Centers for Medicare and Medicaid Services awards US$14.5 million payment reconciliation contract to CGI-AMS

Fairfax, Virginia, June 29, 2005 -  CGI-AMS Inc., the wholly-owned U.S. operating subsidiary CGI Group Inc. (CGI) (TSX: GIB.SV.A; NYSE: GIB), today announced that it won a US$14.5 million contract with the Centers for Medicare & Medicaid Services (CMS) to be the prime contractor to develop and support its Payment Reconciliation System (PRS). CMS is the federal agency within the U.S. Department of Health and Human Services (HHS) responsible for the Medicare, Medicaid and the State Children’s Health Insurance Program (SCHIP) programs.

The PRS addresses one of several system requirements of Medicare’s prescription drug program, which was enacted into law as part of the Medicare Modernization Act of 2003 (MMA). The Medicare prescription drug benefit provides all 41 million Medicare beneficiaries with access to prescription drug coverage through either a PPO-style Medicare Part C plan, known as Medicare Advantage (MA-PDs), or stand-alone drug coverage through new Medicare Part D Prescription Drug Plans (PDPs). The PRS is a three and a half year phased project that will help the agency provide timely and accurate payments to MA-PDs and PDPs. Under the MMA, beneficiaries may elect to pay for prescription drug coverage by having the premium withheld from their Social Security Administration (SSA) check or Railroad Retirement Board (RRB) check. The first phase of the project, scheduled to rollout in February 2006, will track and reconcile the beneficiary premiums withheld by SSA and RRB with payments made to the prescription drug plans.

“CGI-AMS is excited to expand our seven year partnership with CMS by continuing to provide technology solutions that improve the efficiency and integrity of Medicare programs. We look forward to helping CMS develop a system that ensures prescription drug coverage for all eligible Medicare beneficiaries,” said Ed Nadworny, senior vice-president and director of the federal group for CGI-AMS.

Since 1998, CGI-AMS has successfully worked on over 18 IT projects for the U.S. Department of Health and Human Services. Many of its current engagements with CMS support benefits enacted into law as part of the MMA legislation. For example, the Health Plan Management System is used by MA-PDs and PDPs to submit their bids to CMS. In addition, the Medicare Appeals System serves one new class of Medicare contractors called Qualified Independent Contractors that focus specifically on the Medicare appeals process. Finally, CGI-AMS supports medicare.gov, which is tasked with communicating information about all aspects of the MMA to Medicare beneficiaries and other stakeholders.

About CGI-AMS

CGI-AMS Inc. is the wholly-owned U.S. operating subsidiary of CGI Group Inc. Founded in 1976, CGI is among the largest independent information technology and business process services firms in North America. CGI and its affiliated companies employ approximately 25,000 professionals. CGI provides end-to-end IT and business process services to clients worldwide from offices in Canada, the United States, Europe, Asia Pacific as well as from centers of excellence in India and Canada. CGI’s annualized revenue run rate is currently CDN$3.8 billion (US$3.0 billion) and at March 31, 2005, CGI’s order backlog was CDN$12.9 billion (US$10 billion). CGI’s shares are listed on the TSX (GIB.SV.A) and the