Determined to continue demonstrating its leadership in financial services, Desjardins has concluded a strategic alliance with CGI which will improve Desjardins' positioning in data processing management. Through this alliance, established for a 10-year period and worth more than $1 billion, Desjardins delegates the management of its data processing operations to CGI while keeping control of its technological orientations. Furthermore, Desjardins will look into the possibility of teaming up with CGI to develop the marketing of its data processing applications in the financial institutions market.
"Desjardins has chosen CGI because it offers not only the best conditions for ensuring that we will maintain our leadership in technology, but also attractive business opportunities for the greater benefit of our 5 million members, both individuals and businesses," stated Alban D'Amours, President of the Mouvement des caisses Desjardins.
"We are very pleased that Mouvement Desjardins has selected CGI to be part of this long-term information technology partnership," said Serge Godin, CGI's chairman, president and CEO. "Our professionals will spare no effort in helping Mouvement Desjardins meet its strategic objectives. We also wholeheartedly welcome the Desjardins professionals who are now joining us. They are part of a strong and multidisciplinary team that will help CGI consolidate its position as a true leader in the North American information technology industry."
Under the agreement, CGI will assume the management of Desjardins' data processing operations and will take on 550 Desjardins employees who work in this sector. CGI has agreed to protect these jobs for a minimum period of 12 months and offer the employees concerned comparable working conditions.
Desjardins and CGI will begin the due diligence process immediately and hope to reach a contractual agreement by spring 2001.
With assets of $76 billion and over 39,000 employees, the Mouvement des caisses Desjardins is the leading financial institution and the largest private employer in Québec. It is the only institution to offer, through its 1,143 local caisses distributed all across Québec, a wide range of financial services. The mission of the Mouvement Desjardins is to contribute to improving the economic and social conditions of individuals and communities. Desjardins' website is at www.desjardins.com.
About CGI
Founded in 1976, CGI is the largest independent Canadian information technology consulting firm and the fifth largest in North America, based on its revenue run rate of CDN$1.4billion. CGI's order backlog totals approximately CDN$7.0billion. CGI has close to 10,000professionals and provides end-to-end IT services and business solutions to 2,500 clients in Canada, the United States and more than 20countries 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 100index as well as the S&P/TSE Canadian Information Technology index. Web site : www.cgi.ca
Information:
Mouvement Desjardins
André Chapleau
Director Communications
(514) 281-7229
1-800-363-6744, ext. 7229
Ronald White
Director, investor relations
(514) 841-3230
ronald.white@cgi.ca
Eileen Murphy
Director, media relations
(514) 841-3430
eileen.murphy@cgi.ca
