Getronics reaches agreement in principle with Capgemini on sale of Business Application Services

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Den Haag, 25-7-08

KPN announces that Getronics and Capgemini have reached an agreement in principle for the sale of the Business Application Services (BAS) activities of Getronics in the Netherlands. Capgemini takes over the expertise of about 2,300 employees currently working for this Getronics division and the customer contracts. The intended purchase price amounts to an equity value of EUR 255 mn. The agreement is subject to positive advice from the Getronics central works council and completion of discussions with labour unions.

Capgemini is an ICT service provider with application services as one of its core activities, with a full range of consulting, technology and outsourcing services. To this end, it uses its proprietary delivery model Rightshore. The ICT service provider of French origin operates in 36 countries and has nearly 85,000 employees worldwide. The organization generated revenues of EUR 8.7 bn over 2007. The basic principle of the sale is to guarantee continued service delivery to Getronics customers, through a partnership for all customer relations that will be transferred, which use amongst others data centers and hosting service from Getronics.

The intended sale of the Business Applications Services activities is fully in line with the Getronics strategy announced in February 2008, which is characterized by focus. Getronics will focus on standardized ICT services in a world where telecommunications and IT are converging. Getronics provides workspace management, datacenters & hosting services and consulting services. The intended sale of Business Solutions, software for local governments and healthcare, is not part of the agreement.

‘We are pleased that with Capgemini we have found a solid partner with a strong market leading position in application management’, said Erik van der Meijden, CEO of Getronics. ‘Our business application services customers are in safe hands at an organization with the development and management of business applications as its core activities. Furthermore, this provides our BAS employees with improved development perspectives.’

The transaction is expected to finally close in the fourth quarter of 2008. This is amongst others subject to approval from the relevant competition authorities.



About KPN
KPN is the leading telecommunications and ICT service provider in the Netherlands, offering wireline and wireless telephony, internet and TV to consumers and end-to-end telecom and ICT services to business customers. KPN’s subsidiary Getronics operates a global ICT services company with a market leading position in the Benelux, offering end-to-end solutions in infrastructure and network-related IT. In Germany and Belgium, KPN pursues a multi-brand strategy in its mobile operations and holds number three market positions through E-Plus and BASE. KPN provides wholesale network services to third parties and operates an efficient IP-based infrastructure with global scale in international wholesale through iBasis.

At 30 June 2008, KPN served over 35 million customers, of which 28.7 million in wireless services, 4.2 million in wireline voice, 2.5 million in broadband Internet and 0.6 million in TV. With 25,729 FTEs (42,976 FTEs including Getronics), KPN posted revenues of EUR 7.2bn and an EBITDA of EUR 2.5bn in the first half year of 2008. KPN was incorporated in 1989 and is listed on the Amsterdam and Frankfurt Stock Exchanges, having recently delisted from the New York and London Stock Exchanges.

About Getronics
With worldwide revenue of €2.5 billion and about 20,000 employees, Getronics is a leading ICT service-provider in the world and the largest ICT service-provider in the Benelux. As expert in workspace management services, datacenter & hosting services and consultancy, Getronics enables people of large organisations to move forward by releasing the power of information. To do this, Getronics has a complete portfolio of integrated ICT services for the large enterprise market and works according to a Global Service Delivery Model ensuring that services are provided for clients throughout the world that are of consistent quality. Since 23 October 2007, Getronics is part of KPN, the main provider of telecommunication services in The Netherlands.

For further information:
VP Communications
Jolanda Peek
Tel: + 31 (0) 30 663 52 32