Télébec, a wholly owned subsidiary of Bell Canada offering integrated telecommunications services in outlying regions of Quebec, and CGI have signed a contract, which was announced in January, based on 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 amount of approximately CDN$3.5 million per year for information technology development projects to be carried out by CGI.
As part of the contract, 80 former Télébec employees, including managers, analysts, programmers, technical specialists and operators, have joined CGI. The latter 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 and its subsidiaries offer integrated and innovative telecommunications solutions to customers in 300 Quebec municipalities. Télébec's 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.
Based on its annual revenue run-rate, CGI is the sixth largest independent information technology consulting firm in North America and the largest in Canada. It provides end-to-end IT services and business solutions to some 2,000 clients in the United States, Canada and 20 countries around the world. CGI has 9,000 professionals, an annualized revenue-run rate of CDN$1.5 billion and an order backlog totaling approximately CDN$7 billion. The company currently has proposals outstanding for an additional CDN$4 billion in potential large contracts. CGI's shares are listed on the New York Stock Exchange (GIB), as well as on the Toronto and Montreal exchanges (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:
Ronald White
Investor and Media Relations
(514) 841-3230
