CGI today announced that it is joining the Quebec government's program aimed at establishing in Montreal a City of e-commerce and a pole of development of electronic business. By relocating its head office and the majority of its Montreal operations in this City of e-commerce, the company will be able to regroup some 2,400 employees under one roof before the end of the year 2002 and to grow this number to more than 4,000 over the next five years. In coming years, the company expects to significantly increase the number of its professionals working in e-business.
"We are proud to be associated with the Quebec government's program and the promoters as partner and first tenant of this very promising project," said Serge Godin, Chairman and CEO of CGI. "Between 1994 and 1999, CGI has maintained a revenue compound annual growth rate of 73%. In the current context, with e-business representing more than 20% of our revenue and growing rapidly, our presence in a neighbourhood with a strong critical mass of companies specializing in information technology represents a very interesting choice."
CGI offices will initially occupy a surface area of 400,000 square feet in the new City. CGI believes that this initiative will help in the development of new e-business projects, including in high-growth sectors such as e-commerce, application service provider (ASP) and customer relationship management (CRM) services.
CGI's presence in the City of e-commerce fits within its e-business strategy which was implemented over the past year. Since that time, CGI announced several partnerships with other e-business leaders including Microsoft Canada and Sun Microsystems, as well as SAP for an application service provider agreement.
In order to facilitate the training of CGI employees specializing in e-business and to accelerate projects within this sector, earlier this year CGI announced its two-year $50 million investment program. CGI will invest this sum to accelerate the Web-enabling of its business solutions, among others.
About CGI
CGI is the largest Canadian information technology consulting firm and the fifth largest independent IT consulting firm in North America, based on its revenue run rate of CDN$1.5 billion. Its order backlog totals 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 or Form 40F filed with the SEC and its Annual Information Form filed with Canadian securities commissions, which important factors are included here by reference.
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For more information:
CGI
Ronald White
Director, Investor and Media Relations
(514) 841-3230
ronald.white@cgi.ca
