Mobile Operator Alegro Outsources Entire Supply Chain To Brightstar

Brightstar to Help Maximize Operational Efficiencies and Transform Alegro's Mobile Device Supply Chain into a Competitive Advantage

Miami, FL /PRNewswire/ -- Brightstar Corp., a global leader in customized distribution and integrated supply chain solutions for the wireless industry, has been awarded an exclusive supply chain services contract with Telecsa S.A., one of Ecuador's leading mobile operators, which offers services under the brand name Alegro. Brightstar will assist Alegro in implementing an entirely new, end-to-end supply chain optimization service platform for all of the operator's segments and channels.

Alegro selected Brightstar to enhance the operator's supply chain efficiencies in one of the most competitive markets in Latin America, utilizing Brightstar's comprehensive fourth party logistics (4PL) service platform. The platform will deliver real-time inventory transparency throughout Alegro's operations and various channels in Ecuador. To meet Alegro's market demands while increasing overall efficiencies, Brightstar will leverage its deep, global expertise in fulfillment and operations management, forecasting, supply chain planning, inventory management and supplier collaboration processes. Under the agreement, Brightstar's services will include all handset procurement; fulfillment and third party logistics (3PL) operations; advanced replenishment to ensure proper placement of inventory throughout Alegro's channels; specialized device management services; and product lifecycle management tools to enhance mobile device contribution to margin.

"We need a strategic partner that will allow us to purchase handsets under similar conditions to those of our competitors, America Movil and Movistar, in terms of pricing and product choice," said Augusto Espin, CEO, Telecsa. "Additionally, we want a seasoned partner who brings the necessary experience to improve our processes and strategies when dealing with handsets." Espin continued, "We believe Brightstar is the best choice because of their regional experience and genuine interest in becoming a commercial partner, rather than just one more supplier. We expect that this strategic alliance will create success in this aspect of our business, where until now we have not been able to find a quantitative improvement. The relationship with Brightstar is key for the growth and success of our company in the Ecuadorian market."

"The acquisition costs, maintenance costs, financing and opportunity costs and most importantly the cost of lost sales due to stock-outs, have been chronic problems for Telecsa that translate directly to a loss of market share," said Mario Villagomez, CFO, Telecsa. "Facing this reality, we decided to pursue a strategic partner to manage handsets and other inventory logistics for our company, within the efficiency and cost parameters of the market. Without a doubt Brightstar matches these requirements, which is why we have proceeded to bring them on to provide 4PL services."

"We are very pleased that Alegro has chosen Brightstar as a long term strategic partner, and we are confident that our depth of experience in the region and unmatched capabilities in supply chain optimization will meet their needs in this competitive market," said Marcelo Claure, president and CEO, Brightstar. "Through this partnership, we look forward to helping Alegro increase their market share, impacting bottom line results."

In most Latin America markets, operators reaching high levels of mobile penetration need to focus on sophisticated supply chain solutions that are critical in building and maintaining market leadership, so that consumers have the right product, at the right place, at the right price and at the right time. Through Brightstar's industry-leading supply chain solutions, customers can improve bottom line results, increase EBITDA, and convert their supply chains into a key competitive advantage.

ABOUT ALEGRO
Alegro is Ecuador's third mobile network operator. It operates in CDMA and GSM network (launching their 3G network in Q4 2009) through which it offers comprehensive post and pre-paid mobile services to local customers. Alegro is a government owned company, currently undergoing aggressive restructuring within their internal organization in order to achieve their strategy of becoming an important player in the Ecuadorian market by 2010.

ABOUT BRIGHTSTAR
Brightstar Corp. is a multi-billion dollar global leader in customized distribution and integrated supply chain solutions for the converging wireless and IT industries. With sales and distribution facilities on six continents, Brightstar offers leading wireless and IT manufacturers the largest global reach, ensuring that the right product is in the right place, at the right time. Brightstar's industry-leading supply chain solutions are used by the world's top network operators and retailers to improve financial results, increase EBITDA and turn their supply chains into a competitive advantage. For more information on Brightstar, please visit www.brightstarcorp.com.

SOURCE Brightstar Corp.