As part of its new e-business initiative to help Volkswagen dealers tap into the emerging online automotive market in Canada, The Cobalt Group and Volkswagen of America/Volkswagen Canada have teamed up to launch an expanded certified pre-owned vehicle section of VW.com to include Canadian dealers' inventory.

The partnership with Cobalt, a provider of e-business products and services to the automotive industry, is intended to help drive more Internet traffic and solid sales leads to Volkswagen dealers.

The enhancement to VW.com includes a new search interface and inventory listings that enables consumers to locate pre-owned vehicles by province or postal code from more than 130 Volkswagen dealers throughout Canada. Search results display make, model, price, kilometers, color, location and photo. Consumers contact a dealer directly via the dealer's Web site to initiate the buying process.

"This new enhancement to VW.com provides Canadian car shoppers with greater access to Canadian Volkswagen dealers' certified pre-owned inventory," said John Holt, president and CEO of The Cobalt Group. "Additionally, it's an important step toward offering locate-to-order capabilities for Canadian Volkswagen dealers' Web sites. Now, Canadian customers shopping on VW.com can find the pre-owned car they want in one convenient location on the Internet and connect directly with the dealer that has the vehicle in stock."

"Cobalt's ability to seamlessly integrate Canadian dealers' certified pre-owned inventory will provide consumers with increased selection," said Tesa Aragones, eBusiness leader for Volkswagen. "Combining our brand recognition with a national vehicle search application will generate qualified leads to our participating dealers."

Penetrating the online market is a key part of Volkswagen's automotive strategy in Canada, where Internet usage has outpaced the American market. Industry experts estimate the trend will continue as an increasingly higher ratio of consumers access the Web in Canada. According to International Data Corporation, by 2003, six out of 10 Canadians will have access to the Web, compared with four out of 10 in the U.S.

The new pre-owned inventory listings and search engine components are part of Volkswagen's Canadian dealer e-business program that launched in January. As part of the program, Cobalt provides Web sites in French and English as well as online inventory management and traffic reporting tools to all Canadian Volkswagen dealers.

About The Cobalt Group

The Cobalt Group™, headquartered in Seattle, is a provider of e-business products and services designed to help automotive dealers and manufacturers manage their businesses online.

Cobalt's suite of e-business solutions includes Web services, Web site hosting, e-commerce applications, Internet-based customer relationship management applications, data management, and best practices training and consulting.

Nearly half of the nation's auto dealers use Cobalt's technology, including 8,950 Web services clients, and approximately 9,000 PartsVoice® (www.partsvoice.com) clients. Cobalt's e-business products and services are endorsed by 14 automotive manufacturers and more than 50 of the 100 largest dealer groups in the United States. Cobalt is the only e-business provider endorsed by the National Automobile Dealers Association (NADA).

Cobalt operates MotorPlace.com™ (www.MotorPlace.com), an online business management and industry information resource for auto dealers. At MotorPlace.com, dealers utilize Cobalt tools to manage their Web sites, buy wholesale used vehicles through MotorPlace Auto Exchange, locate and market OEM parts through PartsVoice, purchase leads through Pick-or-Pass, and access industry information, news, events, and stock quotes.

Cobalt also operates DealerNet® (www.dealernet.com), one of the most widely visited consumer automotive information portals on the Web.

Cobalt has offices in Seattle, Wash.; Portland, Ore.; Detroit, Mich.; Columbus, Ohio; and Austin, Texas.

For more information, visit www.cobaltgroup.com or call (800) 909-8244.