CGI (NYSE: GIB) (TSX: GIB.A) has been awarded a 10-year, US$43 million Managed Advantage contract from the City of Los Angeles for cloud-hosting and managed digital application services in support of the City’s accounting, budgeting and financial reporting systems. The award is the latest engagement between the City of Los Angeles and CGI, which also supports and maintains the municipality’s enterprise resource planning (ERP) systems through the CGI Advantage ERP platform.
“We need a partner that can learn our business and provide opportunities for efficiency or innovation. CGI has proven to be a trusted partner for us as we continue to use technology to improve the lives of residents, businesses and visitors across the City of Los Angeles,” said City of Los Angeles CIO Ted Ross.
The City’s award follows other CGI Advantage ERP on-premises clients that have elected to transition to CGI’s cloud and managed services to improve the stability of mission-critical business operations. The approach provides additional recovery and business continuity capabilities and provides the opportunity to shift the focus of the City’s professionals from IT back-end operations to more strategic initiatives.
CGI's cloud platform expedites the provisioning and scaling of infrastructure and applications. This approach reduces total cost of ownership by eliminating the need to purchase and maintain costly hardware and software. Through Managed Advantage, the City ensures its access to future upgrades and secures the availability of highly specialized IT talent while realizing operational savings. Government departments that use the system will see improved service and a more stable business IT platform. The cloud-based system will also strengthen and simplify the digital experience of members of the business community that conduct business with the City.
“Managed Advantage offers unmatched flexibility for reducing costs and mitigating risk for clients,” said Daniel Keene, Senior Vice-President of CGI’s Advantage ERP program. “We look forward to continuing our trusted partnership with the City of Los Angeles and are committed to putting our transformative cloud solution to work protecting these critical government functions.”
CGI helps clients reach their digital transformation needs by creating a clear roadmap for organizations to clearly focus on value and enable them to increase efficiency throughout the enterprise.
“We are proud to provide a service that is a critical part of the City’s digital transformation initiative which is providing more effective engagement with its citizens and other stakeholders,” said Dave Delgado, Senior Vice-President, U.S. West operations for CGI.
Founded in 1976, CGI Group Inc. is the fifth largest independent information technology and business process services firm in the world. Approximately 70,000 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 and infrastructure management, as well as 150 IP-based services and solutions. With annual revenue in excess of C$10 billion and an order backlog exceeding C$20 billion, CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Website: 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 www.sec.gov), and in the Company’s Annual Information Form filed with the Canadian securities authorities (filed on SEDAR at 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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