Stock Market Symbols
GIB.A (TSX)
GIB (NYSE)
MONTREAL, Jan. 25 /PRNewswire/ - CGI Group Inc.
(TSX: GIB.A; NYSE: GIB) (the "Company") announced today that its
Board of Directors has authorized the renewal of its Normal Course
Issuer Bid ("NCIB"), subject to acceptance by the Toronto Stock
Exchange (the "TSX").
The Company's management and Board of Directors believe that the
repurchase of Class A subordinate voting shares ("Class A
Shares") of the Company is a proper use of the Company's funds, and
the NCIB 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.
At the close of business on January 24, 2011, there were
234,773,179 Class A Shares outstanding, of which approximately
98% were widely held (representing a public float of 230,065,476
Class A Shares).
Under the terms of the NCIB, subject to TSX acceptance, the
Company may purchase for cancellation on the open market through
the facilities of the TSX and the New York Stock Exchange and
through alternative trading systems (such as Alpha ATS) up to
23,006,547 Class A Shares, representing 10% of the Company's
public float as of the close of business on January 24, 2011.
The average daily trading volume (the "ADTV") of the Class A
Shares on the TSX for the past six months (excluding purchases
under the NCIB) was 837,951 Class A Shares. Consequently and
in accordance with the requirements of the TSX, the daily purchase
limit under the NCIB on the TSX will be 209,487 Class A
Shares, representing 25% of the ADTV. All Class A Shares will
be purchased at their market price at the time of acquisition. All
shares purchased under the NCIB will be cancelled.
Purchases of Class A Shares may commence on
February 9, 2011 and will expire on the earlier of
February 8, 2012 or the date on which the Company has either
acquired the maximum number of Class A Shares allowable under
the NCIB or otherwise decided not to make any further repurchases
under the NCIB.
Under the terms of its NCIB that commenced on February 9,
2010 and will expire on February 8, 2011, the Company had
purchased, as of January 24, 2011, an aggregate of 23,143,040
Class A Shares for cancellation. These purchases were made
through the facilities of the TSX at a weighted average purchase
price, as of January 24, 2011, of $15.55.
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 31,000
professionals. CGI provides end-to-end IT and business process
services to clients worldwide from offices and centers of
excellence in Canada, the United States, Europe and Asia
Pacific. As at December 31, CGI's annualized revenue
was approximately C$4.5 billion and its order backlog was
approximately C$13.1 billion. CGI shares are listed on the TSX
(GIB.A) and the NYSE (GIB) and are included in both, the Dow Jones
Sustainability Index and the FTSE4Good Index. Website:
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
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 Report on Form 40-F filed with the
U.S. Securities and Exchange Commission (filed on EDGAR at
www.sec.gov), 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. You will find more information about
the risks that could cause our actual results to differ
significantly from our current expectations in the Risks and
Uncertainties section.
SOURCE CGI GROUP INC.
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