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Gold/Mining/Energy : CGI Group (GIB.A) - -- Ignore unavailable to you. Want to Upgrade?

To: Ron Everest who wrote (167)	1/6/1998 3:18:00 AM
From: Gary H	Read Replies (2) \| Respond to of 1673

To Ron & BM, Somewhere along the way I was left with impresion that a lot of the older coding is in Cobol and that cobal programs from back in that era are somewhat scarse and they would be looking at premium wages for such people. How true is this if at all? It was also said, that getting down to the line premium programers could name there own price. If true, how would Y2K CO.s handle this when it comes? Those that are getting $45-60 now would be lokking for $100-$120?hr. Enlighten me on this. Cheers,

To: Ron Everest who wrote (167)	1/6/1998 8:49:00 AM
From: BM	Respond to of 1673

The Financial Post on the BCE-CGI deal Tuesday, January 6, 1998 BCE raises stake in CGI Group By PHILIP DEMONT Telecom Reporter The Financial Post BCE Inc. yesterday raised its stake in high-flying CGI Group Inc. in a complex deal worth about $335 million in cash and stock. If completed, the agreement in principle would give BCE 43% of CGI, with an option to buy another 13% of the Montreal-based information technology consulting company over the next eight years. "This deal will complement our existing operations," said Jean Monty, BCE's president and chief operating officer. BCE currently owns 23% of CGI. In the new deal, BCE will buy six million CGI class A shares for $22.98 each from a group of investment brokers who acquired 10.5 million shares from Teleglobe Inc. late last year. The investment firms still intend to sell the other 4.5 million shares to the public in the next few months. In a related transaction, BCE plans to roll its Bell Sygma subsidiary into CGI in exchange for a further 8.6 million class A shares. Finally, in yesterday's agreement, BCE will hold an option to buy more CGI shares for two years from the beginning of 2004. CGI's revenue is expected to reach $550 million in fiscal 1998 (ended Sept. 30), up from $122 million in 1996. The company already has a relationship with Bell Sygma, which in November 1995 invested $18.4 million in return for 26.5% of CGI. The addition of Bell Sygma's revenue will push the firm above $1 billion in sales, said Serge Godin, CGI's chairman and chief executive officer. "This will allow us to bid on very large-scale projects." As part of the deal, BCE will receive one more seat on CGI's board, bringing its total to three. Both sides said the incorporation of CGI into BCE will not threaten CGI's reputation for aggressiveness. BCE shares (BCE/TSE) closed yesterday at $48.20, up 70›. CGI's stock (GIBa/TSE) was halted at the opening. It last traded at $33.30 Dec. 30. [The last sentence is an error - it last traded for $23.30 on Jan 2]