July 29, 2005
Top Stories
THE NEW OUTSOURCING ALERT - COMING AUGUST 4
Outsourcing Alert has a new look and--beginning next Thursday, August 4--a much bigger audience. Through an alliance with the Outsourcing Center, we'll be reaching some 45,000 key decisionmakers in the industry every week. For information about how you can join us as a charter sponsor, send us an e-mail.
FISERVE TO ACQUIRE BILLMATRIX CORP.
Fiserv, Inc. announced that it signed a definitive agreement to acquire BillMatrix Corp., a provider of expedited electronic bill payment services. The purchase price is approximately $350 million, and the transaction is expected to close in the third quarter. Fiserve says it expects the transaction to be neutral to earnings in 2005 and slightly accretive to earnings in 2006. Full Story
UNISYS WINS AWARD FROM MICROSOFT
Unisys Corporation has won Microsoft Corporation’s Winning Customer Award for outstanding competitive efforts in the High Performance Computing (HPC) category for a database that helps leading Dutch banks better manage their payments products for greater efficiencies.
Posted by jbowles at 11:00 AM
Financial Results Wrapup
Automatic Data Processing, Inc. reported 10% revenue growth, to $8.5 billion, and 15% earnings per share growth for the fiscal year ended June 30, 2005. Pretax earnings grew 12% and net earnings grew 13% compared with last year. Diluted earnings per share of $1.79 increased 15% from $1.56 per share a year ago on fewer shares outstanding...Gartner, Inc. reported results for the second quarter ended June 30, 2005, the company's first period that included operations from META Group, Inc., which Gartner acquired on April 1, 2005. Total revenue for the second quarter of 2005 was $274.6 million, representing a 21% increase from $227.9 million in the second quarter of 2004. GAAP EPS was $(0.01) and normalized EPS was $0.12...Cognizant Technology Solutions Corporation announced revenue for the second quarter increased to $211.7 million, up 53% from $138.7 million in the second quarter of 2004. Net income for the second quarter increased to $36.0 million, or $0.25 per diluted share compared to $23.8 million or $0.17 per diluted share in the second quarter of 2004...ICT GROUP, INC. reported revenue for the 2005 second quarter increased 28% to $97.0 million compared to $75.5 million in the prior-year period. Net income for the second quarter of 2005 was $1.7 million, or $0.14 per diluted share, compared to $350,000, or $0.03 per diluted share, in last year's second quarter...Ceridian Corporation reported second quarter 2005 net earnings of $33.5 million, or $.22 per diluted share, on revenue of $358.0 million. For the second quarter of 2004, the net loss was $2.3 million, or $.02 per diluted share, on revenue of $316.5 million...PeopleSupport reported record revenues of $14.7 million for the second quarter of 2005, an increase of 41% over the second quarter of 2004 and 5% over the first quarter of 2005. Net income was $2.2 million or $0.12 per diluted share, as compared with net income of $1.3 million or $0.09 per diluted share for the second quarter of 2004, representing an increase of 74% year-over-year.
Posted by jbowles at 10:59 AM
New Business
Whirlpool Corporation has selected Convergys as its human resource business process outsourcing provider. With annual sales of over $13 billion and nearly 50 manufacturing and technology research centers around the globe, Whirlpool markets its brands to consumers in more than 170 countries.
First Consulting Group, Inc. has signed a long term information technology outsourcing agreement with Continuum Health Partners in New York City. The contract begins August 1, 2005 and will extend for five years. It is estimated to be worth $10.8 million for the remainder of 2005, and is expected to be in the range of $26.2 million for 2006.
Affiliated Computer Services has been awarded a contract extension with Anthem Blue Cross and Blue Shield. The three-year extension allows ACS to continue providing comprehensive business process
outsourcing (BPO) services for the Indiana Comprehensive Health Insurance Association.
Posted by jbowles at 10:58 AM
Alliances
Outsource Partners International (OPI), the industry's largest service provider focused solely on finance and accounting outsourcing, and Salis, Inc., a leading state and local tax management services firm focused on sales tax, use tax, and exemption certificate management, announce the formation of a strategic alliance. The companies believe the addition of sales and use tax management to traditional finance and accounting outsourcing will allow this alliance to deliver a comprehensive and flexible solution set that meets the needs of client companies.
Posted by jbowles at 10:56 AM
Advertising Information
For advertising information and rates, contact Robin Carey of Custom Publishing Group. Tel: (973) 763-2882 or send an email.
Posted by jbowles at 09:41 AM
July 22, 2005
Top Stories
About Our New Look
Outsourcing Alert has a new look and coming--in a couple of weeks--a much bigger audience. Through an alliance with the Outsourcing Center, we'll be reaching some 45,000 key decisionmakers in the industry every week. For information about how you can join us as a sponsor, send us an e-mail.
Hewitt Forms Japanese Joint Venture
Hewitt Associates has formed a joint venture with Human Link (HLC), a Japanese personnel administration firm established by Mitsubishi Corporation, to capitalize on the growing demand for HR outsourcing services in Japan. The new company, Hewitt HLC, will target multinational enterprises in Japan for human resources services, including personnel, compensation and benefits outsourcing services. Full Story
Posted by jbowles at 11:01 AM
Financial Results Wrapup
Unisys Corporation reported a second-quarter 2005 net loss of $27.1 million, or a loss of 8 cents per share, compared with second-quarter 2004 net income of $19.4 million, or 6 cents per share...Acxiom Corporation announced first quarter revenue of $310.3 million, up 7 percent from $289.0 million in the first quarter a year ago. Diluted earnings were per share of $.07, down 50 percent from $.14 the year before...Keane Inc.'s revenues for the second quarter were $237.8 million, an increase of 2.6 percent from revenues of $231.7 million in the second quarter of 2004. Net income was $7.0 million, a decrease of 12.7 percent compared to net income of $8.1 million in the second quarter last year...Fiserv, Inc. announced net income per share-diluted from continuing operations for the second quarter of 2005 was $0.59 per share, compared to $0.49 per share for the second quarter of 2004. Processing and services revenues were $913.1 million, an increase of 10% over the second quarter of 2004.
Posted by jbowles at 10:59 AM
New Business
EDS has been awarded a contract valued at $170 million, if all options are exercised, to implement a new state-of-the-art Medicaid Management Information System (MMIS) for the Commonwealth of Kentucky.
The Los Angeles County Department of Public Social Services (DPSS) has exercised its option to extend the Los Angeles Eligibility, Automated Determination, Evaluation and Reporting (LEADER) contract with Unisys Corporation for two years. The two option years – valued at an estimated $39.7 million – took effect May 2005 and extend the contract through April 2007.
Hewitt Associates will provide comprehensive HR business process outsourcing (BPO) services to Mervyns, a California-based retailer with more than 250 department stores in 13 states. Mervyns represents Hewitt's second HR BPO retail client, joining Circuit City.
Affiliated Computer Services has been awarded a three-year contract to provide student loan servicing for the University of Illinois (UI) System, a preeminent public university consisting of three main campuses in Illinois. ACS will provide comprehensive loan servicing and management applications to support the UI System's federal and private student loan portfolio.
BT has selected Nortel to supply equipment for its range of hosted Business IP (Internet Protocol) telephony services, which are designed to run across BT's 21st Century Network
Ness Technologies, Inc., a global provider of IT solutions and services has been awarded, together with EDS Israel, an outsourcing contract with the First International Bank of Israel (FIBI). The project is valued at approximately $120 million (including hardware) over eight years.
Posted by jbowles at 10:45 AM
Advertising Information
For information and rates, contact Robin Carey of Custom Publishing Group. Tel: (973) 763-2882 or send an email.
Posted by jbowles at 10:06 AM
