Cognizant founder Mahadeva to retire

Cognizant Technology Solutions Corporation, a leading provider of IT services, announced that founder, chairman and CEO, Kumar Mahadeva, is retiring, and that Lakshmi Narayanan has been named CEO, and will continue to serve as president.

Narayanan has also been elected to Cognizant's board of directors. Narayanan was the president and COO of Cognizant till the changes were announced.

Francisco D'Souza, previously senior vice president of North American and European operations and business development, has been promoted to chief operating officer, a title previously held by Narayanan.

Gordon Coburn, who continues as CFO, has been promoted to executive vice president and has assumed the additional responsibilities of administration. John Klein, a board member since 1998, has been appointed non-executive chairman.

Mahadeva, who is retiring as chairman and CEO after 10 years of service to the company, will remain with Cognizant through April 1, 2004, to assist in completing the transition in leadership.

"Since founding Cognizant 10 years ago, we have grown from a 50 person in-house development shop to a 9,000 person global IT leader," said Mahadeva.

"I am proud to have led Cognizant's growth to this point, and to leave Narayanan with a strong platform for future growth. Over the last several years, we have built a world-class management team. As a member of this team, Lakshmi has already played an integral role in the Company's success, and I am confident in his ability to lead Cognizant's next phase of growth."

"I am honoured to have been appointed to lead Cognizant as we continue to execute on our successful strategy. This leadership team, which has worked together for seven years, has played a key role in formulating and executing the strategy that has made Cognizant the fastest-growing company in offshore IT services," said Narayanan.

In addition to his current role in leading the company's north American and European services delivery and client relationship management platforms, D'Souza, COO, assumes responsibility for Cognizant's India-based delivery organisation.

Narayanan, 50, has been instrumental in formulating Cognizant's strategy and building the company's delivery capabilities in India, where he will continue to be based.

He has more than 25 years of experience in the IT industry, including 10 years managing divisions and business units in Europe, India, and the United States. Prior to joining Cognizant in 1994, he was the regional head of Tata Consultancy Services in India.

Plans to build $40m 'techno- complexes'

Cognizant Technology Solutions Corporation, a leading provider of IT services, announced $40 million building plans for three additional fully owned 'technocomplexes' with over 600,000 sq ft of space for 6,500 employees in Pune, Chennai, and Bangalore.

Work on these facilities is expected to begin in early 2004. Cognizant expects to spend approximately $40 million over the next two years on its new construction program.

Once fully occupied, these additional facilities are expected to generate annual operating expense savings of approximately $10 million, compared to expanded use of leased facilities.