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FREQUENTLY ASKED QUESTIONS Acquisition of Xtreme and Integration into DISYS April 24, 2018

FREQUENTLY ASKED QUESTIONS - DISYS€¦ · Xtreme’s company name will include a tag line “a division of DISYS.” Post transition, Xtreme will become a functioning business unit

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Page 1: FREQUENTLY ASKED QUESTIONS - DISYS€¦ · Xtreme’s company name will include a tag line “a division of DISYS.” Post transition, Xtreme will become a functioning business unit

FREQUENTLY ASKED QUESTIONS

Acquisition of Xtreme and Integration into DISYS

April 24, 2018

Page 2: FREQUENTLY ASKED QUESTIONS - DISYS€¦ · Xtreme’s company name will include a tag line “a division of DISYS.” Post transition, Xtreme will become a functioning business unit

FAQ – Acquisition of Xtreme and Integration into DISYS

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CONTENTS OVERVIEW .........................................................................................................................................2

What are you announcing?........................................................................................................................ 2

Where can I get more information? .......................................................................................................... 2

COMPANY OPERATIONS .....................................................................................................................2

What is the name of the combined company? ......................................................................................... 2

How is the combined company structured? ............................................................................................. 2

Who is the DISYS Senior Leadership Team? .............................................................................................. 2

Where is the company Headquarters? ...................................................................................................... 2

How many employees will DISYS have at closure of the acquisition? ...................................................... 2

STRATEGY AND INTEGRATION ............................................................................................................2

What is the significance of these acquisitions and how do they fit into CSS overall strategy? ................ 2

What happens to the Xtreme brand? ........................................................................................................ 3

Does DISYS plan to acquire other companies? .......................................................................................... 3

Will any services be eliminated or phased out as a result of this transaction? ........................................ 3

Do you anticipate a reduction in force as a result of this transaction? ..................................................... 3

Why is DISYS confident that integration of the two companies will be smooth? ..................................... 3

PRODUCTS/TECHNOLOGY ..................................................................................................................3

With this acquisition, are there changes to the DISYS Services roadmap? ............................................... 3

Are there immediate plans to discontinue any Xtreme services?............................................................. 3

CUSTOMER SUPPORT .........................................................................................................................4

What benefits does this transaction bring for DISYS and Xtreme clients? ............................................... 4

Who should existing DISYS or Xtreme clients call for support? ................................................................ 4

TRANSACTION AND FINANCIAL DETAILS .............................................................................................4

When will the acquisition close? ............................................................................................................... 4

What were the terms of the acquisition?.................................................................................................. 4

Page 3: FREQUENTLY ASKED QUESTIONS - DISYS€¦ · Xtreme’s company name will include a tag line “a division of DISYS.” Post transition, Xtreme will become a functioning business unit

FAQ – Acquisition of Xtreme and Integration into DISYS

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OVERVIEW

What are you announcing? DISYS is announcing definitive agreements to acquire the assets and business of Xtreme Consulting

Group (Xtreme).

About Xtreme Consulting Group

• Established 2005 in Kirkland, WA with offices worldwide and almost 600 employees

• A leader in high-tech consulting:

o Staffing and talent management

o Design, build & manage

o RPO Services

• Specialized client solutions including online training and certification testing as a service

Where can I get more information? Information is available at https://industry.disys.com/xtreme-acquisition/

COMPANY OPERATIONS

What is the name of the combined company? The combined company name is Digital Intelligence Systems, LLC (DISYS)

How is the combined company structured? Xtreme Consulting Group will be suitably integrated into the existing DISYS entity over the coming

months. Synergies or redundancies with regard to client support will be led by DISYS to mitigate service

disruption.

Who is the DISYS Senior Leadership Team? Information about the DISYS management team is available at: http://www.disys.com/about-

us/leadership/

Where is the company Headquarters? The company will continue to be headquartered in McLean, VA

How many employees will DISYS have at closure of the acquisition? DISYS will have approximately 3,600 employees around the world.

STRATEGY AND INTEGRATION

What is the significance of these acquisitions and how do they fit into CSS overall

strategy? • Improves DISYS financial position and positions us near the SIA top 10 in IT staffing revenue

• Bolsters DISYS in the Pacific Northwest with offices in Kirkland, Redmond, Boise, Portland, Fargo,

Phoenix, and Dallas

• Adds complementary clients and long-term relationships with many Fortune 500 and Global

1000 logos – no overlap in the top 10!

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FAQ – Acquisition of Xtreme and Integration into DISYS

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• Enhances service to our clients with complementary offerings including certification test,

training, deployment and imaging

• Demonstrates DISYS’ ability to achieve our strategy of organic and inorganic growth in a highly

competitive market

• Enables growth through cross-sell, automation, and differentiation through DISYS global delivery

and ISO and CMMI certifications

What happens to the Xtreme brand? Xtreme’s brand will be retained for a specified period of time during transition. During this time,

Xtreme’s company name will include a tag line “a division of DISYS.” Post transition, Xtreme will become

a functioning business unit within DISYS. All artifacts carrying Xtreme’s brand, name and signage will be

re-branded with DISYS as the primary brand. For a time, the phrase “previously known as Xtreme

Consulting Group” may be included.

Does DISYS plan to acquire other companies? DISYS continually explores opportunities that support our long-term business strategy.

Will any services be eliminated or phased out as a result of this transaction? No. The acquisition adds depth and breadth to existing DISYS services, and there is no overlap or conflict

between the services of each company.

Do you anticipate a reduction in force as a result of this transaction? DISYS is undertaking this transaction to grow and scale the business. While we recognize that some

Xtreme employees may choose not to join DISYS, we expect to continue to hire people in critical skills

areas in all geographies in 2018.

Why is DISYS confident that integration of the two companies will be smooth? The combination of DISYS and Xtreme integrates healthy and profitable companies with similar cultures

and value systems. Both share a passion for technology, innovation and a commitment to customer

satisfaction.

PRODUCTS/TECHNOLOGY

With this acquisition, are there changes to the DISYS Services roadmap? DISYS expands its comprehensive service offering to include:

1. AI-powered cloud management platforms for private and public cloud environments 2. Customer experience (CX) platforms powered by Chatbots and AI 3. Skills enhancement platform that has up-skilled 4M+ technology experts to date 4. MVP development teams powered by DevOps experts offering rapid product delivery from low-

cost US regions

Are there immediate plans to discontinue any Xtreme services? With the similarity is core capabilities, there may be integration into a single delivery channel for

services, but there are no plans to discontinue any products or services.

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FAQ – Acquisition of Xtreme and Integration into DISYS

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CUSTOMER SUPPORT

What benefits does this transaction bring for DISYS and Xtreme clients? • DISYS Clients

o End-to-end solutions including talent, development and automation-powered

infrastructure and customer support

o Expanded US-based talent pool

o New platforms for cloud management and customer experience management

o New platform for skills enhancement and upskilling

o Continued investment in innovation

• Xtreme Clients

o Leverage DISYS’ global footprint and 1M+ pre-qualified talent database for client staffing

needs

o Robust PMO for project delivery

o Dedication Application Development practice to deepen current DevOps expertise

o DISYS Labs (www.disyslabs.com) for R&D and global innovation

Who should existing DISYS or Xtreme clients call for support? There is no change in your account support team. Please continue to use your existing points of contact

for any service support needs.

TRANSACTION AND FINANCIAL DETAILS

When will the acquisition close? The transaction is expected to close within 30 days

What were the terms of the acquisition? Terms are not being disclosed at this time.