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FTS Proclaims FY99 Another Banner Year

GSA #9626

December 21, 1999
Contact: Bill Bearden
(202) 501-1231


Washington, DC -- Commissioner Dennis Fischer of the U.S. General Services Administration's Federal Technology Service (FTS) has, for the second consecutive year, announced FTS had a banner fiscal year. According to Fischer, the FY 1999 year-end financial reports indicate revenues are up in FTS almost 22% -- from $3.4 billion in FY 1998 to $4.2 billion in FY 1999.

The Information Technology Solutions programs exceeded $3.0 billion in revenues, eclipsing their FY 1998 mark by over 28%.

"The Regional IT Solutions Program showed remarkable growth, processing an ever increasing number of orders for a growing client base resulting in $2.1 billion in revenues," Fischer said. The national Client Support Centers, FEDSIM, the Office of Information Security, the IT Acquisition Center, and the Financial Management Services Center also increased revenues over FY 1998, according to Fischer.

"Implementation of the IT Solutions Concept of Operations in the past year has enabled us to provide every client access to the full range of FTS solutions, enabling us to do more business with more customers using industry partners," Fischer said. "The four Solutions Development Centers have been hard at work awarding innovative new multiple award contracts and fostering the use of solutions offered by the entire contract portfolio. As a result, obligations on existing contracts are skyrocketing across the board and we are attracting new customers. Hard work, fantastic results, and creativity have been the hallmarks of IT Solutions in FY 1999. Especially admirable is the way they have launched into the e-commerce age by implementing IT Solutions Shop in all regional locations. With innovations like these, the future of IT Solutions is incredibly bright."

Network Services programs also showed increases over FY 1998 revenues, despite major price reductions on many of their products and service offerings. Network Services achieved overall growth of 6.4% over FY 1998, finishing the year at more than $1 billion.

"Use of the niche contracts has continued to grow and business has doubled in the past year," Fischer said. "FTS2001 and the first three Metropolitan Area Acquisitions have been truly remarkable acquisition successes, providing unprecedented price reductions for our customers. Through these innovative contracting initiatives, the Network Services business line has played a key role in fueling competition in the telecommunications industry as a whole, resulting in benefits for private as well as public sector consumers."

Like last year, Fischer again announced that each FTS employee would receive a year-end bonus award of either a day's pay or a day off with pay. In addition, each employee will receive a $175 technology award for the purpose of investing in some kind of technology capability in his or her personal lives. "I can only repeat my conclusion from last year and that is, the level of growth that FTS is experiencing is a testament to the value-added, professional service that every FTS employee offers to the federal community every day," Fischer said. "I know that many other customer-focused initiatives are underway within programs and regions to build and strengthen customer relationships. I am confident that all of these activities will contribute to another year of great success."

FTS program revenues, as reported by the FTS Chief Financial Officer, Bob Suda, are listed below.


FY 1998 FY 1999*
IT Solutions
Regional IT Solutions 1,424 2,116
FEDSIM/FEDCAC 881 877
Information Security 115 117
2,420 3,110

Network Services
Long Distance 750 791
Niches 4 9
Regional Telecom 266 285
1,020 1,085

Total FTS 3,440 4,195

*Unaudited numbers (figures in millions)

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