SRA CRO Acquired by Aptiv Solutions
FAIRFAX, Va., Oct. 3, 2011 — SRA International, Inc., a leading provider of technology and strategic consulting services and solutions to government organizations, today announced it has sold its contract research organization, SRA Global Clinical Development (GCD), to Aptiv Solutions, Inc., a global biopharmaceutical and medical device development services company.
“We believe the GCD business, as a part of Aptiv Solutions, has greater opportunity to pursue a wider range of initiatives that align with its mission,” said SRA President & CEO Bill Ballhaus.
Aptiv Solutions is a global biopharmaceutical and medical device development services company focused on recognizing, understanding and enabling clients to capitalize on rapid and fundamental changes facing companies developing products in the pharmaceutical, biotech and medical device market. Aptiv Solutions has integrated the resources and expertise of: Averion International, Trio Clinical Resourcing, Fulcrum Pharma, ClinResearch, Niphix and ADDPLAN.
In March 2011, the company announced its decision to divest its contract research organization, SRA Global Clinical Development, LLC (“GCD”), and GCD’s wholly owned subsidiaries. The transaction is effective immediately; financial terms of the deal were not disclosed.
About SRA International, Inc.
SRA is dedicated to solving complex problems of global significance for government organizations serving the defense, civil government, health and intelligence markets. Founded in 1978, the company has expertise in such areas as cyber security; disaster response planning; enterprise resource planning; environmental strategies; energy systems and sustainability; IT systems, infrastructure and managed services; learning technologies; logistics; public health preparedness; public safety; strategic management consulting; and systems engineering.
SRA employs approximately 7,000 employees serving clients from its headquarters in Fairfax, Va., and offices around the world. For additional information on SRA, please visit www.sra.com.
Any statements in this press release about future expectations, plans, and prospects for SRA International, Inc. (the “Company”) and other statements containing the words “estimates,” “believes,” “anticipates,” “plans,” “expects,” “will,” and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Factors or risks that could cause the Company’s actual results to differ materially from the results the Company anticipates include, but are not limited to: (i) reduced spending levels and changing budget priorities of the Company’s largest customer, the United States federal government, which accounts for more than 95% of the Company’s revenue; (ii) delay in Congress raising the amount of government debt and any potential adverse financial impact on revenues that might result from spending caps pursuant to the Budget Control Act of 2011; (iii) our substantial indebtedness could adversely affect our financial health and operating flexibility; (iv) our ability to generate the significant amount of cash needed to pay interest and principal on the notes and service our other debt and financial obligations and our ability to refinance all or a portion of our indebtedness or obtain additional financing depends on many factors beyond our control; (v) our senior credit facilities’ restrictive covenants may restrict our ability to pursue our business strategies; (vi) failure to comply with complex laws and regulations, including but not limited to the False Claims Act, the Federal Acquisition Regulations, the Truth in Negotiations Act, the U.S. Government Cost Accounting Standards and the Foreign Corrupt Practices Act; (viii) possible delays or overturning of the Company’s government contract awards due to bid protests, loss of contract revenue or diminished opportunities based on the existence of organizational conflicts of interest or failure to perform by other companies on which the Company depends to deliver products and services; (ix) security threats, attacks or other disruptions on the Company’s information infrastructure, and failure to comply with complex network security and data privacy legal and contractual obligations or to protect sensitive information; (x) inability or failure to adequately protect the Company’s proprietary information or intellectual property rights or violation of third party intellectual property rights; (xi) potential for significant economic or personal liabilities resulting from failures, errors, delays or defects associated with products, services and systems the Company supplies; (xii) adverse changes in federal government practices; (xiii) appropriation uncertainties; (xiv) price reductions, reduced profitability or loss of market share due to intense competition, including for U.S. government contracts or recompetes, and commoditization of services the Company offers; (xv) failure of the customer to fund a contract or exercise options to extend contracts, or the Company’s inability to successfully execute awarded contracts; (xvi) any adverse results of audits and investigations conducted by the Defense Contract Audit Agency or any of the Inspectors General for various agencies with which the Company contracts, including, without limitation, any determination that the Company’s contractor management information systems or contractor internal control systems are deficient; (xvii) difficulties accurately estimating contract costs and contract performance requirements; (xviii) challenges in attracting and retaining key personnel or high-quality employees, particularly those with security clearances; (xix) failure to manage acquisitions or divestitures successfully (including identifying and valuating acquisition targets and integrating acquired companies), losses associated with divestitures or the Company’s inability to enter into divestitures at attractive prices and on desired timelines; (xx) inadequate insurance coverage; and (xxi) pending litigation and any resulting sanctions, including but not limited to penalties, compensatory damages or suspension or debarment from future government contracting.
Actual results may differ materially from those indicated by such forward-looking statements. In addition, the forward-looking statements included in this press release represent our views as of October 3, 2011. We anticipate that subsequent events and developments will cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any obligation to do so. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to October 3, 2011.