisco eMail Manager, Cisco Media Blender and Cisco Collaboration Server, APAC will provide its Fortune 500 and "dot.com" clients with superior real-time online customer care, ensuring higher customer retention and satisfaction, reduced costs and increased revenues.

According to Peter Leger, president and COO of APAC Customer Services, licensing Cisco's collaboration and email products enables APAC to deliver a new class of services to its customers. "As e-commerce continues to grow exponentially, Web-centric companies must find ways to improve the level of customer care they offer online," he said. "APAC is prepared to help clients deliver Web-based support with speed and efficiency. Teaming up with Cisco brings a new dimension to APAC's e-CRM capabilities and gives our customers the power to choose from a variety of Web-based interaction features."

"APAC is renowned for its responsiveness and technological leadership in providing customer care," said Dan Keshian, vice president and general manager for the Customer Contact Business Unit in Cisco Systems, Inc.'s Applications Technology Group. "With our sophisticated email management and collaboration tools, APAC can now offer the same level of responsiveness via the Web. Together, Cisco and APAC are setting new standards in Internet-based customer service and support."

About APAC

APAC Customer Services Inc. (NASDAQ: APAC) is a leading provider of comprehensive customer relationship management (CRM) solutions for Fortune 500 and "dot com" companies in the financial services, telecommunications, retail, insurance, technology, automotive and health care sectors.

APAC uses its proven methodology to develop and implement end-to-end inbound, outbound and Web-enabled, or "e-bound," CRM programs. Through these programs, APAC offers superior, real-time customer care via the Web or traditional call centers. Founded in 1973 and headquartered in Deerfield, Illinois, the company employs approximately 18,000 people and has approximately 60 customer interaction centers across the nation. For more information, please call 1-800-OUTSOURCE or visit www.apaccustomerservices.com.

Cisco, Cisco Systems and the Cisco Systems logo are registered trademarks of Cisco Systems, Inc. in the U.S. and certain other countries. All other trademarks mentioned in this document are the property of their respective owners. The use of the word partner does not imply a partnership relationship

e.PAC is a servicemark of APAC Customer Services, Inc. Cisco, Cisco Systems and the Cisco Systems logo are registered trademarks of Cisco Systems, Inc. in the U.S. and other countries. All other trademarks mentioned in this document are the property of their respective owners.