DENVER, March 14 /PRNewswire/ -- TeleTech Holdings, Inc. (Nasdaq: TTEC), a
leading global provider of customer relationship management (CRM) services and
solutions, today announced that Verizon Communications has agreed to continue
with the terms of its long-term contract with TeleTech and will redirect
TeleTech's business from its CLEC (Competitive Local Exchange Carrier)
operations to other strategic units.
TeleTech launched support for six Verizon programs in early 2001 as the
CLEC program began to ramp down. These programs represent some of the fastest
growing business units within Verizon, including Verizon Wireless and the
expansion of TeleTech's existing support of Verizon's popular online product
offering, Verizon Online. These six programs will replace TeleTech's existing
CLEC business in two of its three dedicated customer interaction centers. As
the CLEC continues to ramp down, TeleTech and Verizon will work to
aggressively repatriate the business within the third center. Verizon will
also proceed with its plan to open a fourth center in July. The remaining
term of Verizon's contract ranges from four to five years across the multiple
centers.
TeleTech does not believe the new business with Verizon will initially
reach the same revenue levels as the CLEC, which had been operating in excess
of Verizon's contractual commitments. Future revenue levels will be dependent
upon the timing of the replacement of the remaining CLEC business into the
third center as well as the filling of the fourth center.
"The new business has resulted in TeleTech diversifying and broadening its
business relationship with Verizon," commented Sean Erickson, TeleTech
President of North American Operations. "We're pleased that we have reached
this agreement with Verizon. We look forward to supporting them in new
business initiatives, and will continue to explore additional domestic and
international opportunities within Verizon's global enterprise."
TeleTech senior management will host a conference call to discuss today's
announcement at 5:00 p.m. ET. To participate, please dial 719-457-2645
(code: 571888). Replay of the conference call will be available by dialing
719-457-0820 (code: 571888), starting at approximately 8:00 p.m. ET and will
play for seven days. The conference call will also be simulcast live on the
Internet via TeleTech's web site at http://www.teletech.com. A replay will be
available at this location for 30 days.
TELETECH PROFILE
Founded in 1982, TeleTech is the leading provider of integrated customer
relationship management (CRM) services and solutions for global organizations
predominantly in the communications, financial services, government and
transportation industries. TeleTech has operations in 11 countries which
include Argentina, Australia, Brazil, Canada, China, Mexico, New Zealand,
Singapore, Spain, the United Kingdom and the United States. TeleTech's CRM
capabilities, including B2B electronic channel management and database
management, help companies inform, acquire, service, grow and retain their
customers throughout the entire relationship lifecycle. TeleTech integrates a
full spectrum of voice and Internet communications, including custom e-mail
response, "chat" and extensive Web co-browsing capabilities. Information
regarding TeleTech Holdings can be found on the Worldwide Web at
http://www.teletech.com.
FORWARD LOOKING STATEMENTS
All statements not based on historical fact are forward-looking statements
that involve substantial risks and uncertainties. In accordance with the
Private Securities Litigation Reform Act of 1995, following are important
factors that could cause TeleTech's actual results to differ materially from
those expressed or implied by such forward-looking statements: lower than
anticipated customer interaction center capacity utilization; the loss or
delay in implementation of a customer management program; TeleTech's ability
to build-out facilities in a timely and economic manner; greater than
anticipated competition from new entrants into the customer care market,
causing increased price competition or loss of clients; the loss of one or
more significant clients; higher than anticipated start-up costs associated
with new business opportunities and ventures; general economic conditions;
economic conditions which may disproportionately affect TeleTech's larger
clients; TeleTech's ability to predict future revenues and associated costs,
as well as the potential volume or profitability of any future technology or
consulting sales; TeleTech's agreements with clients may be canceled on
relatively short notice; and TeleTech's ability to generate a specific level
of revenue is dependent upon customer interest in and use of the Company's
clients' products and services. Readers are encouraged to review TeleTech's
1999 Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, for first,
second and third quarters 2000, and other publicly filed documents which
describe other important factors that may impact TeleTech's business, results
of operations and financial condition. TeleTech undertakes no obligation to
update its forward looking statements after the date of this release.
SOURCE TeleTech Holdings, Inc.
CONTACT: Emily Eikelberner, Investor Relations of TeleTech Holdings,
Inc., 303-894-7360, emilyeikelberner@teletech.com/
