FORESTERS SELECTS CGI FOR SEVEN-YEAR IT CONTRACT
Foresters™, a financial services organization, has selected CGI Group Inc. (CGI) (TSX: GIB.A; NYSE: GIB) for a seven-year information technology outsourcing contract valued at CDN$108 million. As part of this contract CGI will manage the data center, help desk, desktop, network, voice and data services serving over 1,600 employees in 60 offices North America-wide. Approximately 80 technology professionals from Foresters, located in the Greater Toronto Area, will join CGI as part of this agreement, which will take effect October 1, 2004.
Mike White, president and CEO of Foresters, commented: "Foresters is delighted to partner with CGI on an IT outsourcing arrangement that will allow us to use technology as a strategic resource to support our business operations, while reducing our costs and improving service levels and flexibility. CGI's expertise and best-of-breed technology services will allow us to focus on our core insurance and investment businesses."
Michael Roach, president and COO of CGI, added: "We are pleased to welcome Foresters as a new client and we look forward to working with the Foresters IT professionals who will be joining CGI as part of this agreement. We are committed to leveraging our deep expertise in the financial sector to help Foresters achieve their business objectives across North America."
A financial services organization inspired by helping children, Foresters provides products, such as life insurance and annuities. For 130 years, Foresters has operated on the principle that the growth and prosperity of individual families is linked to the communities in which they live. Foresters investment in communities goes beyond traditional corporate giving. It invests time, money and resources to raise funds and strengthen non-profit children's organizations, such as Children's Miracle Network and Prevent Child Abuse America, while Foresters members and staff volunteer locally. With close to one million members, Foresters operates in Canada, the U.S. and the United Kingdom. Website: www.foresters.biz.
Foresters™ is a trademark of The Independent Order of Foresters, a fraternal benefit society, 789 Don Mills Road, Toronto, Canada M3C 1T9
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, and Asia Pacific. CGI's annualized revenue run rate is currently CDN$3.8 billion (US$2.8 billion) and at June 30, 2004, CGI's order backlog was CDN$13.2 billion (US$9.8 billion). CGI's shares are listed on the TSX (GIB.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.
For more information:
Janice McNally, director, corporate communications
(416) 429-3000 ext. 4697
Jane Watson, vice-president, investor relations
(514) 841-3200 or (416) 945-3616
Ronald White, director, investor relations
Eileen Murphy, director, media relations