Broad and varied IT service offerings, geographically diversified revenues, and solid client base. Opportunity to leverage its large and growing offshore capabilities. Established presence in the more predictable outsourcing segment. Prudent financial policies and strong liquidity position. Highly competitive and fragmented IT services industry. Exposure to economic cycles and clients' IT budgets. Ongoing restructuring needs. Thin operating margins. The ratings on France-based IT consulting and service group Cap Gemini S.A. reflect Standard&Poor's Ratings Services' view of the group's business risk profile as "satisfactory" and financial risk profile as "intermediate," as our criteria define the terms. The ratings are underpinned by the group's broad and diversified capabilities in IT services, solid and growing offshore base, and adequate cost control.
