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CGI and long-time client DB Schenker, a leading transport and logistics company, have renewed an outsourcing agreement [http://www.cgi.com/en/it-outsourcing-services] for the overall IT management of the company's operations in Sweden and other regions in Europe. CGI will continue to focus on meeting DB Schenker's needs for modern, efficient and business critical IT support. The four-year agreement is valued at 350 million Swedish Krona (approx. CAD $53 million), with an option to extend for two years.
The agreement covers application management, workplace services and service desk support and is based on a "capacity on demand" approach, which means the services delivered will vary by demand. CGI has significantly evolved this approach in recent years because of the substantial cost savings it provides for clients. DB Schenker will benefit from flexible, scalable delivery that adapts to changing needs.
"We have rigorous requirements for stable and secure IT delivery, and our mission-critical applications must be available 24x7," said Stig Broberg, who oversees IT procurement for DB Schenker in Sweden. "It is extremely important to us that we have an IT partner that understands our business and provides consistent, high quality IT support that evolves with our needs. Through our long-time collaboration with CGI, we have benefitted from not only high-quality but cost-effective IT service delivery."
"DB Schenker has a great understanding of the strategic use of IT in driving its performance and growth," said Pär Fors, Senior Vice-President, CGI, Sweden. "We have developed a very close relationship with DB Schenker over the course of our long-term partnership, as well as deep knowledge of the company's business. This level of trust and confidence led to the renewal, and we look forward to continuing to help address DB Schenker's current and future needs."
About DB Schenker
DB Schenker is part of Deutsche Bahn Group and is a leading provider of international transport and logistics services. With approximately 95,000 employees around the world, the company offers advanced logistics and transport services that meet customer demands for quality, simplicity and environmental responsibility.
Founded in 1976, CGI Group Inc. is the fifth largest independent information technology and business process services firm in the world. Approximately 68,000 professionals serve thousands of global clients from offices and delivery centers across the Americas, Europe and Asia Pacific, leveraging a comprehensive portfolio of services including high-end business and IT consulting, systems integration, application development and maintenance, infrastructure management as well as a wide range of proprietary solutions. With annualized revenue in excess of CA $10 billion and an order backlog exceeding CA $20 billion, CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Website: http://www.cgi.com.
All statements in this press release that do not directly and exclusively relate to historical facts constitute "forward-looking statements" within the meaning of that term in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended, and are "forward-looking information" within the meaning of Canadian securities laws. These statements and this information represent CGI's intentions, plans, expectations and beliefs, and are subject to risks, uncertainties and other factors, of which many are beyond the control of the Company. These factors could cause actual results to differ materially from such forward-looking statements or forward-looking information. These factors include but are not restricted to: the timing and size of new contracts; acquisitions and other corporate developments; the ability to attract and retain qualified members; market competition in the rapidly evolving IT industry; general economic and business conditions; foreign exchange and other risks identified in the press release, in CGI's annual and quarterly Management's Discussion and Analysis ("MD&A"), in CGI's Annual Report, in CGI's Annual Report on Form 40-F filed with the U.S. Securities and Exchange Commission (filed on EDGAR at http://www.sec.gov), and in the Company's Annual Information Form filed with the Canadian securities authorities (filed on SEDAR at http://www.sedar.com), as well as assumptions regarding the foregoing. The words "believe," "estimate," "expect," "intend," "anticipate," "foresee," "plan," and similar expressions and variations thereof, identify certain of such forward-looking statements or forward-looking information, which speak only as of the date on which they are made. In particular, statements relating to future performance are forward-looking statements and forward-looking information. CGI disclaims any intention or obligation to publicly update or revise any forward-looking statements or forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law. Readers are cautioned not to place undue reliance on these forward-looking statements or on this forward-looking information.
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