ADC Agrees to Sell Customer Care and Billing Software Platforms; Advances ADC Strategy to Focus on Core Strengths in Global Network Infrastructure Products and Services.Business Editors/High-Tech Writers MINNEAPOLIS--(BUSINESS WIRE)--June 4, 2004 ADC (1) See A/D converter. (2) (Apple Display Connector) A peripheral connector from Apple that combines digital video display, USB and power in one cable. (Nasdaq:ADCT ADCT Adaptive Discrete Cosine Transform , www.adc.com) announced today it has entered into an agreement to sell its customer care and billing software division to Intec Telecom Systems
The transaction between ADC and Intec is expected to close in approximately 90 days and is subject to approval by Intec's shareholders as well as customary closing conditions. After the transaction is completed, Intec will assume control of the customer care and billing software offerings including approximately 600 employees, current relationships with existing software customers and related facility space. The purchase price for the transaction is $74.5 million, subject to purchase price adjustments, and is payable in cash. Other terms of the transaction were not disclosed. "This decision advances our strategy to focus ADC on our core strengths," said Robert E. Switz, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. for ADC. "Our product and service offerings are designed for the infrastructure layer of the network, which is the fundamental element that wireline, wireless, cable, enterprise, and broadcast networks require to scale services and function with high efficiency." ADC provides high-performing connectivity equipment, wireless coverage and capacity equipment, wireline access systems and integration services to deliver broadband services to homes and businesses. The customer care and billing software platforms include Singl.eView(R), a complete revenue, transaction, billing and service management solution that resides at the core of the OSS and business support systems (BSS See 802.11. BSS - Block Started by Symbol ). The software enables service providers to adopt any business model and allows users to deliver voice and content services; manage relationships with partners, content providers and customers; and build brand loyalty globally with a stable, always on, any pay platform. "We are pleased to acquire a software offering that is both robust from a technical standpoint and complements our existing offering," said Mike Frayne, chairman for Intec Telecom Systems. "New services such as 3G and broadband offerings are growing in popularity and most of these services demand new OSS technology. These platforms will help us meet the broad needs of service providers." In ADC's fiscal first half ended April 30, 2004, Singl.eView sales were approximately $35 million with an operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. of approximately $4 million, after direct expenses only. In ADC's fiscal year ended October 31, 2003, the Singl.eView product line generated sales of approximately $92 million and an operating loss of approximately $7 million, after direct expenses only. About Intec Telecom Systems Intec Telecom Systems (London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. code: ITL ITL The ISO 4217 currency code for the Italian Lira. .L) is a leading provider of Operational Support Systems (OSS) for telecoms companies, with more than 500 customer installations for its products worldwide. It is the leader, by market share, of packaged interconnect billing and settlement software, with more installations and more telecom operators, including many PTTs, using its solution than any competitor. Intec is also now a leader in "convergent mediation," with the December 2000 acquisition of Computer Generation, Inc., and a growing force in US CABS billing with the January 2001 acquisition of CHA Systems Inc. In June 2001, Intec acquired Dataphone Limited, a provider of several OSS solutions, including Fraud Management. About ADC ADC is a world leader in providing global network infrastructure products, services and software that enable the profitable delivery of high-speed Internet See broadband. , data, video, and voice services over our customers' unique networks. ADC (Nasdaq:ADCT) has sales into more than 90 countries. Learn more about ADC Telecommunications, Inc. at www.adc.com. |
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