CGI extends IT infrastructure contract with Portage Mutual, but not with Desjardins

CGI Group Inc. (TSX: GIB.A; NYSE: GIB), an information technology and business process services provider, says it has extended its current contract with Portage La Prairie Mutual Insurance Company, a 100% Canadian-owned mutual insurance company, until 2014.
The enterprise solution and IT outsourcing agreement extends the existing agreement by five years.
“CGI and Portage Mutual have worked together for close to two decades, with CGI providing a flexible relationship to meet our evolving needs” said Portage Mutual president Randy Clark. “As a result of this extension and our ongoing relationship, CGI will provide the operational excellence to support Portage Mutual’s continued growth in providing reasonably priced, flexible insurance products and by supporting our brokers and customers with exemplary service.”
At the same time, CGI announced it is not extending its current IT infrastructure services contract with La Fédération des caisses Desjardins beyond its current term.
The current contract is due to end in April 2011.
CGI said it would remain a major partner to Desjardins for its high-end consulting services, as part of its existing long-term contracts. In addition, CGI has a contract to provide payroll services until Sept. 30, 2017.
“As the infrastructure contract will run its course, there will be no impact on CGI’s order backlog, which currently stands at $11.4 billion,” CGI said in a press release.