Resend Message from Harry Debes

[bmcintyre@xxxxxxxxx]

This is a resend of a message yesterday from Harry Debes, President of GES
Americas. Unfortunately some people received a truncated message.

Geac Enterprise Solutions (GES) Americas is making cost reductions in
certain non-performing portions of the business.
� While our business is
still quite profitable, certain portions are not achieving expectations.
To some degree this is due to the slowdown in traditional ERP spending by
customers and prospects.�� Other firms in our field (SSA, Baan, JD Edwards
etc) have all experienced a similar reduction in demand following the Y2K
rollover.�� In late July we will be reducing our headcount by approximately
7%.�� This is an adjustment which affects many part of our business, but it
is a selective, not global, reduction in certain non-performing areas.� The
System21 team (which accounts for about 25% of GES Americas revenue) will
lose a number of positions in professional services in regions where demand
from customers is low.� However, we will still have more than 100 people in
our S21 professional services organization, we are retaining all of the
people in Customer Support (which grew in headcount by 15% in the last 4
months) and development spending on System21 remains in excess of $25m for
our current fiscal year.��� In no way should this adjustment be viewed as a
reduced commitment to System21 by Geac.� Rather, it is a prudent management
decision to adjust business spending in line with market demand.�� Some
people will undoubtedly try to read something more into this - but they
will be wrong.

Harry Debes
President, GES Americas