CONTROL OF CGI WILL REMAIN WITH THE CURRENT CGI MANAGEMENT TEAM
CGI Group Inc. (CGI) (TSX:GIB.A; NYSE:GIB) today announced that, on January 5, 2004, BCE Inc. (BCE), Bell Canada and their wholly-owned subsidiaries owned in the aggregate 29.84% of CGI's total outstanding equity shares and, as a result, under the terms of the charter of CGI, the Class B multiple voting shares of CGI have not been automatically converted into Class A shares. Therefore, control of CGI remains with the founders, namely Serge Godin, André Imbeau and Jean Brassard, who own or control shares carrying in the aggregate approximately 47.97% of the votes attached to all outstanding shares of CGI.
As previously announced, CGI and BCE entered into a new agreement on July 24, 2003 regarding BCE's investment in CGI. Under such new agreement, BCE had undertaken, among other things, to ensure that its equity interest (as a percentage of the total of all outstanding Class A shares and Class B shares of CGI) remained below 30% on January 5, 2004. Also under the new agreement, BCE had converted all its Class B multiple voting shares of CGI into Class A shares.
Founded in 1976, CGI is the fifth largest independent information technology services firm in North America, based on its headcount. CGI and its affiliated companies employ 20,000 professionals. CGI's annualised revenue run-rate is currently CDN$2.8 billion (US$1.9 billion) and at September 30, 2003, CGI's order backlog was CDN$12.3 billion (US$9.1 billion). CGI provides end-to-end IT and business process services clients worldwide from offices in Canada, United States and Europe. CGI's shares are listed on the TSX (GIB.A) and the NYSE (GIB) and are included in the TSX 100 Composite Index as well as the S&P/TSX Canadian Information Technology and Canadian 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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