COGNICASE Signs $10 Million FinanciaLinx ASP Contract
MONTREAL--April 12, 2002--COGNICASE| -- | Forms Consortium with Bank of Montreal and Lease Administration Corporation |
| -- | Manage the IT Leasing Platform |
COGNICASE Inc. , an innovative IT solutions provider specializing in the development and integration of transactional solutions, announced today the signing of a multi-year processing and support agreement with financiaLinx Corporation. FinanciaLinx provides origination, administration and financing of car leases to over 1,350 dealers across Canada, including operating the lease programs for Nissan, Hyundai and Kia. Funding for these leases is provided by the Bank of Montreal.
COGNICASE will provide business process outsourcing (BPO) and application service provider (ASP) services to financiaLinx under a multi-year agreement valued initially at $10 million. These services will include application support for the leasing systems, ASP operations, network management, the provision of infrastructure support and payroll. COGNICASE will provide all technology and applications to support the financiaLinx business, allowing financiaLinx resources to focus on their core strengths in developing the leasing business.
According to COGNICASE Chairman of the Board, President and CEO Ronald Brisebois, "This transaction adds breadth and depth to our leasing product offerings to both the retail and automotive sectors. Our comprehensive leasing platform will support the total automation of lease processing, including origination, credit approval, and administration through to funding. It also opens the doors to new geographic markets with significant potential in the U.S."
As part of the overall restructuring of fLinx, a consortium of COGNICASE, Bank of Montreal and Lease Administration Corporation have acquired all of the share capital of financialLinx from CIT Financial Limited.
Jeff Fallowfield, CEO of financiaLinx stated, "This relationship with COGNICASE will enhance our leadership position in Canada for technology-based leasing, providing the most cost-effective solution for automotive dealerships. We are the only lessor to conduct 100% of our business online, and have to date processed over $3 billion in lease originations electronically. Having COGNICASE as a shareholder partner whose main focus is information technology will allow us to develop even better tools for our dealers to improve the services they provide to their customers."
About COGNICASE
COGNICASE Inc. is an IT products and services provider specializing in financial solutions, advanced transaction processing and Internet-based applications. Relying on its results-driven approach, its software and technology and its Application Services Technology Centre, COGNICASE offers secure and scalable solutions that contribute to its customers' economic success in the age of the new economy. The Company is active in Canada, the United States and Europe.
About financiaLinx
FinanciaLinx was created out of Newcourt Credit Group's purchase of AT&T Capital and the subsequent alliance with the Bank of Montreal. Currently managing a rapidly expanding portfolio of over 95,000 active vehicle leases, financiaLinx provides leading-edge, Internet-based leasing services to hundreds of vehicle dealers across Canada.