Alcan Inc. (NYSE, TSX: AL) and CGI Group Inc. (CGI) (TSX: GIB.A; NYSE: GIB) today announced the signing of a memorandum of understanding for a 10-year information technology (IT) outsourcing agreement valued at CDN$200 million.
The final contract, expected to be signed in October 2002, will lead to the creation of 60 additional jobs while maintaining 100 existing jobs at CGI's application development and technology support centre in Saguenay.
"We are pleased to team up with another outstanding Quebec-based company to create jobs in the region and develop new skills in the workforce," said Travis Engen, president and CEO of Alcan Inc. "I am confident that CGI will continue to provide us with top-notch services. By outsourcing certain IT services, we will have a more efficient IT infrastructure and a greater return on our IT investment."
The CGI solution was selected after a rigorous analysis of Alcan's IT requirements and after reviewing all alternatives. CGI will manage Alcan's help desk operations and provide user support, data centre management services as well as electronic messaging systems. It will serve Alcan's operations in Quebec, British Columbia as well as some operations in the United States.
Serge Godin, chairman and CEO of CGI added, "We are very proud of our long partnership with Alcan, one that dates back almost to our beginnings. Our ability to serve our clients within North America from Saguenay is something upon which we want to expand further. We employ dedicated, highly-skilled professionals in the region and, thanks to Alcan, we look forward to growing this team as we continue to serve our clients worldwide from our centre in the Saguenay."
From its development centre, CGI has served Alcan for over 20 years, providing everything from consulting services to basic infrastructure support to delivering IT projects. This initiative will permit CGI to expand its center from 200 to 260 employees.
About Alcan
Alcan is a multinational, market-driven company and a global leader in aluminum and specialty packaging with 2001 revenues of US$12.6 billion. With world-class operations in primary aluminum, fabricated aluminum as well as flexible and specialty packaging, Alcan is well positioned to meet and exceed its customers' needs for innovative solutions and service. Alcan employs 48,000 people and has operating facilities in 38 countries.
About CGI
Founded in 1976, CGI is the fourth largest independent information technology services firm in North America, based on its headcount. CGI and its affiliated companies employ 14,600 professionals. CGI's annualized revenue run-rate totals CDN$2.1 billion (US$1.3 billion). CGI's order backlog currently totals CDN$10.4 billion (US$6.7 billion). CGI provides end-to-end IT services and business solutions to more than 3,000 clients worldwide from more than 60 offices. CGI's shares are listed on the TSX (GIB.A) and the NYSE (GIB). They 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
Statements made in this press release which describe the Company's intentions, expectations or predictions may be forward-looking statements within the meaning of securities laws. The Company cautions that, by their nature, forward-looking statements involve risk and uncertainty and that the Company's results could differ materially from those expressed or implied in such statements. Reference should be made to the most recent Form 10-Q for a summary of major risk factors.
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For more information:
ALCAN
Media Contact:
Margot Tapp
Head, communications and information
(418) 699-4005
Investment Community Contact:
Jo-Ann Longworth
Director, investor relations
(514) 848-8368
CGI
Media Contact:
Eileen Murphy
Director, media relations
(514) 841-3430
Investment Community Contact:
Julie Creed
Vice President, investor relations
(312) 201-4803
Ronald White
Director, investor relations
(514) 841-3230
