HYDERABAD, India, Feb. 21 /PRNewswire/ -- Satyam Computer Services Limited , a leading global consulting and information technology services provider, today announced that its recovery is proceeding very well, and that efforts to restore stakeholder confidence and ensure business continuity have been extremely successful.
"The board is satisfied with the progress of the company's stabilization program and appreciates the sustained efforts of the company's associates, who have placed its revival on a fast track," said Kiran Karnik, chairman of Satyam's board of directors.
Associates' commitment to client service and indomitable team spirit have done more than keep customers from leaving Satyam after the company's accounting crisis, which came to light Jan. 7. In fact, since that day, "associates' dedication and the tireless efforts of the board have helped Satyam win new purchase orders and extensions totaling more than $250 million," said Satyam Chief Executive Officer A.S. Murty.
The contract wins include a $50 million project, plus numerous others representing a broad range of industries, technologies and geographies.
"These wins reflect a positive trend," Murty said. "More than half of this value comes from new purchase orders. That fact reinforces the confidence customers have expressed to us during our frequent discussions with them."
Satyam also announced that on Saturday, its board met for the seventh time since Jan. 10. In addition to other key developments, it established a process for potential strategic investors, and will seek regulatory approvals early next week. Should the government consent, the board will announce the specific process potential investors must follow. Additionally, the board:
-- Formally indicated to the Indian Ministry of Corporate Affairs that it intends to remove Pricewaterhouse Coopers (PWC) as statutory auditors. PWC has also been notified, and resigned from the role. The board will soon appoint new statutory auditors. -- Authorized Murty to complete and implement a plan to retain key associates and endorsed plans already under way to reduce expenses and optimize profits. -- Explained how it is using its recent infusion of $130 million. "It is being used to meet immediate and near-term operating requirements, including payments to vendors," said Board Member T.N. Manoharan. "Furthermore, we are now receiving unsolicited offers from banks for additional funding."
Special advisors to the board Homi Khusrokhan and Partho Datta also attended the meeting, as did Satyam's legal advisors and several BCG representatives.
About Satyam
Satyam , a leading global business and information technology services company, delivers consulting, systems integration, and outsourcing solutions to clients in numerous industries across the globe. Satyam leverages deep industry and functional expertise, leading technology practices, and an advanced, global delivery model to help clients transform their highest-value business processes and improve their business performance. The company's professionals excel in engineering and product development, supply chain management, client relationship management, business process quality, business intelligence, enterprise integration, and infrastructure management, among other key capabilities.
Satyam development and delivery centers in the US, Canada, Brazil, the UK, Hungary, Egypt, UAE, India, China, Malaysia, Singapore, and Australia serve numerous clients, including many Fortune 500 organizations. For more information, see http://www.satyam.com/.
Safe Harbor
This press release contains forward-looking statements within the meaning of section 27A of Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Satyam undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with our business, please see the discussions under the heading "Risk Factors" in our report on Form 6-K concerning the quarter ended September 30, 2008, furnished to the Securities and Exchange Commission on November 7, 2008, and the other reports filed with the Securities and Exchange Commission from time to time. These filings are available at http://www.sec.gov/.
