LOTO-QUÉBEC AND CGI CREATE JOINT VENTURE TO SERVE THE INTERNATIONAL GAMING INDUSTRY
Loto-Québec and CGI today announced the creation of a joint venture, whose mission will be to export Quebec gaming industry expertise internationally. The new company, which Loto-Québec and CGI will own in equal parts, will offer products and services to the gaming industry around the world, including the development and sale of information technology solutions, consulting and management services. The two partners estimate that the venture will generate revenues of approximately CDN$100 million over five years.
The company will be flexible in adapting to the needs of its clients, offering unique solutions and responding to information technology needs of countries operating or preparing to operate lotteries, and serving organizations seeking to establish infrastructures to support gaming initiatives (video lotteries, casinos, bingo).
The partnership comes at an opportune moment, as the gaming industry is currently enjoying a period of rapid expansion internationally and its revenues are worth hundreds of billions of dollars. Moreover, the market is presently served by only a limited number of companies. The new firm will draw on the knowledge of Loto-Québec to create games and lotteries and on the expertise of CGI for systems integration, consulting, and the implementation of information technology solutions for the industry.
Bold and innovative, Loto-Québec and CGI have what it takes to carve a niche in this high-technology market. Created in 1969, Loto-Québec has enjoyed a number of firsts over the years, including instant-win lotteries, the computerization and management of its sales network, the creation of the national 6/49 lottery, and the development of an instant-win lottery on CD-ROM, to name just a few. Joining forces with the experts at CGI to become market leaders in the international gaming industry is a natural step for Loto-Québec, which has spent many years sharing its expertise with delegations from around the world.
CGI has developed in-depth knowledge of the information technology needs of gaming industry clients. In fact, the company manages computer operations for the Société des loteries vidéo and collaborates in a number of other such projects, most notably those involving Loto-Québec and la Société des casinos.
CGI is the largest independent information technology consulting firm in Canada and the fifth largest in North America, based on its revenue run rate of CDN$1.6 billion. Its order backlog totals approximately CDN$7.2 billion. CGI has 10,000 professionals and provides end-to-end IT services and business solutions to 2,500 clients in Canada, the United States and more than 23 countries around the world. CGI's shares are listed on the New York Stock Exchange (GIB), as well as on the Toronto exchange (GIB.A). They are included in the Toronto Stock Exchange's TSE 300 Composite and TSE 100 indexes. Web site: www.cgi.ca
All statements contained in this or any other press release of CGI Group Inc., or in any document filed by the Company with the U.S. Securities and Exchange Commission, or in any other written or oral communication by or on behalf of the Company, that do not directly and exclusively relate to historical facts, constitute "forward looking statements" within the meaning of the U.S. Private Securities Litigation Report Act of 1995. These statements represent the Company's expectations and beliefs, and no assurance can be given that the results described in such statements will be achieved.
This press release may contain forward-looking statements that involve a number of risks and uncertainties, including statements regarding the outlook for the company's business and results of operations. There are a number of factors that could cause actual results to differ materially from those indicated. Such factors include, without limitation, the various factors set forth in the Company's annual report.
- 30 -