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Subject: File Transmission NewsArticles

Wall Street Journal Friday June 2004 A10

Electronic methods are replacing the paper-heavy method of settling
payments by "letter of credit."  Trade Card and UPS Capital are
associating the physical flow of goods with financial settlement.  
An obvious gain is speeding the flow of cash to capital-starved industries.

At the Development Bank of Singapore, ninety percent of its letter of
credit are electronic, but shipping documents that are needed to support these
are done by paper, such as bills of lading.

The article has the following statistics for the conventional method
of handling international trade documentation.   

a) Five percent of the volume of trade is spent just processing paperwork.
b) A simple transaction costs $400.00 to process.
c) Each transaction can take up to twenty-four forms.
d) Half of all letter-of-credit transactions are rejected due to
   incorrect information.

Computer World June 14 2004 Volume 38, No 24, page 1+

XML has not yet replaced EDI;  EDI, an older form of ecommerce, is
growing.  Forrester estimated that EDI represents eighty or more
percent of total business-to-business traffic and its growing by
at least three percent per year.   J. C. Penney is now seeing a monthly
EDI volume of 5.5 million, a 17% increase in one year.

Walmart stated said that "if there's a need" they will "do XML"
but they don't see a migration away from EDI.  
Some firms are using "Applicability Statement 2 Protocol" to send 
transactions over the internet rather than using 
Value Added Networks.  Walmart is starting this shift but only a few 
trade partners are set up to this.   However, those that have shifted
are seeing a reduction of costs of up to 70% over VAN.

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