Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Sili Investor who wrote (1056)	3/5/1999 8:45:00 AM
From: Gilbert Drapeau	Read Replies (1) \| Respond to of 1673

Portugal Telecom S.A. Selects CGI/CASE/IBM To Negotiate Long Term IS/IT Partnership MONTREAL, QUEBEC-- MARCH 5, 1999 Portugal Telecom Group announced that it has selected CGI and two other partners to negotiate the launch of two companies that will provide it with long term full IS/IT services. As part of the agreement, CGI, with IBM Global Services and Portuguese-based IS company Case, will provide Portugal Telecom Group with full IS/IT services and work with the client to address the needs of the Portugal market at large. The dollar value of the potential contract has not been disclosed. As part of the exclusive negotiations, CGI, its two partners and Portugal Telecom will seek to agree on the terms of a long-term contract, possibly extending over 10 years, based on which two separate companies will be established to provide the client with full IS/IT services. The first company will be responsible for applications development and maintenance and day-to-day management of Portugal Telecom Group's IS/IT operations. It will be managed jointly by CGI and Case, with CGI as lead contractor. The second company, managed by IBM, will have responsibility for the client's data centre operations. The intent is for the partners to provide seamless solutions and services to meet Portugal Telecom Group's current and future needs. "CGI is pleased that it was selected as a strategic partner of Portugal Telecom to fulfill this important contract," said Jean Brassard, CGI's President and Chief Operating Officer. "CGI's acquisition of Bell Sygma Telecom Solutions and Bell Sygma International has provided us with the critical mass, as well as the right combination of IT and telecom expertise, which we are leveraging to establish ourselves in the European market," he added. Through this transaction, Portugal Telecom Group aims to further enhance the efficiency of its IS/IT operations and its ability to address new business opportunities with small and medium enterprises and corporations. Over the next two months, CGI and its partners will conduct due diligence of Portugal Telecom Group's operations, while entering into formal negotiations with the aim of signing an agreement by the end of May 1999. CGI is the largest independent information technology services firm in Canada and the sixth largest in North America, based on its revenue run rate of $1.3 billion. CGI's order backlog totals $6.7 billion and the company currently has proposals outstanding for an additional $4 billion in potential large contracts. CGI has 8,000 professionals and 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. Its shares are listed on the New York Stock Exchange (GIB), as well as on the Toronto and Montreal exchanges (GIB.A). As of March 19, 1999, they will be included in the Toronto Stock Exchange's TSE 100, and they are currently part of the TSE 300 Composite and TSE 200 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 beachieved. 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.