ACS Given Performance-Based Award by Department of Education for Student Loan Contract

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ACS Given Performance-Based Award by Department of Education for Student Loan Contract

DALLAS - (Business Wire) Affiliated Computer Services, Inc. (NYSE: ACS) today announced an extension to its contract with the U.S. Department of Education to support servicing and collections for the federal government’s direct student loan program. The award is valued at $190 million and covers the 2009 calendar year.
With the performance-based award, ACS enters the sixth year of the Common Services for Borrowers (CSB) contract, which consists of a five-year base period followed by three potential performance-based award years and two option years.

ACS was granted the first of the performance-based award years for exceeding operational standards on a series of 47 metrics, measured monthly by the Department of Education.

Under the CSB contract, ACS manages the business operations for more than $140 billion in student loans to more than 10 million borrowers. ACS provides services that include:

processing of borrower-related repayments,
generating and mailing millions of paper notices and bills,
generating millions of electronic notices and reminders, and
handling inbound telephone and written inquiries from borrowers and schools.
“This performance award by the Department of Education demonstrates the continued servicing partnership that ACS has with the department, schools and student loan borrowers nationwide,” said Tim Conway, senior vice president and managing director of ACS’ Federal Solutions line of business. “ACS has served the department since 1993, and we are proud to be a part of the long-term team in the delivery of student loans and crucial support services to millions of student and parent borrowers.”

As the largest provider of business process solutions and one of the largest IT service providers to the nation’s public sector, ACS serves as an operational partner to more than 1,700 agencies at all levels of government located in every state in the U.S.

The work of ACS touches millions of people every day. ACS processes more than half of the nation’s child support payments; manages electronic payment card services programs in 20 states, disbursing government payments and benefits; processes nearly 375 million Medicaid claims totaling more than $39 billion in payments; handles more than half of the electronic toll transactions in the U.S.; and facilitates more than 185 million online searches for unclaimed property.

ACS, a global FORTUNE 500 company with approximately 70,000 people supporting client operations reaching more than 100 countries, provides business process outsourcing and information technology solutions to world-class commercial and government clients. The company's Class A common stock trades on the New York Stock Exchange under the symbol "ACS.”

The statements in this news release that do not directly relate to historical facts constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to numerous risks and uncertainties, many of which are outside the Company’s control. As such, no assurance can be given that the actual events and results will not be materially different than the anticipated results described in the forward-looking statements. Factors could cause actual results to differ materially from such forward-looking statements. For a description of these factors, see the Company’s prior filings with the Securities and Exchange Commission, including our most recent filing. ACS disclaims any intention or obligation to revise any forward-looking statements, whether as a result of new information, future event, or otherwise.