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Computervision recently announced it had signed an agreement to sell the portion of Computervision Services, which provides Open Service Solutions (OSS) support, to an investment group headed by J. F. Lehman & Company. Upon completion of the transaction, estimated to be by year's end, the name of the new company will be changed to CV Services International, Inc., but will continue to be managed by the current senior management team.
Under terms of the agreement, CV Services International will continue a relationship with Computervision Corporation and offer the same customer support. It will keep on providing hardware maintenance, operating system, layered software, and database support for all 50 Series™, Sun®, EXL, PC, and other platforms used for Computervision applications.
Platform specialists, along with the Services support management, sales, marketing, and administration organizations, will be part of CV Services International. CAD/CAM and Electronic Product Definition (EPD) application specialists will remain part of Computervision Corporation.
According to John J. Murphy, who will be president and chief executive officer of CV Services International, "The transaction will be transparent to our customers. CV Services International will continue to support all aspects of a customer's current systems and our strategic partnerships will remain unaffected."
A Progressive Strategy for Growth for CV Services International and Computervision
Commenting on the current status and
future of CV Services International, John says, "We have
transformed our business over the last few years to supply our
customers with a broad range of services to provide them with
a competitive approach to Information Technology. This service
partnership with J. F. Lehman & Company will enable us to
grow our business by greater investment in our people, process,
and technology."
For Computervision Corporation, the
sale to J. F. Lehman & Company will enable Computervision
to totally focus its strategy and resources on increasing its
software solutions business in the expanding EPD marketplace of
enterprise-wide product development solutions. With the EPD marketplace
estimated to be growing at least $3 billion, or in excess of 20
percent annually, it offers a major opportunity for Computervision
to be a driving force in this robust environment.
Kathleen A. Cote, president and chief
executive officer of Computervision, explains that, "Computervision's
EPD strategy is an approach to developing, delivering, and maintaining
products throughout the entire product development life cycle.
EPD allows every part of an organization - design, development,
manufacturing, and support - to work in an optimized collaborative
environment, sharing design information and responding quickly
to design changes as they happen."
Discussing the reasoning behind the sale, Kathleen says, "While the hardware services business was a profitable one for our company, the proceeds from this transaction and the resulting impact on our P&L and balance sheet made the decision fairly straightforward. The proceeds will be used to further reduce debt, moving us closer to our goal of being debt-free by the year 2000."
A Win/Win Situation for Customers of Both Organizations
The agreement enables Computervision
Corporation to aggressively pursue its plan to provide premier
EPD software applications and support. Likewise, CV Services International,
in addition to traditional support of customers' systems, will
now be positioned to offer new and broader services and solutions,
particularly in the areas of Network Optimization, Network File
System Solutions, Network Connectivity, Capacity Planning, Oracle
Services, and Systems Administration.
In addition, the new, financially strong
company is fully committed to pursue untapped opportunities, expand
its service offerings, and enhance its support and worldwide consulting
capabilities.
About the New Owners
J. F. Lehman & Company (JFLC) is
a company that specializes in the acquisition of mid-sized high-technology
manufacturing and service companies. It focuses on those industries
where the principals have specialized experience and relationships.
JFLC has the reputation of bringing extensive strategic and managerial
capabilities to the companies it acquires - making a significant
contribution to the performance and value of the new venture.
It is not affiliated with Lehman Brothers, the New York investment
firm.
JFLC plans to make a significant contribution to the performance of CV Services International, which will focus on its core competencies. These strengths include a significant worldwide position in the Sun services business, a loyal customer base, strong quality reputation, and management skills.
(Sun Microsystems, Inc.)(1997).iso/products/CV/costabil.gif)
Joe Costabile, future
vice president, North American sales, service, marketing and business
development, CVServices International
Q. How does the purchase of the OSS portion of Computervision Services affect your business in North America?
A. The transaction allows us to run
as an independent company with the main focus on growing our services
business. A significant amount of this growth will be through
our value-added resellers (VARs). We will authorize our VARs to
offer the full suite of services available to every CV Services
International customer. We'll be providing our VARs with the tools
and support they need, and together we'll be giving customers
access to the best Sun service resources in the industry.
Q. Is there a discount available to schools and colleges on Sun service?
A. CV Services International will offer
a discount to educational institutions which use the equipment
under contract for educational purposes.
Q. Do you offer volume discounts?
A. We will offer a volume discount
for individual end user sites based on the list price of monthly
maintenance for Sun systems. The amounts are used to determine
discount percentages, which increase with the monthly list price.
Q. If a user has a one-year return-to-factory warranty from Sun on a new SPARC® system, what can you offer?
A. We offer an upgrade to an on-site
service contract, which we do for many of our customers who have
other Sun systems on maintenance with us.
(Sun Microsystems, Inc.)(1997).iso/products/CV/imncover2.gif)
Today, as customers move into the world of Internet/Intranet technology, CV Services International has taken a leadership position to help them answer the concerns of network management, monitoring, and security - matters that must be addressed, modified, and adjusted on a daily basis. The need for ever more speed requires detailed knowledge, products, and skills to best utilize web servers, network file servers, and related technologies, including an effective strategy for improving information storage and enhancing network efficiency.
To confront these issues, CV Services International has formed strategic partnerships for products offered by leading hardware, software, and application suppliers. For example, CV Services International is partnered with Auspex - a company which furnishes its netserver to a number of the world's leading Internet service providers.
To help customers develop and maintain their home pages with the latest multi-media technologies, CV Services International supports the hottest new products - Java™, and Java Workshop - from Sun®.
In the area of network management, CV Services International can support customers with network optimization and planning to reduce or eliminate performance, integration, reliability, and management problems by providing the proper tools, technology, and services.
Network monitoring offers additional challenges. CV Services International can provide customers with ways to monitor their systems and applications, as well as administer day-to-day activities.
One of the most critical aspects of the proliferation of networks is the reinforcement of security measures to ensure integrity. CV Services International, which uses the latest industry standards, can implement a secure environment that prevents unauthorized tampering, while giving authorized users access to only the data they require. CV Services International offers the hardware and software needed to obtain the ultimate level of security using encryption or, for less critical environments, provide hardware/ software firewall solutions.
Internet/Intranet services include
providing design, implementation, and support of global and private
networks. In addition, the company can help setup e-mail systems
and implement required tools, such as browsers and servers.
CV Services International: Great
Today, Even Better Tomorrow
A Glance at the Company's Current Status and Its Strategic Plans for the Future
How to Accomplish:
What Benefits Customers Can Expect:
What We Need to Do:
What We Offer:
What We Will Offer:
How to Accomplish:
What We Will Deliver:
What Customers Can Expect:
No other vendor can deliver the depth and targeted information about how Computervision applications can perform and what is required to fix potential problems.
There are no changes in the current
customary support process. CV Services International continues
to be responsible for all aspects of systems service:
50 Series Customers
Computervision Customers
A dynamic new offering, described in a flyer included in this mailing of Visions, reinforces CV Services International's commitment to customer satisfaction. Designed to specifically reduce the number and severity of emergency calls and optimize the performance of Prime 50 Series® and Sun Microsystems SPARC® systems, the recently introduced program will be performed by highly skilled systems analysts on a consistent and scheduled basis.
The Systems Administration Program
is a way for customers to "end the pain" of downtime,
slow-running applications, overworked systems administrators,
and security issues by providing solutions that make your systems
work smarter not harder.
If you are interested in receiving more information about this exciting new program, fill in and mail the reply card located within the middle pages of this publication.
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A Rave Review: CV Services International Selected as Provider of Software and Hardware Maintenance for Customers of Sun Marketplace Solutions
Quality is the key ingredient in a new and mutually beneficial relationship which began in August with the announcement that Rave Computer Association, Inc. had chosen Computervision Services®, now known as CV Services International, to be its service provider for a broad base of products designed for a growing niche market.
"We had recognized Computervision as a quality service company for a number of years. Due to Rave's growth and recent new product announcements, a formal agreement made sense. This first agreement - arranged last summer - meant that everything came together at the right time," says Rick Darter, president of Rave Computer.
Based in Sterling Heights, Michigan, Rave is the leading independent Sun® marketplace solutions provider. Founded in l988, Rave generated $3 million in sales its first year in business. In l995, it sold over $26 million and won its second award for being in the top 50 fastest growing privately held companies in Michigan. Rave has just added a second building in Sterling Heights, augmenting its space by 15,000 square feet. The company operates sales offices in Washington, D.C., Florida, Texas, Minnesota, and Washington state.
In addition to designing and manufacturing its own brand of SPARC® based systems - the POWER Tower and POWER Rack - Rave also offers a full line of used Sun marketplace products, including original Sun workstations and servers, compatible systems, laptops, performance upgrades, software, and technical support.
Rick explains that Rave has two subsidiaries, Rave Governmental, which holds various GSA contracts, and Rave Financial Services, Inc. By next year, the latter, he believes, will qualify on its own as one of the top l0 fastest growing companies in Michigan.
"We think by being associated with a well-respected, third-party service organization, such as CV Services International, Rave will be able to broaden its nationwide customer base," Rick admits. "With strong ties to the governmental, CAD, automotive, telecommunications, and financial markets - industries that often demand on-site maintenance - we are convinced this type of partnership is essential."
"Few other value-added resellers have as many customized offerings for Sun customers as we do," Rick explains. "We often integrate products from multiple manufacturers to customize systems for our customers."
In addition to original Sun hardware, Rave is also a SunSoft™ OEM, SME OEM, master reseller for Ross Technologies, Axil Computers, Tadpole Technology, Cycle 5, Weitek, and others.
Because of Rave's unique product mix, CV Services International technicians are being specially trained before handling calls.
"CV Services International gives Rave the ability to offer solutions that fit our customers' individual needs and, at the same time, offers maintenance from a single source," Rick concludes.
Joe Costabile, director of North American sales, service, marketing, and business development for CV Services International, concurs with Rick that the recent agreement is a positive step for both companies. "Rave customers will benefit from our many years of experience providing support services for Sun systems, and we gain by adding another fine company to our growing international customer base."