Pathlore Customers Achieve Cost Savings of More Than 50 Percent

COLUMBUS, Ohio – July 31, 2002 – Pathlore, the most widely deployed learning management system (LMS) software and services provider, today announced that NEC America Inc., a subsidiary of NEC Corp. (Nasdaq: NIPNY), has realized savings of approximately 65 percent in training costs since it launched Pathlore LMS 21 months ago. NEC America, which employs approximately 1,100 people in the United States, develops, manufactures and markets advanced communication products and software for public and private networks.

By lowering training costs, streamlining administrative processes and reducing travel costs with Web-based training solutions, NEC America has saved $3 (U.S.) for every $1 (U.S.) it has invested since the full deployment of Pathlore LMS. In addition, NEC took full advantage of the Pathlore Partner Program, which ensures the seamless integration of learning content from industry-leading providers with Pathlore LMS. Since delivering SmartForce and SkillSoft e-Learning courses through Pathlore LMS, NEC has reduced the average seat cost per employee from $331 (U.S.) to $39 (U.S.), a savings of $292 (U.S.) or approximately 88 percent.

“We realized the financial decision to invest in employee training and education would have a long-term, positive impact on our bottom line,” said Wim Wetzel, training and education manager for NEC America. “With Pathlore LMS, we are able to rein in escalating education costs but still provide focused and required training and development opportunities to NEC employees.”

Another organization realizing measurable results from its use of Pathlore LMS is Wisconsin-based Gundersen Lutheran, one of the nation’s largest group practice healthcare networks. With Pathlore, more than 5,500 Gundersen Lutheran employees now can access education courses from their desktops. Gundersen Lutheran anticipates a minimum annual cost savings of $300,000 (U.S.) from reduced training redundancies and speedier compliance with regulatory requirements. Within the first eight weeks of the Pathlore LMS deployment, 1,200 Gundersen Lutheran employees registered for online courses and 1,500 registered for instructor-led training classes.

“One of Pathlore’s primary strengths is our ability to help organizations with widely varying requirements realize a tangible, rapid return on their e-Learning investment,” said Dave Evangelisti, vice president of marketing for Pathlore. “We work hard to truly understand the business needs of our customers and provide them with the tools they need to plan, manage and deliver training initiatives to key audiences quickly and cost-effectively.”

About NEC America Inc.

NEC America Inc., an affiliate of NEC Corp. (NASDAQ: NIPNY), develops, manufactures and markets a complete line of advanced communications products and software for public and private networks, including digital key telephone and PBX systems; ATM switching systems; facsimile equipment; fiber optic transmission systems; data communications products; digital microwave radio, satellite communications and network management systems. NEC Corp. and its affiliates worldwide are a $38 billion global leader whose 140,000 employees are dedicated to providing leading-edge computer, communications and semiconductor products and services. For more information please visit http://www.necamerica.com/.