TÉLÉBEC AWARDS CGI A CDN$115 MILLION FOR INFORMATION TECHNOLOGY OUTSOURCING CONTRACT
Télébec, a wholly owned subsidiary of BCE offering integrated telecommunications services in outlaying regions of Quebec, and CGI announced today that they have reached an agreement through which Télébec will outsource its information technology functions to CGI. CGI forecasts that the ten-year IT outsourcing contract will generate annual revenues of CDN$8 million, as well as an additional CDN$3.5 million per year for information technology development projects to be carried out by CGI.
"Télébec is pleased to award CGI the management of its information technology requirements," stated Pierre Brochu, President and CEO of Télébec. "Our company will now be able to leverage CGI's expertise to pursue growth in our telecommunications and multimedia development activities."
"CGI is proud to have been selected as Télébec's long-term partner," said Jean Brassard, President and COO of CGI. "This outsourcing contract further strengthens our position as a leading information technology services provider to the telecommunications sector, and allows us to acquire additional telecommunications specialists."
Under the terms of the agreement, some 80 Télébec employees, including managers, analysts, programmers, technical specialists and operators, will join CGI as of February 1. As part of the agreement, CGI will provide Télébec with complete information technology services, including maintenance of its client-server applications and mainframe computer system.
A company with 1,000 employees, Télébec offers integrated and innovative telecommunications solutions to customers in 300 Quebec municipalities. Its territory of some 750,000 square kilometres extends from James Bay in the North to the U.S. border (Venise-en-Québec) in the South and from the Outaouais region (Shawville, St-André-Avellin) in the West to the Magdalen Islands in the East. Its website is: www.telebec.qc.ca.
CGI is the largest independent information technology service provider in Canada and the sixth largest in North America, based on annual sales of CDN$1.3 billion. Its backlog currently stands at CDN$6.5 billion. CGI has 8,000 professionals and provides a complete range of information technology services and business solutions to approximately 2,000 clients in Canada, the United States and twenty countries around the world. CGI shares are listed on the New York Stock Exchange (GIB), as well as the Toronto and Montreal Stock Exchanges (GIB.A). On the Toronto Stock Exchange, CGI shares are listed on the TSE 300 composite index and the TSE 200. CGI's website is: 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.
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