MT. LAUREL, N.J., Feb. 3 /PRNewswire-FirstCall/ -- Emtec, Inc.
(OTC Bulletin Board: ETEC) announced today it has been awarded a backdrop
contract (# CMS553A) from the New York State Office of General Services (OGS)
to provide IT consulting and systems integration services to a variety of
state government entities. Emtec, a leading IT services provider since 1981,
is now among the approved solutions providers eligible to bid on IT-related
service projects involving New York state, county and municipal agencies, as
well as school districts.
"We are pleased to have established this relationship, and we look forward
to the opportunity to provide the various agencies with technology solutions
that will help them serve the citizens of New York," said Joe Garofalo, Emtec
Senior Vice President for Government and Education Sales.
With the New York contract, Emtec continues to develop its solutions
portfolio tailored for the government and education markets. A longtime
provider of IT services to Fortune 1000 companies in New York, New Jersey,
Connecticut, Pennsylvania, Delaware, Georgia and Florida, Emtec is also a
leading source of technology solutions for government agencies and school
districts in New Jersey.
"The New York contract is great news for Emtec because it plays into our
move toward the government and education markets," said Garofalo. "We have
become the No. 1 provider of technology solutions for New Jersey, and New York
will become a key component in our overall strategic plan."
Making the Grade
The contract represents the culmination of a lengthy application process
during which Emtec had to demonstrate its technical expertise, past project
performance, staffing capabilities and general reliability in all areas
related to network consulting, design and integration.
"We put together a team to pursue this several months ago," said Garofalo.
"In New York State, we have traditionally focused on commercial business, but
we wanted to increase our focus to also include government and education."
Into the Pool
Under the backdrop contract, Emtec joins a pool of qualified vendors who
are eligible to participate in a secondary "mini-bid" process -- an
abbreviated bid and selection process for individual agency projects. Projects
often are awarded in as few as four weeks, resulting in a streamlined
procurement process that saves the state money through limited requests for
proposals and simplified contract administration.
New York has used the backdrop contract system since 1953 to allow cities,
towns, villages, counties and public schools to leverage the buying power of
the statewide OGS to purchase materials, equipment and supplies at competitive
prices. Fire districts, volunteer ambulance companies, libraries, private
schools and colleges are also eligible to use OGS contracts.
One of the great advantages to local governments using vendors on the
backdrop contract is that they are relieved of the responsibility of handling
bid solicitation and evaluation, as well as contract development and
management. All of those administrative tasks are handled centrally by the
Emtec's contract is a "pure services" contract, according to Garofalo,
which means the company will focus on network consulting, design and
integration projects rather than hardware or software sales. There is
potentially a great demand for such services as more and more state, county
and city agencies embark upon e-government initiatives.
E-government is one of the fastest growing segments of the Internet
marketplace. Legislative requirements and citizen demand are fueling the
development of new programs and services designed to maximize government use
of online resources. Government agencies are quickly moving from static,
information-only Web sites to dynamic, interactive sites offering increased
One way that government agencies are fast-tracking e-government
initiatives is through the use of the Citrix solutions portfolio. Many
agencies use Citrix products to provide a single Web-based point of access to
their new and legacy key business applications, information delivered through
Web forms and new Web-based applications.
"We have a lot of expertise with Citrix and it's a good solution for many
agencies," said Garofalo. "The other methodology would be to rewrite
applications in a Web-based environment. If clients don't have the time,
desire or the funds to do that, they can present many of their apps on the Web
via Citrix without having to do rewrites. We're actually involved in quite a
few substantial projects like that in New Jersey right now. So, with our
Citrix expertise we can absolutely pursue e-government opportunities in New
Emtec's expertise with database integration could also bear fruit under
the New York contract. More and more government agencies want to have fully
integrated databases and applications in order to provide maximum levels of
service and accessibility to citizens. This means all applications being
utilized by branches of the same governmental body should be able to
seamlessly share and update data in real time. Without this ability, data is
maintained in diverse systems requiring additional time, effort and human
interaction to coordinate and update.
The Office of Homeland Security has recently spurred an even bigger push
toward the vision of a seamless, electronically integrated government.
Database integration among the various federal, state and local law
enforcement communities has become a high priority since the Sept. 11
terrorist attacks. Cross-agency information sharing among law enforcement,
defense and intelligence agencies is a key provision of the Homeland Security
Act of 2002.
"The government is very aware of the fact that they have disparate
databases in most of their justice systems," said Garofalo. "There are some
major initiatives right now to integrate databases of justice systems so they
can streamline their whole security and justice process. Police departments
require the ability to share information with counties, state, municipalities
and even the federal arena. Many are starting to move in that direction, and
this contract could enable us to get involved in those opportunities."
Emtec, Inc., established in 1981, provides high-end computer systems and
services to Fortune 1000 clients ranging in size from $50 million to $500
million in revenues. The Company specializes in evaluating and providing
solutions for data management including Enterprise Management, Managed
Services (monitoring/maintenance/helpdesk), and Data Management (storage and
protection of data). With the recent acquisitions of Intellispan (Help Desk),
Accentra (systems and services) and Turnkey Computer Systems (managed building
services), Emtec has broadened its engineering and services capabilities. For
additional information please contact Consulting For Strategic Growth 1, Ltd.,
Certain statements in this document constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements involve known and unknown risks,
uncertainties and other factors, which may cause the actual results,
performance or achievements of Emtec, Inc. ("the Company"), or industry
results, to be materially different from any future results, performance, or
achievements expressed or implied by such forward-looking statements. The
Company's future operating results are dependent upon many factors, including
but not limited to the Company's ability to: (i) obtain sufficient capital or
a strategic business arrangement to fund its plan of operations when needed;
(ii) build the management and human resources and infrastructure necessary to
support the growth of its business; (iii) competitive factors and developments
beyond the Company's control; and (iv) other risk factors discussed in the
Company's periodic filings with the Securities and Exchange Commission which
are available for review at www.sec.gov under "Search for Company Filings."
Consulting For Strategic Growth I, Ltd. ("CFSG") has a month-to-month
relationship with Emtec, Inc. to provide consulting, business advisory,
investor relations, public relations and corporate development services to the
Company for fees to be determined. In connection with these services, CFSG
prepares press releases, corporate profiles, and other publications on behalf
of and regarding the Company. Independent of CFSG's receipt of cash
compensation from Emtec, CFSG may choose to purchase the common stock of Emtec
and thereafter liquidate those securities at any time it deems appropriate to
Consulting For Strategic Growth 1, Ltd.
Corporate Development Consultants
Chief Executive Officer
Web site: www.emtecinc.com
SOURCE Emtec, Inc.