For immediate release
HP to Acquire Extreme Logic Inc. (a MediaFirst client at the time of acquisition)
PALO ALTO, Calif., Aug. 13, 2003
HP (NYSE:HPQ) has signed a definitive agreement to acquire e-Business solution provider Extreme Logic Inc. based in Atlanta. Subject to the terms of the agreement, including the satisfaction or waiver of certain closing conditions, Extreme Logic will be merged into a wholly-owned subsidiary of HP and will operate as part of the HP Services organization.
A Microsoft Gold Certified Partner, Extreme Logic is a leader in the architecture and implementation of business solutions based on Microsoft® .NET and delivers business value through a combination of deep technology expertise and result-oriented business process consulting.
The agreement to acquire Extreme Logic builds on other recent acquisitions by HP and furthers HP's Adaptive Enterprise strategy, which is designed to provide businesses a more flexible and extensive link between IT infrastructure and business priorities. Adaptive enterprises are looking to the development and deployment of Web services as a vital component of IT environments that can respond more quickly to rapidly changing business needs. Extreme Logic has a strong track record of deploying .NET technologies to financial services, healthcare, retail, e-government, manufacturing, and telecommunications companies seeking to implement Web services to help manage and capitalize on change.
"The Extreme Logic agreement further demonstrates HP's commitment to helping customers build an adaptive enterprise," said Rick Fricchione, vice president, enterprise Microsoft services, HP Services. "Extreme Logic has strong skills in developing customized business solutions that leverage the power of .NET across a range of markets. The integration of their skills and experience will further strengthen HP's ability to bring the power and agility of Web services to our customers."
In addition to furthering HP's .NET expertise, Extreme Logic would add other innovative business services, such as e-learning, security, and infrastructure for HP's vertical markets, and would expand HP's presence in the southern and the eastern United States.
"Joining HP is the logical next step for our company and opens up new and exciting opportunities for all of us," said Wain Kellum, president and chief executive officer, Extreme Logic. "We feel our clients will benefit from the acquisition as they will have access to an enhanced set of capabilities under HP Services. We look forward to being a part of the world's leading IT services team."
Recently, Extreme Logic was recognized as Microsoft Certified Technical Education Center Partner of the Year for North America. Extreme Logic's client list includes numerous Fortune 1000 companies across the manufacturing, financial services, government, transportation and logistics, healthcare, and other industries.
"Extreme Logic has a proven track record in helping Fortune 1000 companies transform how they do business using innovative applications built on .NET software," said Kevin Johnson, group vice president of Worldwide Marketing, Sales, and Services at Microsoft. "HP's acquisition of Extreme Logic will deepen their expertise on .NET application development and help them meet the escalating demand for .NET solutions across all industries in the U.S."
Under the terms of the acquisition, HP will add approximately 200 Extreme Logic employees to its growing network of .NET consulting and service professionals.
HP delivers vital technology for business and life. The company's solutions span IT infrastructure, personal computing and access devices, global services and imaging and printing for consumers, enterprises and small and medium business. For the last four quarters, HP revenue totaled $70.4 billion. More information about HP is available at http://www.hp.com.
This news release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that, if they never materialize or prove incorrect, could cause the results of HP and its consolidated subsidiaries to differ materially from those expressed or implied by such forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including statements related to the closing of the acquisition; statements of the plans, strategies, and objectives of management for future operations including the execution of integration and restructuring plans; and statements concerning products and services to be acquired. The risks, uncertainties, and assumptions referred to above include the risk that the acquisition may not close due to failure to satisfy the closing conditions or otherwise; employee management issues; the challenges of integrating Extreme Logic into HP; the challenges of maintaining customers following the acquisition; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to HP's quarterly report on Form 10-Q for the quarter ended April 30, 2003, and subsequently filed reports. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, HP's results could differ materially from HP's expectations in these statements. HP assumes no obligation to update these forward-looking statements.