CIDA RENEWS MANAGED SERVICES CONTRACT WITH CGI
The Canadian International Development Agency (CIDA) has selected CGI Group Inc. (CGI) (TSX: GIB.SV.A; NYSE: GIB) for a four-year managed services contract valued at CDN$15.8 million. CIDA is the federal agency charged with planning and implementing most of Canada's sustainable development programs in developing countries in order to reduce poverty and to contribute to a more secure, equitable and prosperous world.
This is a renewal of a previous managed services contract and has the potential of being extended for an additional six years. CGI will continue to manage all infrastructure support services for over 2,100 CIDA professionals and provide the Agency with a national service desk, onsite support services as well as systems and network management.
To address CIDA's new requirements for production support services and the implementation of proactive measures to enhance user support, CGI will leverage its core capabilities and its existing service delivery infrastructure. CGI will also provide a variety of information technology consulting services and strive to deliver continual cost reductions and process improvements to the Agency.
"Evolving our services with our clients is key to maximizing value for them. We are pleased with the confidence our long-term client has placed in our ability to find efficiencies and better enable them to focus on their core business. Our Ottawa data center will play an important role in leveraging shared infrastructure to deliver savings," said Hicham Adra senior vice president and general manager, National Capital Region, CGI.
Founded in 1976, CGI is among the largest independent information technology and business process services firms in North America. CGI and its affiliated companies employ approximately 25,000 professionals. CGI provides end-to-end IT and business process services to clients worldwide from offices in Canada, the United States, Europe, Asia Pacific as well as from centers of excellence in India and Canada. CGI's annualized revenue run rate is currently CDN$3.8 billion (US$2.8 billion) and at September 30, 2004, CGI's order backlog was CDN$13 billion (US$10.3 billion). CGI's shares are listed on the TSX (GIB.SV.A) and the NYSE (GIB) and are included in the S&P/TSX Composite Index as well as the S&P/TSX Capped Information Technology and MidCap Indices. Website: www.cgi.com.
All statements in this press release that do not directly and exclusively relate to historical facts constitute "forward-looking statements" within the meaning of that term in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. These statements represent CGI Group Inc.'s intentions, plans, expectations, and beliefs, and are subject to risks, uncertainties, and other factors, of which many are beyond the control of the Company. These factors could cause actual results to differ materially from such forward-looking statements.
These factors include and are not restricted to the timing and size of contracts, acquisitions and other corporate developments; the ability to attract and retain qualified employees; market competition in the rapidly-evolving information technology industry; general economic and business conditions, foreign exchange and other risks identified in the Management's Discussion and Analysis (MD&A) in CGI Group Inc.'s Annual Report or Form 40-F filed with the SEC, the Company's Annual Information Form filed with the Canadian securities authorities, as well as assumptions regarding the foregoing. The words "believe", "estimate", "expect", "intend", "anticipate", "foresee", "plan", and similar expressions and variations thereof, identify certain of such forward-looking statements, which speak only as of the date on which they are made. In particular, statements relating to future revenue from outsourcing contracts are forward-looking statements. CGI disclaims any intention or obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned not to place undue reliance on these forward-looking statements.
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