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JACKSON: Corporate development is an important
capability in our financial toolbox. Mergers and acquisitions (M&A)
give us an alternative way to acquire talent, product capability and customers.
We have worked hard not only to build the financial tools that make a
good M&A shop, but also to build the teamwork across Sabre necessary
to integrate companies successfully. We can maintain a company's autonomy
or integrate it very quickly - depending on the nature of the acquisition
and on where Sabre's capabilities lie.
M&A are also about divestiture. In 2001, we divested our airline
infrastructure outsourcing business, which allowed us to focus on faster-growing
travel marketing and distribution and airline solutions businesses. At
the same time, we reduced our data-processing costs by signing a service
contract for EDS to manage our IT systems. And we agreed to jointly market
key IT solutions and services with EDS to the travel industry. These agreements
are important to our future growth.
Corporate development is vital because of the pace of change in our industry
and at Sabre. And we know that our ability to effectively sort and prioritize
different opportunities and fit them within our financial strategy is looked
at very closely by our shareholders and the Wall Street community. |
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