The ratings on France-based Cap Gemini S.A. reflect the company's broad and diversified capabilities in IT services, conservative financial policies, and continually improving operating and financial track record. Partially offsetting these factors is the intensely competitive nature of the IT services industry, which results in low margins and frequent capacity adjustment costs. With revenues of €8.7 billion in the 12 months ended June 30, 2008, Cap Gemini has a broad and diversified service base, including outsourcing (IT infrastructure and application management), technology (systems integration and software development), IT and management consulting, and profitable local professional services. The group continued to improve its pre-restructuring operating margin in the first half of 2008, which reached 7.6%, or a 150 basis point increase
