eTelecare Global Solutions To Acquire AOL's Customer Care And Technical Support Subsidiary

eTelecare Global Solutions, Inc. , a leading provider of complex business process outsourcing (BPO) solutions, has entered into an agreement with AOL, a division of Time Warner Inc. to acquire all of the outstanding stock of AOL Member Services-Philippines, Inc., a wholly owned Philippines subsidiary of AOL that operates a primarily non-voice customer care and technical support delivery center near Manila. The purchase price of the subsidiary will be approximately $7.2M. Based on expected revenues and expenses, eTelecare expects the acquisition to be accretive to earnings beginning in 2007. The acquisition, which is expected to close at the end of September 2007, will enable eTelecare to further develop its non-voice service offerings, including e-mail and chat, by adding approximately 1,000 employees in the Philippines.

Simultaneously with the closing of the acquisition, eTelecare and AOL will enter into a new service agreement under which eTelecare will utilize its newly acquired delivery center for AOL customer support.

"The acquisition of the AOL customer care and technical support subsidiary will expand our capabilities to serve the growing email, chat and other non-voice needs of our clients and the market," said John Harris, president and chief executive officer of eTelecare. "In addition, we are pleased to have this opportunity to work with AOL."

About eTelecare Global Solutions
Founded in 1999, eTelecare Global Solutions is a leading provider of business process outsourcing (BPO) focusing on the complex, voice-based segment of customer-care services. It provides a range of services, including technical support, customer service, sales and customer retention from both onshore and offshore locations. Services are provided from delivery centers in the Philippines and in North America. Additional information is available at www.etelecare.com.

SOURCE: eTelecare Global Solutions, Inc