CGI Group Inc. obtains regulatory approval for the renewal of its normal course issuer bid
February 01 2007 - 4:30PM
PR Newswire (US)
Stock Market Symbols GIB.A (TSX) GIB (NYSE) MONTREAL, Feb. 1
/PRNewswire-FirstCall/ -- On January 30, 2007, CGI Group Inc. (CGI)
(TSX: GIB.A; NYSE: GIB) announced that the Company's Board of
Directors had authorized the renewal of its Normal Course Issuer
Bid. Today, the Company received regulatory approval from the
Toronto Stock Exchange for its Normal Course Issuer Bid renewal.
The Company's management and Board of Directors believe that the
repurchase of Class A Shares of the Company, at current prices, is
a proper use of the Company's funds, and the normal course issuer
bid will provide the Company with the flexibility to purchase Class
A Shares from time to time as the Company considers it advisable,
as part of its strategy to increase shareholder value. Under the
terms of the bid as approved by the Toronto Stock Exchange: - the
Company may purchase of up to 10% of the public float of the
Company's Class A subordinate shares during the next year; - The
Issuer Bid enables CGI to purchase on the open market through the
facilities of the Toronto Stock Exchange up to 29,091,303 Class A
subordinate shares of the Company for cancellation. At the close of
business on January 26, 2007, there were 295,034,164 Class A
subordinate shares of the Company outstanding of which
approximately 98.6% were widely held; - Class A subordinate shares
of the Company may be purchased under the Issuer Bid commencing
February 5, 2007 (as opposed to February 3, 2007 as initially
announced) and ending no later than February 4, 2008 (as opposed to
February 2, 2008 as initially announced), or on such earlier date
when the Company completes its purchases or elects to terminate the
bid. Under the terms of its existing normal course issuer bid, the
Company has purchased for cancellation 10,270,400 Class A Shares
since February 3, 2006. These purchases were made through the
facilities of the Toronto Stock Exchange at an average purchase
price of $7.25204. About CGI Founded in 1976, CGI Group Inc. is one
of the largest independent information technology and business
process services firms in the world. CGI and its affiliated
companies employ approximately 25,000 professionals. CGI provides
end-to-end IT and business process services to clients worldwide
from offices in Canada, the United States, Europe, Asia Pacific as
well as from centers of excellence in North America, Europe and
India. CGI's annualized revenue run rate stands at $3.6 billion
(US$3.1 billion) and at December 31st, 2006, CGI's order backlog
was $12.6 billion (US$10.9 billion). CGI shares are listed on the
TSX (GIB.A) and the NYSE (GIB) and are included in the S&P/TSX
Composite Index as well as the S&P/TSX Capped Information
Technology and MidCap Indices. Website: http://www.cgi.com/.
Forward-Looking Statements 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 the Ontario Securities Act, as amended. These
statements and this information represent CGI Group Inc.'s ("CGI")
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 and 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
information technology industry; general economic and business
conditions, foreign exchange and other risks identified in the
Management's Discussion and Analysis ("MD&A") in CGI's Annual
Report or Form 40-F filed with the U.S. Securities and Exchange
Commission (filed on EDGAR at http://www.sec.gov/), and in CGI's
annual and quarterly MD&A and 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. Except to the extent required by law,
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. Readers are cautioned not to place undue reliance on
these forward-looking statements or on this forward-looking
information. DATASOURCE: CGI GROUP INC. CONTACT: Investor
Relations: Lorne Gorber, Vice-President, Global Communications and
Investor Relations, (514) 841-3355, ; Media Relations: Philippe
Beauregard, Director, Corporate Communications and Public Affairs,
(514) 841-3218,
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