CANADIAN CREDIT UNIONS SIGN $100 MILLION ELECTRONIC TRANSACTION SWITCHING AGREEMENT WITH CGI
The CGI Group and Credit Union Central of Canada announced today the signing of a five year, $100 million agreement. As part of the agreement, CGI will provide a range of financial switching and telecommunications services to support Interac® shared cash dispensing and point-of-sale Direct Payment services for Credit Union Central of Canada's 900 member credit unions.
"We are pleased that Credit Union Central of Canada chose CGI as its partner to provide electronic transaction switching services," said Jean Brassard, CGI's President and COO. "CGI's business solution will allow credit unions to increase their market presence while significantly streamlining their cost structure."
Bill Knight, President and CEO, Credit Union Central of Canada added, "This agreement allows our member credit unions to join forces in order to achieve critical mass in the Canadian market. This new business relationship with a strong partner will enable us to enhance services to our two million card holders, while providing millions of dollars of cost savings to member credit unions."
Network management, capacity planning and transaction settlement functions are all included in the agreement. CGI also provides regional switching and electronic banking support to other credit union organizations across Canada.
CGI has been Credit Union Central of Canada's Interac services provider since the launch of this service several years ago. In September 1997, CGI became the first non-financial Interac member to offer Interac Direct Payment and shared cash dispensing. It provides Interac processing services to the Canadian affiliate of Republic National Bank of New York and the Bank of East Asia (Canada).
Credit Union Central of Canada is the national trade association and finance facility for Canada's credit unions. Canada credit unions have combined assets of $48 billion and serve over 4 million members. Website address: www.cucentral.ca.
CGI is the largest Canadian-owned independent information technology consulting firm, providing end-to-end IT services and business solutions to some 2,000 clients throughout North America and internationally. CGI has more than 4,000 professionals, a revenue-run rate of approximately $550 million and an order backlog of more than $1.5 billion.
After completing its previously announced merger of Bell Sygma Telecom Solutions and Bell Sygma International into CGI, pending final approvals, CGI will have more than 7,000 professionals, a revenue-run rate of approximately $1billion, and an order backlog totalling $4.5 billion. CGI's shares (GIB.A) are included in The Toronto Stock Exchange's TSE 300 and TSE 200 Composite indexes.
For more information:
Credit Union Central of Canada