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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE MONTH OF JULY, 2001
CGI GROUP INC.
(Translation of Registrant name into English)
1130 Sherbrooke Street West
5th Floor
Montreal, Quebec
Canada H3A 2M8
(Address of Principal Executive
Offices)
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Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F Form 40-F X
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Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934. Yes No: X
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ENCLOSURE: Press Release dated July 27, 2001
This Form 6-K is filed under the Securities Exchange Act of 1934, as
amended, and is incorporated by reference into the Registrant's
Registration Statement on Form F-4 (Reg. No. 333-58116) of and the related
prospectus, and into its Registration Statements on Form S-8, (Reg. Nos.
333-9106 and 333-13350).
PRESS RELEASE FOR IMMEDIATE PUBLICATION
CGI REGROUPS BUSINESS PROCESS SERVICES TO EXTEND OFFERING
ALSO ANNOUNCES ORGANIZATIONAL ADJUSTMENTS TO SUPPORT FUTURE GROWTH
MONTREAL, JULY 27, 2001 - CGI Group Inc. (NYSE: GIB; TSE: GIB.A) (CGI)
today announced the creation of a Business Process Services (BPS) unit by
formally concentrating its expertise to focus on serving this high growth
area. This initiative stemmed from growing client demand for increased
outsourcing services coupled with an opportunity to capitalize on CGI's
strong North American presence.
Business Process Services encompasses the outsourced processing of a
company's business processing functions and is a logical extension of CGI's
full IT outsourcing offering. Outsourced business processing is one of the
most rapidly growing areas as companies are concentrating on core business
activities while teaming up with BPS outsourcers in order to capitalise
upon cost savings generated by economies of scale and the sophisticated
execution of operations.
Gartner Group estimates that in 2000 the market for outsourced business
processing was US$244 billion, and at compound annual growth rate (CAGR) of
19.7%, is expected to be a US$600 billion worldwide market by 2005. Of this
market opportunity, outsourced operational and business administration
processes represents US$461.5 billion, or more than half. CGI will
primarily be pursuing industry-focused value add BPS in these areas, a
natural fit based on the company's deep industry expertise and work with
industry specific processes and applications.
CGI has been providing BPS to its clients for many years and current
revenues represent approximately CDN$200 million. Now, all capabilities
will be offered through one entity. As part of CGI's commitment to this
initiative, Joseph Saliba, formerly president of the outsourcing division
of SABRE in Dallas, will head this new BPS unit. "Our goal is to understand
our client's business functions and processes to assess how they can be
enhanced, ultimately having direct impact on their bottom line," said
Joseph Saliba, president, Business Process Services, CGI. "It means taking
a deeper pulse of day-to-day functions - the basic infrastructure of
running a company."
.../2
PRESS RELEASE - PAGE 2
Serge Godin, chairman, president and CEO of CGI said: "Our clients will
greatly benefit from this extended support that gives them a stronger
return on their technology investment. Business Process Services is a
logical extension of our service offering, as CGI already owns the
intellectual property for highly sophisticated software applications and
infrastructure. We see this initiative as a substantial driver of growth in
North America as we proactively seek to optimize our client's value chain."
CGI also announced, in light of today's closing of the IMRglobal merger,
some organizational adjustments to better reflect its evolving operations
and focus on high growth segments of the IT industry. As part of this new
structure, CGI's operations will be managed by three presidents, namely
Michael Roach, president Canada and Europe, Satish Sanan, president USA and
Asia Pacific and Joseph Saliba, president, Business Process Services. All
CGI global and corporate functions will remain the same.
ABOUT CGI
Founded in 1976, CGI is the fourth largest independent information
technology services firm in North America, based on its headcount of more
than 13,000 professionals. CGI's order backlog totals approximately US$5.5
billion (CDN$8.5 billion) and as at July 27, 2001, its revenue run-rate is
close to US$1.3 billion (CDN$2 billion). CGI provides end-to-end IT
services and business solutions to 3,000 clients in the United States,
Canada and more than 20 countries around the world. CGI's shares are listed
on the NYSE (GIB), as well as on the TSE (GIB.A). They are included in the
Toronto Stock Exchange's TSE 300 index as well as the S&P/TSE Canadian
Information Technology index. Web site: www.cgi.ca.
ALL STATEMENTS IN THIS PRESS RELEASE THAT DO NOT DIRECTLY AND EXCLUSIVELY
RELATE TO HISTORICAL FACTS CONSTITUTE "FORWARD-LOOKING" STATEMENTS WITHIN
THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. THESE
FORWARD-LOOKING STATEMENTS MAY INCLUDE (BUT ARE NOT LIMITED TO) THOSE
IDENTIFIED BY THE USE OF THE WORDS "ANTICIPATE," "BELIEVE," "ESTIMATE,"
"EXPECT," "INTEND," AND SIMILAR EXPRESSIONS. THESE FORWARD-LOOKING
STATEMENTS REPRESENT CGI GROUP INC.'S AND IMRGLOBAL CORP.'S CURRENT
INTENTIONS, PLANS, EXPECTATIONS, AND BELIEFS, AND ARE SUBJECT TO RISKS,
UNCERTAINTIES, AND OTHER FACTORS, OF WHICH MANY ARE BEYOND THE CONTROL OF
CGI GROUP INC. OR IMRGLOBAL CORP. THESE FACTORS COULD CAUSE ACTUAL RESULTS,
PERFORMANCE OR ACHIEVEMENTS OF CGI GROUP INC. OR IMRGLOBAL CORP. TO DIFFER
MATERIALLY FROM SUCH FORWARD-LOOKING STATEMENTS.
.../3
PRESS RELEASE - PAGE 3
THESE FACTORS INCLUDE AND ARE NOT RESTRICTED TO, COSTS RELATED TO THE
MERGER, THE RISK THAT THE EXPECTED BENEFITS OF THE MERGER MAY NOT BE
REALIZED, THIRD PARTIES MAY TERMINATE OR ALTER EXISTING CONTRACTS IF
NECESSARY CONSENTS ARE NOT OBTAINED, THE TIMING AND SIZE OF CONTRACTS,
ACQUISITIONS AND OTHER CORPORATE DEVELOPMENTS AND MERGER AND ACQUISITION
STRATEGY, THE ABILITY TO ATTRACT AND RETAIN QUALIFIED EMPLOYEES, MARKET
COMPETITION IN THE RAPIDLY-EVOLVING INFORMATION TECHNOLOGY INDUSTRY,
GENERAL ECONOMIC AND BUSINESS CONDITIONS, VARIABILITY IN OPERATING RESULTS,
POTENTIAL COST OVERRUNS ON FIXED-PRICE PROJECTS, AND OTHER RISKS IDENTIFIED
IN CGI GROUP INC.'S FORM F-4 REGISTRATION STATEMENT, WHICH INCLUDES THE
PROXY STATEMENT/PROSPECTUS FOR THE IMRGLOBAL SHAREHOLDERS SPECIAL MEETING,
AND IN CGI'S ANNUAL OR PERIODIC REPORTS OR FORMS 40-F (INCLUDING THE RISKS
DESCRIBED IN THE MANAGEMENT'S DISCUSSION AND ANALYSIS (MD&A)) FILED WITH
THE U.S. SECURITIES & EXCHANGE COMMISSION, CGI GROUP INC.'S ANNUAL
INFORMATION FORM FILED WITH CANADIAN SECURITIES COMMISSIONS, AND IMRGLOBAL
CORP.'S PERIODIC FILINGS WITH THE SEC UNDER THE SECURITIES EXCHANGE ACT OF
1934. ALL OF THE RISK FACTORS INCLUDED IN THESE FILED DOCUMENTS ARE
INCLUDED HEREIN BY REFERENCE.
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FOR MORE INFORMATION:
INVESTOR RELATIONS
CGI
Julie Creed - USA
Vice-president, investor relations
(312) 543-2942
Ronald White - Canada
Director, investor relations
(514) 841-3230
MEDIA RELATIONS
CGI
Eileen Murphy
Director, media relations
(514) 841-3430
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
as amended, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.
CGI Group Inc.
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(Registrant)
By:
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Name: Paule Dore
Title: Executive Vice President and
Chief Corporate Officer
and Secretary
Date: July 27, 2001