Accenture to Acquire H.B. Maynard, Expanding Workforce-Performance Capabilities
NEW YORK; Oct. 2, 2007 — Accenture (NYSE: ACN) has agreed to acquire H.B. Maynard and Co., Inc. (Maynard), a privately held consulting, software and training firm that provides workforce-productivity-management solutions to help companies improve their performance and market competitiveness.
Maynard serves Fortune 500 companies as well as small and medium-sized businesses in the retail, manufacturing, distribution, utility and service sectors. The acquisition will provide Accenture with Maynard’s specialized expertise in workforce performance techniques and strong suite of software tools. The acquisition strengthens Accenture’s Human Performance practice, which provides a wide variety of services to help clients increase the performance of their workforces. Following the acquisition, Maynard employees are expected to transition to Accenture.
“This acquisition is a strategic fit for both Accenture and Maynard and reflects our commitment to further enhance our management consulting practice, particularly around retail stores and distribution, to help our clients become high-performance businesses,” said Janet Hoffman, managing director of Accenture’s Retail practice in North America. “The combination of Accenture’s experience with the processes and tools Maynard has developed will help clients achieve operational and workforce efficiency faster and more effectively than ever before.”
Ken Smith, president of Maynard, said, “This is a great fit for our clients and the company. Joining forces with Accenture helps us extend and deliver our tools and capabilities to a broader market, enabling us to offer clients a full complement of consulting services, industry knowledge and expertise. Our people have been the key element of Maynard’s growth throughout our history, and they will continue to help determine our success moving forward. This acquisition provides significant career growth opportunities for our staff.”
The acquisition is subject to regulatory and other customary approvals and is expected to close within 30 days. Terms of the agreement were not disclosed.
Accenture is a global management consulting, technology services and outsourcing company. Committed to delivering innovation, Accenture collaborates with its clients to help them become high-performance businesses and governments. With deep industry and business process expertise, broad global resources and a proven track record, Accenture can mobilize the right people, skills and technologies to help clients improve their performance. With approximately 170,000 people in 49 countries, the company generated net revenues of US$19.70 billion for the fiscal year ended Aug. 31, 2007. Its home page is www.accenture.com.
Maynard helps leading retailers and manufacturers improve workforce performance by providing tools, training and expertise in labor management, best methods, workplace organization, labor standards and staffing. Results focus on reducing labor costs while meeting customer service objectives. Headquartered in Pittsburgh, Pennsylvania, Maynard has been helping leading manufacturers, grocery retailers, and apparel retailers improve their productivity, quality, and culture for more than 72 years. The company developed The Maynard Workforce Performance Model™, a multi-disciplined strategy, to assist companies including American Eagle Outfitters, Nike, Old Navy, Publix, Limited Brands, Gap, Giant Eagle, Rite Aid, Wegman’s, Toys R Us, CVS, SuperValu, and T J Maxx with improving the productivity, quality, and culture of their organizations. Raptor Partners LLC is acting as financial advisor to H. B. Maynard and Company, Inc. in connection with this transaction.
Except for the historical information and discussions contained herein, statements in this news release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied. These include, without limitation, risks that: Accenture and the Maynard will not be able to close the transaction in the time period anticipated, or at all, which is dependent on the parties’ ability to receive requisite regulatory approvals and comply with closing conditions; the transaction might not achieve the anticipated benefits for Accenture; our business could be negatively affected if we cannot expand and develop our services and solutions in response to changes in technology and client demand; the management consulting, systems integration and technology and outsourcing markets are highly competitive and we might not be able to compete effectively; our business could be negatively affected by economic and political conditions and the effects of these conditions on our clients’ business and levels of business activity; our work with government clients exposes us to additional risks in the government contracting process; clients may not be satisfied with our services; our business could be negatively affected by legal liability that results from our providing solutions or services; our results could be adversely affected if our clients terminate their contracts with us on short notice; our outsourcing services subject us to operational and financial risk; liabilities could arise if our subcontractors or other third parties cannot deliver their project contributions on time or at all; our results of operations may be adversely affected by the type and level of technology spending by our clients; our profitability may suffer if we are not able to maintain favorable pricing rates and utilization rates, if we cannot control our costs, or if we cannot anticipate the cost and complexity of performing our work; our global operations are subject to complex risks, some of which might be beyond our control; our growth and our ability to compete may be adversely affected if we cannot attract, retain and motivate our employees or efficiently utilize their skills, including those personnel currently employed by Maynard; our business may be adversely affected if we cannot manage the organizational challenges associated with the size and expansion of our company; as well as the risks, uncertainties and other factors discussed under the “Risk Factors” heading in our most recent annual report on Form 10-K and other documents filed with or furnished to the Securities and Exchange Commission. Statements in this press release speak only as of the date they were made, and Accenture undertakes no duty to update any forward-looking statements made in this news release or to conform such statements to actual results or changes in Accenture’s expectations.
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