Technology Solutions Acquires CRM Player ZAMBA

IT consulting firm adds customer relationship management capabilities to offering

IT consulting firm adds customer relationship management capabilities to offering

Chicago — August 13, 2004 — IT consulting firm Technology Solutions Company (TSC) is set to acquire customer relationship management (CRM) services company ZAMBA Solutions under an agreement, announced this week, that is intended to strengthen TSC's CRM offering.

"We see great value and growth in the CRM marketplace over the next several years, and this acquisition should enable us to take advantage of this trend and represents a continuation of our overall expansion strategy," said Michael Gorsage, president and CEO of TSC.

Under the terms of the transaction, which has been approved by both companies' boards of directors, ZAMBA stockholders will receive 0.15 share of TSC common stock for each share of ZAMBA common stock which they hold as of the effective date of the merger. Upon completion of the transaction, ZAMBA stockholders will own approximately 12.5 percent of the company.

Michael Carrel, ZAMBA's president and CEO, said that the merger was "a significant step forward" in his company's strategic growth plan and would enable the firm to offer its clients a broader scope of services and offerings. "With TSC's strong balance sheet and recently strengthened leadership team, we see tremendous opportunity to build a great company together," Carrel said.

The transaction is subject to certain closing conditions, including approval by ZAMBA's stockholders.

ZAMBA's clients have included Best Buy, Canon, GE Medical Systems and Northrop Grumman, among others. The company has offices in Minneapolis, San Jose, Calif., and Toronto.