CGI Group Will Deliver It Services To BCE Mobile.MONTREAL--(BUSINESS WIRE)--March 1, 1999--CGI Group Inc.(TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :GIB See NIST binary. .A.) (ME:GIB.A.) (NYSE NYSE See: New York Stock Exchange :GIB) BCE BCE abbr. 1. Bachelor of Chemical Engineering 2. Bachelor of Civil Engineering BCE Abbreviation for before the Common Era. Mobile Communications Inc. (Bell Mobility) and CGI Group Inc. today announced an agreement under which CGI CGI in full Common Gateway Interface. Specification by which a Web server passes data between itself and an application program. Typically, a Web user will make a request of the Web server, which in turn passes the request to a CGI application program. will provide Bell Mobility with the wireless carrier's information technology services. Under the memorandum of understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. , most of Bell Mobility's IS/IT staff will transfer to CGI. The balance will remain with Bell Mobility to provide the business direction and management of the function. Job losses are not anticipated as a result of the transfer. The ten-year agreement is expected to generate revenue in the order of CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. $100 million for CGI in the first 12 months, as Bell Mobility initiates the development of a new billing and customer care system and completes its Year 2000 readiness work. Annual revenue in subsequent years will be dependent on Bell Mobility's growth and specific future requirements. Bell Mobility expects to realize significant cost savings over the life of the partnership. "We wanted an IT partner with a solid track record and wide-ranging expertise in providing services to telecommunications companies around the world," said Randall Reynolds, 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. of Bell Mobility. "The CGI team not only fits that description, but it is also a strategic partner of the BCE family which opens up the possibility of more synergies across the BCE group. Together, we will enhance the efficiency of our IT operations and that, in turn, will enable us to serve our customers better. Serge Godin, Chairman of the Board and CEO of CGI, said: "CGI is pleased to have the opportunity to be Bell Mobility's long-term IT partner. Over time, we will leverage the IT expertise gained by serving other telcos around the world and put it to work for Bell Mobility. We look forward to serving the mission-critical IT needs of a client with a leading position in a dynamic industry that we know well." Mr. Godin said the partnership combines the strengths of two companies that lead their industries. "Bell Mobility is the leading wireless communications company in Canada and CGI is second to none in delivering IT solutions. We believe that by working closely together, our teams will create significant new value for our respective customers." Mr. Reynolds said the agreement holds great potential for Bell Mobility's IS/IT staff. "The people who are transferring to CGI will benefit by joining the leading IT company in Canada where they will be exposed to a broader range of professional challenges and rewarding career opportunities." The partners have entered into due diligence and expect to finalize the formal agreement by the end of the second quarter. The Bell Mobility family of companies provides a complete range of wireless communications solutions - cellular, 1- and 2-way paging, data, satellite, PCS (1) (Personal Communications Services) Refers to wireless services that emerged after the U.S. government auctioned commercial licenses in 1994 and 1995. This radio spectrum in the 1. and airline passenger communications services -to over 2 million Canadian customers. Bell Mobility companies are subsidiaries of BCE Mobile Communications Inc., a publicly-traded company (TSE, ME, NYSE; stock symbol BCX BCX Beloreck (Russia) ) which is 65 percent owned by BCE Inc. For more information on Bell Mobility, visit our website at http://www.bellmobility.ca. CGI is the largest independent information technology consulting Information technology consulting (IT consulting or business and technology services) is a field that focuses on advising businesses on how best to use information technology to meet their business objectives. firm in Canada and the sixth largest in North America, based on its revenue run rate of CDN$1.3 billion. CGI's order backlog totals CDN$6.7 billion and the company currently has proposals outstanding for an additional CDN$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 Canada, the United States and 20 countries around the world. Its shares are listed on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. (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 200 indexes. Web site: www.cgi.ca. All statements contained in this or any other press release of CGI Group Inc., and BCE Mobile Inc. or in any document filed by the Companies with the U.S. Securities and Exchange Commission, or in any other written or oral communication by or on behalf of the companies, that do not directly and exclusively relate to historical facts, constitute "forward looking statements" within the meaning of the U.S. Private Securities Litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. Report Act of 1995. These statements represent the Companies' 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 companies' 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 Companies' Annual Report. |
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