The transaction resulting from the merger agreement between CGI and IMRglobal will also be priced according to this 21 day average. This is in accordance with Canadian generally accepted accounting principles. BCE Inc. has decided not to exercise its preemptive rights to acquire additional Class A subordinate shares and has indicated to CGI that it will decide prior to closing of the merger whether or not it will exercise its preemptive rights for Class B multiple voting shares. If BCE decides to exercise its preemptive rights for Class B multiple voting shares, 3.6 million additional shares would be issued. This additional subscription would have no significant impact on the dilution.
All amounts are in Canadian dollars unless otherwise indicated.
The increase is mostly due to the non-recognition of tax benefits resulting from U.S. losses. The Company considers cash net earnings to be the most accurate measurement of its profitability, as goodwill amortization has no impact on cash resources. AGTI Consulting Services Inc. For further details, see note 3 of the Consolidated Financial Statements. Star Data, acquired at the beginning of January 2001, was accretive to earnings. Liquidity and Financial Resources CGI maintains a strong balance sheet and cash position which, together with bank lines, are sufficient to support the Company's growth strategy.