Digital River Expands Relationship with Symantec
Signs agreement that expands online business opportunities and extends contract
MINNEAPOLIS - Oct. 24, 2006 --Digital River, Inc., (NASDAQ: DRIV) a global leader in e-commerce outsourcing, announced today that it signed a revised agreement with Symantec Corp. (NASDAQ: SYMC). The two-year contract extension expands Digital River’s support for Symantec’s existing online sales for consumers, small and mid-sized businesses and enterprises in North America, Europe, Latin America and certain Asia Pacific countries. In these regions, Digital River will provide e-commerce support for new sales, product upgrades, and subscriptions sales as well as Symantec’s new On-Line Services program. To help Symantec further drive its online revenue growth and new customer acquisition strategies across global markets, Digital River also is providing expanded global e-marketing services through traffic and site optimization.
The revised agreement runs through June 30, 2010. Under this agreement, Symantec is bringing order-related customer service in-house to provide its customers a seamless experience from order placement through technical support. Based on the revised scope of the relationship, the financial terms of the agreement have been updated. The new terms offer Symantec a more competitive pricing model – one that has been adjusted in line with the incremental transaction volume Digital River expects to manage as a result of the expanded business opportunities.
Commenting on the announcement, Joel Ronning, CEO of Digital River, said, “I am very pleased that we have reached an agreement with Symantec to build an even broader partnership from which both parties will clearly benefit. Symantec plans to introduce a number of exciting new products in the near future, and we are looking forward to supporting the product launches to both new and existing customers. Additionally, one of the exciting elements of the agreement is an aggressive customer acquisition program on Symantec’s behalf. We’ll be ramping this program, along with our other initiatives, throughout 2007.”
Vince Steckler, senior vice president of Worldwide Consumer Sales at Symantec, said, “Digital River has been our e-commerce partner for more than five years. This agreement further strengthens our relationship while providing significant service benefits to both Symantec and our online customers around the world.”
About Digital River, Inc.
Digital River, Inc., a global leader in e-commerce outsourcing, builds and manages online businesses for more than 40,000 software publishers, manufacturers, distributors and online retailers. Its multi-channel e-commerce solution, which supports both direct and indirect sales, is designed to help companies of all sizes maximize online revenues as well as reduce the costs and risks of running an e-commerce operation. The company’s comprehensive platform offers site development and hosting, order management, fraud prevention, export controls, tax management, physical and digital product fulfillment, multi-lingual customer service, advanced reporting and strategic marketing services.
Founded in 1994, Digital River is headquartered in Minneapolis with offices in major U.S. cities as well as Cologne, Germany; London, England; Shannon, Ireland; Luxembourg, Luxembourg; Taipei, Taiwan; and Tokyo, Japan. For more details about Digital River, visit the corporate Web site at www.digitalriver.com or call 952-253-1234.
Digital River is a registered trademark and oneNetwork is a trademark of Digital River, Inc. All other company and product names are trademarks, registrations or copyrights of their respective owners.
Forward-Looking Statements
In addition to the historical information contained herein, this press release contains forward-looking statements, such as statements containing the words, “will,” “plans,” “intends,” “expects,” and similar words. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others: the Company’s limited operating history and variability of operating results; competition in the electronic commerce market; the ability of the Company to support: incremental transaction volumes associated with the online marketing, sale and delivery of Symantec’s software, and Symantec’s customer acquisition and online services programs; the market’s acceptance of Symantec offerings; and other risk factors referenced in the Company’s public filings with the Securities and Exchange Commission.
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