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EDS COMPLETES ACQUISITION OF MCDONNELL DOUGLAS SYSTEMS INTEGRATION

    EDS COMPLETES ACQUISITION OF MCDONNELL DOUGLAS SYSTEMS INTEGRATION
    DALLAS, Nov. 4 /PRNewswire/ -- EDS took a major step toward expanding its services and developing a complementary product strategy today by completing the acquisition of McDonnell Douglas Systems Integration Company, the company announced today.
    As part of the agreement, more than 2,000 MDSI employees in such businesses as manufacturing, insurance, state and local government and communications will join the EDS team.  These lines of business will complement an already aggressive EDS presence in each of these market segments.
    The acquisition adds to EDS' portfolio of products and services one of the fastest-growing, computer-aided design and manufacturing (CAD/CAM) products in the world today -- Unigraphics.  This world-class integrated design, engineering and manufacturing software system is used in producing a wide range of industrial equipment and consumer goods, from aerospace products to automobiles to plastic kitchenware.
    "EDS' acquisition of MDSI fits well with our vision of open systems and platform independence for the manufacturing industry," said Hank Johnston, president of EDS' Manufacturing and Distribution Services business unit.  "It's a major step in our strategy to offer the full range of business solutions to manufacturers."
    Included in the MDSI acquisition are Shape Data, a solids modeling research, development and engineering company in Cambridge, England, and Graphics Design System (GDS), another CAD product used for architectural design and engineering, facility layouts, space planning, utility mapping and general drafting.
    EDS will distribute and support Unigrahics and GDS on an international scale through its international business operations. This new distribution strategy will essentially double the accessibility of both products, thus expanding sales in international markets.
    The acquisition of MDSI is the latest in a series of strategic initiatives completed by EDS within the past 18 months.  Partnerships have been set with ASK Computer Systems; the Thomas Group, Inc., a consultant group specializing in improving process cycle time; and Consilium, Inc., a leading provider of integrated plant floor management software.  Johnston says this is a powerful combination that establishes EDS as a leader in providing services to the manufacturing industry.
    "Acquiring Unigraphics significantly expands and strengthens EDS' position in the manufacturing marketplace, adding the aerospace and consumer products sectors to its already strong automotive industry presence," said John Mazzola, president of MDSI.  Unigraphics will be marketed by the Unigraphics division of EDS.
    EDS provides systems integration, design, management and consulting services that enable companies to achieve and sustain competitive advantage by improving their market reach, customer response time, product quality and cost.
    EDS has operations in 28 countries, employs 66,000 people worldwide and is the leader in providing information technology services.  Stock reflecting EDS' performance is traded on the New York Stock Exchange under the symbol GME.  EDS reported revenues of $6.1 billion in 1990.
                       EDS IN MANUFACTURING
         BUILDING STRENGTH THROUGH STRATEGIC PARTNERSHIPS
    October, 1989    EDS forms strategic business unit around
                     manufacturing and distribution services expertise.
    March, 1990      EDS partners with THOMAS GROUP INC. (TGI), adding
                     TGI expertise in reducing time needed for variety
                     of manufacturing processes to EDS offering.
    September, 1990  EDS partners with ASK COMPUTER SYSTEMS to
                     jointly market leading management information
                     system to manufacturers.
    February, 1991   SIGNETICS contract solidifies EDS presence in
                     strategic Silicon Valley.
    September, 1991  EDS partners with Consilium, leading developer of
                     integrated plant floor management software with
                     43 percent market share.
    October, 1991    EDS gains 4.7 percent of $10.5 billion/year CAD/CAM
                     market with purchase of MCDONNELL DOUGLAS SYSTEMS
                     INTEGRATION and its Unigraphics capabilities, the
                     fastest growing CAD system in the industry.
    -0-                   11/4/91
    /NOTE TO THE EDITOR:  Artwork is available on request/
    /CONTACT:  Ken Smalling of EDS, 214-661-6188/
    (GME) CO:  EDS; McDonnell Douglas Systems Integration Company ST:  Texas IN: SU:  TNM TS -- NY044 -- 0718 11/04/91 12:09 EST
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Date:Nov 4, 1991
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