14.05.2007 20:05:00
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CACI Announces Intent to Acquire Institute for Quality Management, Inc.
ARLINGTON, Va., May 14 /PRNewswire-FirstCall/ -- CACI International Inc announced today that it has signed a definitive agreement to purchase the stock of the Institute for Quality Management, Inc. (IQM). IQM is a leading provider of performance management consulting and operational support services to the intelligence community and homeland security markets. Terms of the transaction were not disclosed. Closing is anticipated during CACI's fourth fiscal quarter that ends June 30, 2007.
Headquartered in Fairfax, Virginia, IQM offers solutions in the following areas: organizational performance management, development, and training; financial and program management; process improvement and ISO systems and certification; and intelligence production. IQM's revenue is expected to be approximately $20 million for its fiscal year ending December 31, 2007. CACI anticipates the transaction will be accretive to CACI's fiscal year ending June 30, 2008.
IQM has approximately 60 employees, all of whom hold Top Secret or higher clearances. Major clients include national intelligence agencies, the Department of Homeland Security, and the U.S. Army Intelligence and Security Command. With the acquisition, CACI will broaden its presence in the high- growth intelligence and national security markets. The acquisition will bring CACI key new clients who have expanding requirements and priority funding, and who complement CACI's current client base.
According to CACI President of U.S. Operations Paul Cofoni, "The acquisition of the Institute for Quality Management, Inc. provides CACI with more capabilities we can offer clients in the key markets of intelligence and homeland security. This is an important strategic step for CACI in continuing to enhance shareholder value, accelerate growth, and increase our scale, both organically and through acquisitions."
Dr. J.P. (Jack) London, CACI Chairman, President, and CEO, said, "We are delighted to welcome the talented team from Institute for Quality Management, Inc. to our valued employee population. IQM's employee expertise, experience, and in-depth knowledge of customer missions have been major factors in its successful growth. Looking ahead, IQM is ideally positioned to benefit from increased demand for services from the U.S. Intelligence Community and the Department of Homeland Security."
According to Dr. Thomas Mink, IQM's founder, President, and CEO, "We are enthusiastic about becoming part of CACI. Like IQM, CACI has a strong, value- driven culture that permeates the organization, and CACI will provide the leadership under which IQM strengths can be leveraged for the benefit of CACI and our customers. CACI is a world-class company whose commitment to its customers, employees, investors, and the community in which it serves is indisputable. This acquisition creates value-added solutions to support our nation's intelligence and homeland security communities and their crucial missions to protect our country's future."
CACI International Inc provides the IT and network solutions needed to prevail in today's new era of national security, intelligence, and e- government. From systems integration and managed network solutions to knowledge management, engineering, simulation, and information assurance, we deliver the IT applications and infrastructures our federal customers use to improve communications and collaboration, secure the integrity of information systems and networks, enhance data collection and analysis, and increase efficiency and mission effectiveness. Our solutions lead the transformation of national security and intelligence, assure homeland security, enhance decision-making, and help government to work smarter, faster, and more responsively. CACI is a member of the Fortune 1000 Largest Companies of 2007 and the Russell 1000 index. CACI provides dynamic careers for approximately 10,100 employees working in over 120 offices in the U.S. and Europe. CACI is the IT provider for a networked world. Visit CACI on the web at http://www.caci.com/.
There are statements made herein which do not address historical facts and, therefore could be interpreted to be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are subject to factors that could cause actual results to differ materially from anticipated results. The factors that could cause actual results to differ materially from those anticipated include, but are not limited to, the following: regional and national economic conditions in the United States and the United Kingdom, including conditions that result from terrorist activities or war; failure to achieve contract awards in connection with recompetes for present business and/or competition for new business; the risks and uncertainties associated with client interest in and purchases of new products and/or services; continued funding of U.S. Government or other public sector projects in the event of a priority need for funds, such as homeland security, the war on terrorism or rebuilding Iraq; government contract procurement (such as bid protest, small business set asides, etc.) and termination risks; the results of government investigations into allegations of improper actions related to the provision of services in support of U.S. military operations in Iraq; individual business decisions of our clients; paradigm shifts in technology; competitive factors such as pricing pressures and/or competition to hire and retain employees (particularly those with security clearances); material changes in laws or regulations applicable to our businesses, particularly in connection with (i) government contracts for services, (ii) outsourcing of activities that have been performed by the government, and (iii) competition for task orders under Government Wide Acquisition Contracts ("GWACs") and/or schedule contracts with the General Services Administration; our own ability to achieve the objectives of near term or long range business plans; and other risks described in the company's Securities and Exchange Commission filings.
For investor information contact: David Dragics, Senior Vice President, Investor Relations (703) 841-7835, ddragics@caci.com For other information contact: Jody Brown, Executive Vice President, Public Relations (703) 841-7801, jbrown@caci.com
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