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Tangoe Awarded Army & Air Force Exchange Service (AAFES) Telecom Expense Management (TEM) Contract

Release date: 11/3/2008

Agreement eliminates AAFES out-of-pocket expenses with cost savings achieved from TEM audit

ORANGE, Conn., November 3, 2008 — Tangoe, Inc., a leading global provider of enterprise communications lifecycle management software and technology-enabled services, today announced the company has been awarded a telecom expense management (TEM) contract to inventory and audit all telecom services for the Army  & Air Force Exchange Service (AAFES). Under terms of the agreement, Tangoe will conduct a multi-phase audit of communications services and assets to identify significant saving opportunities. Operating more than 3,000 facilities in 30 countries, AAFES—with FY07 revenues totaling $9.7 billion—is a joint military entity with approximately $50-90 million in annual telecom expenses.

Tangoe was awarded the contract after participating in the AAFES’ request for proposal process in Spring 2008. The contract calls for a centralized inventory and audit of all telecommunications services, including voice, data, wireless, Internet Protocol (IP) phones and devices, and private line and satellite circuits at AAFES’ facilities in the U.S. and its territories. The initial agreement is segmented into three phases, with options to continue ongoing TEM-related services after the first phase.

In the initial phase, Tangoe will implement the company’s CommCare™ Inventory Foundation service, consisting of a consolidated fixed and mobile communications inventory creation paired with a comprehensive communications bill audit and mobile rate plan optimization. In this phase, AAFES will achieve savings through improved carrier contracts, the elimination of unutilized services, the collection of overcharge credits, and the elimination of process inefficiency and waste. Phase 2 provides for the implementation of process modifications to drive ongoing savings, and Phase 3 provides CommCare services to bring control, visibility, and understanding to every critical process within the AAFES’ communications environment—without an on-premise investment in technology infrastructure or staff expertise.

“The Army & Air Force Exchange Service’s dual enduring mission is to provide quality merchandise and services to its customers at competitively low prices and generate earnings which provide a dividend to support morale, welfare and recreation programs,” said Michelle Priester, AAFES Chief of New Business. “Identifying and implementing efficiencies is critical in not only allowing the command to serve troops wherever they are called to serve, but also maximizing funds generated in support of quality of life improvements.”

“Although our primary focus up to this point has been working with large global businesses and organizations to pinpoint waste and slash their telecom spend, we are pleased to extend this service to the Army & Air Force Exchange Service and other governmental agencies.,” said Tangoe president and CEO Al Subbloie. “In reality, there are many more similarities between the two types of organizations than differences. Like global businesses, governmental organizations are typically comprised of many distributed locations and points of purchasing authority and require a wide range of changing telecom needs. For Tangoe, the core processes of identifying waste, analyzing usage patterns, and consolidating and optimizing services is virtually identical. In these challenging economic circumstances, the need to reduce costs, improve process efficiencies, and better understand and manage communications resources is common to all organizations—and that’s what Tangoe solutions enable them to do.”

About Tangoe
Tangoe, Inc., a global leader in telecommunications lifecycle solutions, provides software and technology-enabled services that help global organizations to procure, manage, and control their fixed, mobile, and converged communications assets and their costs. Tangoe’s software and service solutions are built upon patented technologies that enable dramatic cost reductions and process efficiencies, which significantly contribute to organizational profitability. Global 2000 organizations worldwide depend on Tangoe solutions to more effectively manage their telecommunications processes. In 2007, Tangoe was named No. 149 on the Entrepreneur Hot 500 ranking of America’s fastest growing companies and was named the fifth fastest growing Connecticut technology company in the Deloitte Technology Fast 50. Tangoe has offices in Orange, Connecticut, Austin, Texas, and Hoboken, New Jersey. Tangoe provides solutions in the United States through direct and partner sales channels, and internationally through a global network of certified business partners.

Additional information about Tangoe, its CommCare services, patented technologies, and business partners can be found at, or requested via e-mail at, or by calling (203) 859.9300.

Tangoe is a registered trademark and CommCare is a trademark of Tangoe, Inc.