Pactera Technology Internationa (NASDAQ:PACT)

BEIJING, March 28, 2014 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced the completion of the merger contemplated by the previously announced Agreement and Plan of Merger dated as of October 17, 2013 (the "Merger Agreement"), among the Company, BCP (Singapore) VI Cayman Acquisition Co. Ltd. ("Parent"), BCP (Singapore) VI Cayman Financing Co. Ltd. ("Midco") and BCP (Singapore) VI Cayman Merger Co. Ltd. ("Merger Sub"). As a result of the merger, the Company became indirectly wholly owned by Parent.

Under the terms of the Merger Agreement, which was approved by the Company's shareholders at an extraordinary general meeting held on March 6, 2014, each outstanding common share of the Company ("Share"), other than (a) Shares beneficially owned by Mr. Chris Shuning Chen, Mr. Tiak Koon Loh, Mr. David Lifeng Chen, Mr. Jun Su, Ms. He Jin, Mr. Chu Tzer Liu, Mr. Jian Wu, Mr. Junbo Liu, Mr. Jinsong Li, Mr. Minggang Feng, Granite Global Ventures II L.P. and GGV II Entrepreneurs Fund L.P. and contributed to Parent (the "Rollover Shares"), (b) Shares held by Parent, the Company or any of their subsidiaries (collectively, with the Rollover Shares, the "Excluded Shares") and (c) Shares owned by shareholders who have validly exercised and have not effectively withdrawn or lost their dissenter rights under Section 238 of the Companies Law, Cap. 22 (Law 3 of 1961, as consolidated and revised) of the Cayman Islands (the "Dissenting Shares"), was cancelled in exchange for the right to receive $7.30 in cash without interest, and each issued and outstanding American depositary share (the "ADS") (other than any ADS that represents Excluded Shares), each representing one Share, will be cancelled in exchange for the right to receive $7.30 in cash, less $0.05 per ADS in cancellation fees pursuant to the terms of the ADS deposit agreement of the Company, in each case, net of any applicable withholding taxes.

Registered holders of Shares and ADSs represented by share or ADS certificates, other than the Excluded Shares and Dissenting Shares, will receive a letter of transmittal and instructions on how to surrender their certificates in exchange for the merger consideration and should wait to receive the letter of transmittal before surrendering their certificates. Payment will be made to surrendering registered ADS holders and holders of ADSs in un-certificated form as soon as practicable after Deutsche Bank Trust Company Americas, the Company's depositary, receives the merger consideration.

The Company also announced today that it requested that trading of its ADSs on the NASDAQ Global Select Market (the "NASDAQ") be suspended beginning on March 28, 2014. The Company requested the NASDAQ to file Form 25 with the United States Securities and Exchange Commission (the "SEC") notifying the SEC of the delisting of the ADSs on the NASDAQ and the deregistration of the Company's registered securities. The Company intends to terminate its reporting obligations under the Securities Exchange Act of 1934, as amended, by filing Form 15 with the SEC in ten days. The Company's obligations to file or furnish with the SEC certain reports and forms, including Form 20-F and Form 6-K, will be suspended immediately as of the filing date of the Form 15 and will cease once the deregistration becomes effective.

PACTERA TECHNOLOGY INTERNATIONAL LTD.

CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of U.S. dollars, except share and per share data, or otherwise noted)

Management Discussion and Analysis

Results of Operations Comparison of 2012 and 2013

Our total net revenues increased by $311.0 million, or 86.6%, from $359.0 million in 2012 to $670.0 million in 2013. Our results of operations in 2012 included VanceInfo's results of operations only for the period from November 9, 2012 to December 31, 2012. Therefore, financial statements for 2012 and 2013 are not comparable. Our three lines of services, IT services, research and development services and BPO services recorded year-on-year increases in net revenues of $186.5 million, or 87.8%, $115.4 million, or 80.1%, and $9.1 million, or 377.1%, respectively.

As a result of the foregoing, our net income increased to $7.8 million in 2013 from net income of $3.3 million in 2012.

BEIJING, March 6, 2014 /PRNewswire/ -- Pactera Technology International Ltd. (NASDAQ: PACT), a global consulting and technology services provider strategically headquartered in China, and Jatis Group, a leading Indonesian information technology and software consulting firm, today announced the launch of a new joint venture (JV) company Pactera-Jatis Indonesia (PJI).

With operating approval obtained from Indonesia Investment Coordinating Board (BKPM), the partnership establishes PJI as a leading global player in the region that builds upon the strengths of both companies to develop targeted industry solutions. The formation of PJI brings Pactera near-shore development capabilities in Indonesia to complement its global delivery centres located in mainland China. In addition to servicing customers in the APAC region, PJI is positioned to be a one-stop reliable centre for businesses around the globe seeking business expansion in South East Asia's booming economy.

Jatis Group's key clientele includes leading APAC institutions in the financial, mobile-telecommunication, healthcare, manufacturing / distribution, Fast Moving Consumer Goods (FMCG) and public sectors. Headquartered in the Indonesian capital city of Jakarta, Jatis Group has branch offices in Singapore, Kuala Lumpur and Manila that serve multiple clients with 80 top brands from national and multinational firms.

"I am delighted to update our valued clients on the formation of Pactera-Jatis Indonesia (PJI). This joint venture between Pactera and Jatis Group brings together excellent synergies from both companies to realize tremendous growth opportunities in the APAC Region," commented Tiak Koon Loh, Director and Chief Executive Officer of Pactera. "Through PJI, together with our Asia South business focus, we are now able to provide our clients with strategically best-shore alternatives by leveraging delivery capabilities in Indonesia, Malaysia and the Philippines, in addition to our existing key centres in China. With a talented team of over 200 strong, this JV further enables Pactera and Jatis to enhance and develop meaningful joint go-to-market initiatives that will enable us to compete more aggressively and win more decisively in the fast growing Asia Pacific market place."

Jusuf Sjariffudin, Group President & CEO of Jatis Group, added: "The formation of PJI was made possible through the shared vision of both entities to ramp up comprehensive consulting and technology services in APAC. PJI is ready to serve multinational corporate clients with a best-shore delivery platform that sets it apart from other players in the industry. With top quality standards, PJI is focused on a perfect balance of personalized high-value services and efficient delivery processes that connect and support our clients' growing business needs. In a span of 2 years, PJI is targeting to grow manpower to 1,000 talented technology professionals."

The APAC region has traditionally been a key growth market for Pactera, and the effort to increase human capital at PJI is designed to capture a greater market share of diverse information technology services. With a strong footprint established in major economies, Pactera has also continued expansion to other geographies in the region, including Japan and Australia.

BEIJING, March 6, 2014 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced that at an extraordinary general meeting held today, the Company's shareholders voted to approve the proposal to authorize and approve the previously announced Agreement and Plan of Merger dated as of October 17, 2013 (the "Merger Agreement"), among the Company, BCP (Singapore) VI Cayman Acquisition Co. Ltd. ("Parent"), BCP (Singapore) VI Cayman Financing Co. Ltd. ("Midco"), and BCP (Singapore) VI Cayman Merger Co. Ltd. ("Merger Sub"), the plan of merger (the "Plan of Merger") and the transactions contemplated thereby. The transaction has already obtained all necessary antitrust approvals under the PRC Anti-Monopoly Law, the Japanese Act on Prohibition of Private Monopolization and Maintenance of Fair Trade and the U.S. Hart-Scott-Rodino Antitrust Improvements Act of 1976.

Approximately 99% of the Company's outstanding common shares (the "Shares") entitled to vote were present in person or by proxy at today's extraordinary general meeting. Of the Shares present in person or by proxy at the extraordinary general meeting, approximately 89% were voted in favor of the proposal to authorize and approve the Merger Agreement and any and all transactions contemplated by the Merger Agreement, including the merger. A two-third majority of Shares present and voting in person or by proxy at the extraordinary general meeting was required for approval.

The parties expect to complete the merger as soon as practicable, subject to the satisfaction or waiver of the conditions set forth in the Merger Agreement. If the merger is completed, the Company will continue its operations as a privately held company and, as a result of the merger, the American depositary shares, each representing one Share (the "ADSs"), will no longer be listed on the NASDAQ Global Select Market and the American depositary shares program for the ADSs will terminate.

Fourth Quarter 2013 Financial Results

• Net revenues were $181.5 million for thefourth quarter of 2013, as compared to $142.2 million for the fourth quarter of 2012.
• Non-GAAP diluted net income per ADS was $0.20 in the fourth quarter of 2013, compared to $0.24 in the corresponding period of 2012.

"The 2013 result is in line with our guidance, in both top line and bottom line," said Mr. Tiak Koon Loh, Chief Executive Officer of Pactera. "We see slow recovery in our top line growth despite the impact from our major telecom customer and adverse effect of Japanese currency depreciation. Margin is improving over the last few quarters, with the impact from integration of merger of equals diminishing over time. While the privatization process keeps going on as per planned, we'll remain focused on executing the right strategy to support quality growth and maintaining a high level of customer satisfaction."

BEIJING, February 25, 2014 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, is pleased to announce that Institutional Shareholder Services Inc. ("ISS") and Glass Lewis & Co., LLC ("Glass Lewis") have recommended that Pactera shareholders vote for approval of the Company's agreement and plan of merger (the "Merger Agreement") dated October 17, 2013 under which the Company will be acquired by a consortium led by funds managed or advised by Blackstone (as defined below) for US$7.30 per common share (a "Share") or US$7.30 per American depositary share (an "ADS"), each representing one Share, of the Company (the "Transaction"). The Transaction has already obtained all necessary antitrust approvals under the PRC Anti-Monopoly Law, the Japanese Act on Prohibition of Private Monopolization and Maintenance of Fair Trade and the U.S. Hart-Scott-Rodino Antitrust Improvements Act of 1976.

ISS and Glass Lewis are leading independent international proxy advisory firms and their voting analyses and recommendations are relied upon by thousands of major institutional investment firms, mutual funds and fiduciaries throughout the world.

The Company's extraordinary general meeting of shareholders (the "EGM") to consider and vote on, among other things, the Merger Agreement and the Transaction will be held on Thursday, March 6, 2014 at 10:00 a.m. (Beijing Time) at Building C-4, No. 66 Xixiaokou Road, Haidian District, Beijing 100192, the People's Republic of China. Shareholders of record as of the close of business in the Cayman Islands on February 12, 2014 will be entitled to vote at the EGM. The record date for ADS holders entitled to instruct Deutsche Bank Trust Company Americas, the ADS depositary, to vote the shares represented by the ADSs is the close of business in New York City on January 30, 2014.

BEIJING, January 24, 2014 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, announced today the acquisition of Innoveo Solutions AG ("Innoveo"), a Swiss based IT software product company, effective January 1, 2014.

Innoveo is a fully owned entity of Pactera and will be renamed Pactera Switzerland AG in Q1 2014, establishing an additional base for Pactera to serve a broad list of clients in the region. In October 2013, Pactera signed a definitive agreement under which the Company will be acquired by a consortium led by funds managed or advised by US-headquartered private equity investment firm Blackstone.

Innoveo's industry leading front-end insurance multi-channel sales solution, Innoveo Skye®, enables insurance companies to launch new products and build attractive product and services bundles, reacting quickly to competitor offerings. The solution has been deployed globally and is helping customers in multiple regions to reduce time to market.

The new solution adds to Pactera's existing set of industry leading banking, financial services and insurance (BFSI) solutions and extensive domain knowledge foundation. The Company provides services and solutions to leading global financial institutions in North America, Europe, Japan, Singapore, Australia, and China. In the China market, Pactera's Customer Relationship Management (CRM) banking solution is ranked number one and its Business Intelligence (BI) banking solution is ranked number two based on revenues.

Pactera CEO Tiak Koon Loh commented, "We are excited to have Innoveo join us to complement and empower our existing insurance practice with a team of technology and insurance experts and a new complementary solution offering. Innoveo Skye® will allow us to extend our offerings in addition to our IT services practice and solution products. The establishment of our subsidiary in Switzerland also adds to our expanding footprint in Europe, which is both a regional client base and a target market for many of our clients in other regions."

BEIJING, Dec. 27, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider headquartered in China, announced today that it has entered into several agreements (the "Transfer Agreements") with ChinaSoft International Limited (SEHK: 354) ("ChinaSoft") and its affiliates under which the Company will sell and transfer certain of its outsourcing business with Huawei, the Company's major telecom client, (the "Huawei Outsourcing Business to Transfer") to ChinaSoft and its affiliates.

In accordance with the Transfer Agreements, the Company and its affiliates will sell, and ChinaSoft and its affiliates will purchase the Huawei Outsourcing Business to Transfer, including relevant business contracts, and the Company and its affiliates will procure the transfer of relevant project teams. In addition, the Company and its affiliates will transfer to ChinaSoft and its affiliates certain assets and leases in connection with the Huawei Outsourcing Business to Transfer.

The closing of the transactions contemplated by the Transfer Agreements is expected to occur in the first quarter of 2014.

Third Quarter 2013 Financial Results

• Net revenues were $173.1 million for the third quarter of 2013 as compared to $79.6 million for the third quarter of 2012, reflecting a decrease of 1.5% from $175.8 million of the pro forma net revenues^[2] for the corresponding period in 2012.
• GAAP diluted net income per ADS for the third quarter of 2013 was $0.03. Non-GAAP diluted net income per ADS^[1] for the third quarter of 2013 was $0.18.

"We see continuous improvement in the third quarter of 2013," said Mr. Tiak Koon Loh, Chief Executive Officer of Pactera. "Net revenue is in line with our guidance, and excluding the impact from our major telecom customer and the adverse effect of Japanese currency depreciation, we're seeing slow recovery in our top line growth as the gross margin held steady. Following the announcement on October 17th regarding signing of definitive merger agreement for our potential privatization, we are working towards bringing this to an expeditious closure. However, our top priority continues to remain on improving our key financial KPIs and driving sustainable growth in our business."

Outlook for the Full Year 2013

For the full year 2013, based on current market and operating conditions, Pactera expects:

• Net revenues to be at least $668 million, compared to $673 million in 2012 on a pro-forma basis.
• Non-GAAP diluted net income per ADS to be at least $0.64, estimated based on 85.0 million weighted average equivalent ADSs outstanding.

CHARLOTTE, N.C., November 14, 2013 /PRNewswire/ -- Pactera (NASDAQ: PACT) today announced its partnership with MuleSoft, provider of the world's most widely used integration platform to connect the New Enterprise, to provide consulting and services for MuleSoft's Anypoint� Platform, a complete integration platform enabling connectivity to any application, data service or API, across the entire cloud and on-premise continuum.

Pactera's integration expertise and knowledge of the demands of vertical markets, coupled with MuleSoft's technology leadership, gives clients the support and tools they need to effectively bring together the explosion of endpoints and data in the New Enterprise.

"The partnership with MuleSoft supports our ability to transform organizations through data integration, helping them become more agile and competitive," said Doug Vinson, Vice President, Pactera US IT Services. "The strategic partnership will be of great value to companies dealing with the growing IT complexity of cloud and on-premise applications, multiple channels and devices."

"Today's winning companies gain competitive advantage by automating business processes across SaaS applications, data sources and APIs. Through its partnership with MuleSoft, Pactera is enabling its customers to achieve their business goals through integration," said Brent Hayward, vice president of global channels and services at MuleSoft. "We're pleased to welcome Pactera into MuleSoft's world-class partner ecosystem and look forward to working together to deliver significant business impact to our mutual customers."

"As a Premier MuleSoft Partner, Pactera ensures our clients' can address on-premise, cloud and hybrid integration use cases with scale and ease of use."

BEIJING, October 17, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider headquartered in China, announced today the signing of a definitive merger agreement ("Merger Agreement") under which the Company will be acquired by a consortium led by funds managed or advised by Blackstone (as defined below).

Under the terms of the Merger Agreement, upon completion of the acquisition, the shareholders of the Company will receive US$7.30 per common share (a "Share") or US$7.30 per American depositary share (an "ADS") of the Company (the "Transaction"). The price per Share and per ADS represents a premium of 39% over the Company's closing price of US$5.26 per ADS on May 17, 2013, the last trading day prior to the Company's announcement on May 20, 2013 that it had received a "going private" proposal from a consortium led by Blackstone, and a premium of 35% to the volume-weighted average closing price of the ADSs during the 30 trading days prior to May 20, 2013.

Immediately following the consummation of the Transaction, the Company will be beneficially owned by (i) Blackstone, (ii) certain members of the Company's management comprising of Chris Chen, the Company's non-executive chairman and Tiak Koon Loh, the Company's chief executive officer and several other senior managers (the "Management") and (iii) GGV Capital and its affiliates ("GGV") (collectively, the "Buyer Consortium"). The Management and GGV have entered into a voting agreement pursuant to which each has agreed, among other things, to vote all of his, her or its Shares in favor of the authorization and approval of the Merger Agreement and the Transaction.

The Company's board of directors, acting upon the unanimous recommendation of a special committee of the board of directors consisting of independent directors (the "Special Committee"), approved the Merger Agreement and the Transaction and resolved to recommend that the Company's shareholders vote to approve the Merger Agreement and the Transaction. The Special Committee negotiated the terms of the Merger Agreement with the assistance of its financial and legal advisors.

The Transaction is subject to various closing conditions, including a condition that the Merger Agreement be approved by an affirmative vote of shareholders representing two-thirds or more of the Shares present and voting in person or by proxy as a single class at a meeting of the Company's shareholders convened to consider the approval of the Merger Agreement and the Transaction and a condition that the parties obtain antitrust approval for the Transaction. If completed, the Transaction will result in the Company becoming a privately-held company and its ADSs will no longer be listed on the Nasdaq Global Select Market.

The Buyer Consortium, led by Blackstone, will provide equity financing for the Transaction.

Bank of America Merrill Lynch, Citigroup Global Markets Asia Limited and HSBC Bank USA, NA have agreed as mandated lead arrangers to provide committed debt financing for the Transaction.

The Company will prepare and file with the U.S. Securities and Exchange Commission (the "SEC") a Schedule 13E-3 transaction statement, which will include a proxy statement of the Company. The Schedule 13E-3 will include a description of the Merger Agreement and contain other important information about the Transaction, the Company and the other participants in the Transaction.

J.P. Morgan Securities (Asia Pacific) Limited is serving as exclusive financial advisor to the Special Committee. Shearman & Sterling LLP is serving as U.S. legal advisor to the Special Committee and Conyers Dill & Pearman is serving as Cayman Islands legal advisor to the Special Committee. Skadden, Arps, Slate, Meagher & Flom LLP is serving as U.S. legal advisor to J.P. Morgan Securities (Asia Pacific) Limited. Orrick, Herrington & Sutcliffe LLP is serving as the Company's U.S. counsel. Fangda Partners is serving as PRC legal advisor to the Company.

Citigroup Global Markets Inc. is serving as the sole financial advisor to the Buyer Consortium in respect of the Transaction. Ropes & Gray LLP is serving as U.S. legal advisor to the Buyer Consortium. Cleary Gottlieb Steen & Hamilton LLP is serving as U.S. legal advisor to the management members in the Buyer Consortium. Walkers Global and Jun He Law Offices are serving as Cayman Islands and PRC legal advisors to the Buyer Consortium, respectively. Davis Polk & Wardwell LLP is serving as U.S. legal advisor to Citigroup Global Markets Inc.

BEIJING, September 13, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced that the special committee of the board of directors of the Company (the "Special Committee") has received a definitive offer letter, dated September 12, 2013 (the "Offer"), from the consortium consisting of (i) an affiliate of funds managed or advised by The Blackstone Group, (ii) certain members of the Company's management comprising Chris Chen, the Company's non-executive Chairman, Tiak Koon Loh, the Company's Chief Executive Officer, and David Chen, Sidney Huang, Jun Su, He Jin, Chu Tzer Liu, Jian Wu, Junbo Liu, Jinsong Li and Minggang Feng, and (iii) Granite Global Ventures II L.P. and GGV II Entrepreneurs Fund L.P. (collectively, the "Buyer Consortium"), to acquire all of the outstanding shares of Pactera not currently owned by the Buyer Consortium in a going private transaction (the "Transaction") for US$7.00 per American Depositary Share ("ADS", each ADS representing one common share of the Company) in cash, subject to certain conditions. The Offer adjusted down the proposed price of US$7.50 per ADS in the Buyer Consortium's non-binding proposal received by the board of directors of the Company on May 20, 2013. A copy of the Offer is attached as Exhibit A.

The Special Committee, which was formed to consider the proposed Transaction and any potential alternative transactions involving the Company, with assistance from its financial and legal advisors, is in the process of evaluating the Offer and any alternative proposal it may receive. The Special Committee cautions the Company's shareholders that no decision has been made by the Special Committee or the board of directors of the Company with respect to the Company's response to the Offer and there can be no assurance that any agreement will be executed or that this or any other transaction will be approved or consummated.

Second Quarter 2013 Financial Results

• Net revenues for the second quarter of 2013 were $163.1 million,as compared to $71.8 million for the second quarter of 2012.
• Non-GAAP diluted net income per ADS was $0.14 in the second quarter of 2013, compared to $0.22 in the corresponding period of 2012.

"The second quarter of 2013 was a challenging but improving quarter for Pactera," said Mr. Tiak Koon Loh, Chief Executive Officer of Pactera. "Our topline momentum was impacted by continued headwinds from our major telecom customer, the adverse effect of Japanese currency depreciation, and some client specific business challenges. However, both gross margin and operating efficiency improved towards our targeted direction. The MOE integration remains on track and we expect our business to resume a more stable growth trajectory in the coming quarters."

Outlook for Pactera's Third Quarter and Full Year 2013

For the third quarter of 2013, based on current market and operating conditions and current book orders, Pactera expects:

• Net revenues to be at least $173.0 million, compared to $175.8 million in the third quarter of 2012 on a pro-forma basis. Excluding the revenues from our major telecom customer in both periods, this represents an increase of at least approximately 7.8% from the third quarter 2012.
• Non-GAAP diluted net income per ADS to be at least $0.17, estimated based on 84.5 million weighted average equivalent ADSs outstanding.

For the full year 2013, based on current market and operating conditions, Pactera expects:

• Excluding the revenues from our major telecom customer for both 2012 and 2013, net revenues to be between $620 million and $625 million, representing an increase between 7% and 8% from the 2012 pro forma revenues of $577 million. Based on our current visibility, we estimate net revenues from our major telecom customer to be approximately $45 million, which would result in a total net revenue for the Company to be between $665 million and $670 million in 2013, compared to $673 million in 2012 on a pro forma basis.
• Non-GAAP diluted net income per ADS to be in the range of $0.63 to $0.68, estimated based on 85.0 million weighted average equivalent ADSs outstanding.

BEIJING, August 19, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced that Sidney Huang, Chief Financial Officer, will be leaving the Company effective September 15, 2013, to accept a senior executive position at a leading player in the fast-growing Internet sector in China. Upon Mr. Huang's departure, Helena Chen, the Company's Senior Vice President and Corporate Controller, will serve as the interim CFO until a successor is named. To ensure a smooth transition, Mr. Huang will remain as an advisor to the Company for an extended period after the initial transition.

"We are sorry to see Sidney leave but happy for him to have this unique career opportunity," Mr. Tiak Koon Loh, Chief Executive Officer of Pactera, stated, "Sidney has made many significant and milestone contributions to bring VIT and thereby PACT to where we are today. We salute him and thank him from the bottom of our heart."

Mr. Huang stated, "It's been an honor to have served Pactera and the former VanceInfo over the past 7 years. Pactera has a bright future, and I wish the team all the best."

Ms. Chen joined the Company in 2007 and has taken the role of Corporate Controller since 2008. She was promoted to Vice President of Finance in 2011 and Senior Vice President of Finance in 2012. From 2001 to 2007, Ms. Chen worked as an auditor at Deloitte Touche Tohmatsu in Beijing.

CHARLOTTE, N.C., June 28, 2013 /PRNewswire/ -- Pactera (NASDAQ:PACT), the largest China-based IT services provider, today announced it has become an authorized Hortonworks Systems Integration Partner, providing Apache Hadoop consulting and integration services for the Hortonworks Data Platform.

The strategic partnership will enable customers to build and implement enterprise-class big data applications. Pactera's extensive IT industry experience and big data expertise, coupled with Hortonworks' proven experience in developing, distributing, and supporting enterprise Apache Hadoop, will offer cutting-edge and uniquely tailored solutions to enterprises facing big data challenges.

"We are very excited to add Hortonworks to our partnership network and further our ability to help customers transform their business with big data," said Doug Vinson, Vice President, US IT Services. "Pactera's world class IT services and Hortonworks' enterprise-ready Apache Hadoop distribution combine to create an efficient and cost effective solution for storing, mining, and extracting valuable data."

Pactera's architecture advisory services and implementation expertise across the Big Data ecosystem allow companies to gain key business insights in new ways. Through the partnership, clients will be able to capture and analyze structured and unstructured data for business critical and competitive insight.

"We are pleased to add Pactera to the Hortonworks System Integrator Partner Program," said Mitch Ferguson, Vice President of Business Development at Hortonworks. "Teaming with Pactera means that customers embarking on big data projects now have a strong team of experienced IT professionals and Hadoop expertise."

"Our strategic partnership will be of great value to enterprises across the globe as they can leverage Hortonworks' commitment to Apache Hadoop and Hortonworks Data Platform (HDP) with Pactera's Big Data core-services and implementation expertise to derive maximum value," said Tom Kersnick, Director of Big Data Solutions at Pactera

First Quarter 2013 Financial Results

• Net revenues were $152.3 million for thefirst quarter of 2013 as compared to $65.5 million for the first quarter of 2012, reflecting an increase of 0.5% from $151.6 million of the pro forma net revenues[2] for the corresponding period in 2012.
• Net loss attributable to Pactera was $1.7 million for the first quarter of 2013, compared to a net income of $6.1 million for the corresponding period in 2012. Diluted net loss per ADS was $0.02 for the first quarter of 2013, as compared to diluted net income per ADS of $0.14 in the corresponding period of 2012.
• Non-GAAP net income was$10.1 million for the first quarter of 2013, compared to $8.7 million for the same period in 2012. Non-GAAP diluted net income per ADS was $0.12 in the first quarter of 2013, compared to $0.20 in the corresponding period of 2012.

"The first quarter of 2013 was a challenging yet accomplished quarter," said Mr. Tiak Koon Loh, Chief Executive Officer of Pactera. "We experienced weaker than expected revenues and margins mainly due to lower visibility amidst the MOE integration and related business restructuring as well as a depreciating Japanese currency. However, we are on track with business and back-office integration, and we are achieving our six-month target of cost synergies ahead of schedule."

Outlook for Pactera's Second Quarter and Full Year 2013

For the second quarter of 2013, based on current market and operating conditions and current book orders, Pactera expects:

• Net revenues to be at least $163 million, compared to $166.5 million in the second quarter of 2012 on a pro-forma basis. Excluding the revenues from our large telecom customer in both periods, this represents an increase of at least 10% from the second quarter 2012.
• Non-GAAP diluted net income per ADS to be at least $0.14, estimated based on 84.5 million weighted average equivalent ADSs outstanding.

For the full year 2013, based on current market and operating conditions, Pactera expects:

• Excluding the revenues from our large telecom customer for both 2012 and 2013, net revenues to be between $635 million and $640 million, representing an increase between 10% and 11% from the 2012 pro forma revenues of $577 million. Based on our current visibility, we estimate net revenues from our large telecom customer to be approximately $40 million to $45 million, which would result in a total net revenue for the Company to be between $675 million and $685 million in 2013, compared to$673 million in 2012 on a pro forma basis.
• Non-GAAP diluted net income per ADS to be in the range of $0.68 to $0.73, estimated based on 85.5 million weighted average equivalent ADSs outstanding.

BEIJING, May 22, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced that its board of directors has established a special committee (the "Special Committee") to consider the proposal letter, dated May 20, 2013, from a consortium comprised of an affiliate of funds managed or advised by Blackstone, the Company's non-executive Chairman, Chris Chen , its Chief Executive Officer, Tiak Koon Loh , and its Executive Committee members, David Chen , Sidney Huang and Jun Suto acquire all of the outstanding shares of Pactera not currently owned by such consortium members in a going private transaction. 

The Special Committee is composed of the following independent directors of the Company: Ruby Lu, Terry McCarthy, Venky Krishnakumar and May Tung. Ruby Lu will be the Chairperson of the Special Committee. The Special Committee has retained Shearman & Sterling LLP as its legal counsel and is in the process of engaging an independent financial advisor to assist it in its work. The board of directors cautions the Company's shareholders that no decisions have been made by the Special Committee with respect to the Company's response to the proposal and there can be no assurance that any definitive offer will be made, that any agreement will be executed or that this or any other transaction will be approved or consummated.

BEIJING, May 20, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today announced that its board of directors has received a non-binding proposal letter dated May 20, 2013from an affiliate of funds managed or advised by Blackstone, the Company's non-executive Chairman, Chris Chen, its Chief Executive Officer, Tiak Koon Loh, and its Executive Committee members, David Chen, Sidney Huang and Jun Su (collectively, the "Buyer Consortium") to acquire all of the outstanding shares of Pactera not currently owned by the Buyer Consortium in a going private transaction (the "Transaction") for US$7.50 per American Depositary Share ("ADS", each ADS representing one common share of the Company) in cash, subject to certain conditions.

According to the proposal letter, the Buyer Consortium intends to form an acquisition vehicle for the purpose of implementing the Transaction, and the Transaction is intended to be financed with a combination of equity capital funded by the Buyer Consortium and third-party debt. A copy of the proposal letter is attached hereto as Exhibit A.

The Company expects that its board of directors will form a special committee consisting of independent directors (the "Special Committee") to consider this proposal. The Company also expects that the Special Committee will retain a financial advisor and legal counsel to assist it in its work. The Company cautions its shareholders and others considering trading in its securities that the Company has just received the non-binding proposal and no decisions have been made with respect to the Company's response to the proposal. There can be no assurance that any definitive offer will be made, that any agreement will be executed or that this or any other transaction will be approved or consummated.

Citigroup Global Markets Inc. is acting as financial advisor to the Consortium. Ropes & Gray LLP is acting as U.S. counsel to the Buyer Consortium, with Cleary Gottlieb Steen & Hamilton LLP acting as U.S. counsel to the senior management members in the Buyer Consortium mentioned above. Orrick, Herrington & Sutcliffe LLP is acting as the Company's U.S. counse

CHARLOTTE, NC, May 6, 2013 /PRNewswire/ -- Pactera (NASDAQ: PACT), the largest China-based IT services provider, today announced its participation as a member of the Recurring Revenue Alliance, designed to help businesses generate revenue and increase customer retention with best practice-based end-to-end recurring revenue solutions.

Pactera is a charter member of the Alliance, providing business and IT consulting services backed by a strong foundation of core technology services. Pactera's role in the Recurring Revenue Alliance includes integrating and implementing SaaS applications designed to help customers capitalize on untapped renewal opportunities, such as Renew OnDemand, with existing platforms such as CRM, quoting, and ERP systems.

"We are delighted that ServiceSource and Pactera will be alliance partners in delivering a state-of-the-art solution that drives recurring revenue for our clients," said David Chen , President of Pactera. "ServiceSource's unique Renew OnDemand product complemented by Pactera's global consulting team is the perfect combination to generate growing and profitable revenue for our clients."

The Recurring Revenue Alliance was created by ServiceSource, a Pactera partner that provides recurring revenue management solutions including Renew OnDemand, the world's only cloud application built specifically to manage and grow recurring revenue.

"We are pleased to welcome Pactera and the wealth of experience they bring to the Recurring Revenue Alliance," said,Christine Heckart , ServiceSource, CMO. "Pactera's world-class consulting services and strong track record of addressing information technology and process challenges further supports and establishes the vision of the Recurring Revenue Alliance."

As experienced systems integration consultants, Pactera helps companies address a wide range of information technology and process challenges and projects. Pactera and ServiceSource are working together to ensure Renew OnDemand is successfully deployed and easily embedded and adopted with our customers' environment.

BEIJING, November 6, 2012 /PRNewswire-FirstCall/ -- HiSoft Technology International Limited ("HiSoft" or the "Company") (NASDAQ: HSFT), a leading China-based provider of outsourced information technology and research and development services headquartered in Dalian, China, announced today that at the extraordinary general meeting of the Company's shareholders (the "EGM") held earlier today, shareholders voted to approve each of the proposed resolutions in connection with the previously announced merger with VanceInfo Technologies Inc. (NYSE: VIT). These proposals related to a consolidation of the share capital of the Company, an increase in the authorized share capital of the Company, the allotment and issuance of common shares of the Company, the change of the Company's English name and adoption of a Chinese name, and certain related amendments to the Company's memorandum and articles of association.

Based on the final tabulation, over 99% of the common shares of the Company present in person or by proxy at the EGM were voted "FOR" each of the resolutions to consolidate the share capital of the Company, increase the authorized share capital of the Company and allot and issue common shares of the Company and, therefore, each of these resolutions was passed as an ordinary resolution. Based on the final tabulation, over 99% of the common shares of the Company present in person or by proxy at the EGM were voted "FOR" each of the resolutions to change the Company's English name and adopt a Chinese name and to amend the Company's memorandum and articles of association and, therefore, each of these resolutions was passed as a special resolution.

Prior to the completion of the merger, the Company will effect its previously announced 13.9482-to-1 share consolidation and adjustment to its American depositary shares ("HiSoft ADS") pursuant to which each HiSoft ADS will represent 1 HiSoft share. The parties expect to complete the merger as soon as practicable. The completion of the merger is subject to the satisfaction or waiver of the conditions set forth in the merger agreement with VanceInfo. As a result of the merger, VanceInfo's American depositary shares will no longer be listed on the New York Stock Exchange. Upon completion of the merger, the combined entity will be named "Pactera Technology International Ltd." in English with its American depositary shares listed on the NASDAQ Global Select Market under the ticker symbol of "PACT".

BEIJING, October 31, 2012 /PRNewswire-FirstCall/ -- HiSoft Technology International Limited ("HiSoft" or the "Company") (NASDAQ: HSFT), a leading China-based provider of outsourced information technology and research and development services headquartered in Dalian, China, today reaffirmed previously issued guidance for the third quarter ended September 30, 2012 and full year 2012, in advance of the extraordinary general meeting of HiSoft shareholders, which is scheduled to occur at 9:00 a.m. Beijing time on November 6, 2012, to consider certain proposals in connection with the proposed merger of HiSoft and VanceInfo Technologies Inc.

Based on current market and operating conditions and current book orders, the Company expects:

For the third quarter of 2012:

• Net revenues to be at least US$77 million.
• Non-GAAP diluted net income per ADS^[1] to be between US$0.31 and US$0.32, excluding merger related costs.

For the full year of 2012:

• Net revenues to be at least US$297 million.
• Non-GAAP diluted net income per ADS^[2] to be between US$1.20 and US$1.23, excluding merger related costs.

These estimates are based on current market and operating conditions, are subject to change, and may be influenced positively or negatively by factors outside the Company's control, including but not limited to macroeconomic events in the markets in which the Company operates. See "Safe Harbor Statement" below for additional information regarding forward-looking statements. These estimates also do not include any expected or potential impact from any currently proposed or future merger or acquisition.

Investors should be aware that the above estimates are preliminary, unaudited and subject to further adjustments as a result of the Company's normal period-end closing procedures to be completed prior to the Company's upcoming earnings announcement with respect to its financial results for the quarter ended September 30, 2012. Further details will be provided in the Company's upcoming third quarter 2012 earnings announcement which is currently scheduled for Thursday, November 15, 2012.

Second Quarter 2012 Results

• Net revenues were US$71.8 million, up 41.1%
• Gross profit was US$25.6 million, up 42.7%
• Diluted net income per ADS[1] was US$0.20, compared to US$0.12 
• Non-GAAP[2] diluted net income per ADS was US$0.30, compared to US$0.18 
• Total employees as of June 30, 2012 was 7,814, compared to 6,410

"We are pleased to report a solid increase in revenue while maintaining a healthy improvement in our margins in the second quarter 2012," said HiSoft Chief Executive Officer Tiak Koon Loh. "This sound performance testifies to our strong market position and disciplined execution in our growth strategies."

"In the second quarter, our CPS revenue grew by 157% and our Greater China business continued to lead as a growth driver recording a 109% year-over-year increase in revenue. We are also pleased to see positive results reflected in our BFSI revenue which grew 67% year-over-year, contributing 31% of our total revenue. Our domestic BFSI practice remains especially robust," he said.

Loh concluded, "While our underlying operating performance is solid, we cannot ignore weaker economic conditions in much of the world which may moderate our growth. Despite macro-economic uncertainties, we believe our sturdy foundation of domain expertise, global presence, wide range of service lines and talented human resource pool will enable us to drive the delivery of quality services and deliver sustainable growth."

Outlook for Third Quarter 2012

For the third quarter of 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$77.0 million, representing an expected growth rate of 30.8% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$0.31 to US$0.32. This represents an expected growth rate of 19.2% to 23.1% year-over-year, based on 31.9 million weighted average ADSs outstanding

For the full year 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$297.0 million, representing an expected growth rate of 35.6% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$1.20 to US$1.23. This represents an expected growth rate of 33.3% to 36.7% year-over-year, based on 31.8 million weighted average ADSs outstanding

BEIJING, May 29, 2012 /PRNewswire-Asia-FirstCall/ -- HiSoft Technology International Limited ("HiSoft" or the "Company") (NASDAQ: HSFT), a leading China-based provider of outsourced information technology and research and development services headquartered in Dalian, China, today announced a strategic cooperation agreement with the International Association of Outsourcing Professionals (IAOP) at a press conference held at Kempinski Hotel Beijing.

Under the agreement, HiSoft becomes the exclusively licensed training provider of IAOP's Certified Outsourcing Professional (COP) training in China, including Taiwan and Macau. Officials from China's Ministry of Commerce and Ministry of Education as well as IAOP's Chief Executive Officer, Debi Hamil, and founder, Michael F. Corbett, HiSoft's Non-executive Chairman of the Board of Directors, Cheng Yaw Sun, and members of the foreign and domestic media were present at the press conference.

"We are proud to be selected as IAOP's exclusive provider of Certified Outsourcing Professional training in China. COP training is the gold-standard in our industry. This partnership not only recognizes HiSoft's commitment to a world-class training infrastructure, but also serves to strengthen our leadership position in the domestic industry," said HiSoft Chief Executive Officer, Tiak Koon Loh.

First Quarter 2012 

• Net revenues were US$65.5 million, up 47.8%
• Gross profit was US$22.9 million, up 62.1%
• Diluted net income per ADS(1) was US$0.19, compared to US$0.09
• Non-GAAP(2) diluted net income per ADS was US$0.27, compared to US$0.15
• Total employees as of March 31, 2012 was 7,490, compared to 5,946

"We are very pleased to have achieved solid year-over-year net revenue growth and margin improvement in the first quarter of the year, a period traditionally representing our slowest season of the year," said HiSoft Chief Executive Officer Tiak Koon Loh. "Our accretive growth was driven by record-high net revenue from companies headquartered in Greater China as well as continued strong contributions from our higher value-added services," said Loh.

"Our Consulting and Packaged Service portfolio, representing higher value-added services, achieved 143.5% year-over-year net revenue growth. These robust results further validate our commitment to provide world-class solution offerings and to become the partner of choice for both our multinational and domestic clients who desire to leverage growth and operational effectiveness," he said.

Loh concluded, "Opportunities with both domestic and multinational companies in Greater Chinaremain strong. Our performance in the first quarter, along with increased visibility into our pipeline, has encouraged us to update our outlook for 2012. As such, we have revised upward our full-year guidance estimates. We anticipate 2012 net revenues to grow at an estimated rate of at least 34.7% year-over-year, and 2012 non-GAAP diluted earnings per ADS to grow in an estimated range of 31.1% to 34.4% year-over-year."

Outlook for Second Quarter 2012

For the second quarter of 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$71.5 million, representing an expected growth rate of 40.6% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$0.28 to US$0.29. This represents an expected growth rate of 55.6% to 61.1% year-over-year, based on 32.5 million weighted average ADSs outstanding

For the full year 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$295.0 million, representing an expected growth rate of 34.7% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$1.18 to US$1.21. This represents an expected growth rate of 31.1% to 34.4% year-over-year, based on 32.4 million weighted average ADSs outstanding

These estimates are based on current market and operating conditions, are subject to change, and may be influenced positively or negatively by factors outside the Company's control, including but not limited to macroeconomic events in the markets in which the Company operates. See "Safe Harbor Statement" below for additional information regarding forward-looking statements.

Fourth Quarter 2011 as compared to Fourth Quarter 2010

• Net revenues were US$64.9 million, up 52.8%
• Gross profit was US$23.5 million, up 53.3%
• Diluted net income per ADS(1) was US$0.22, compared to US$0.02
• Non-GAAP(2) diluted net income per ADS was US$0.31, compared to US$0.10

"I am pleased to report another solid quarter of growth capping a year of exceptional progress. We surpassed our targets and finished the year stronger in our financial and operational metrics across all service lines, verticals and geographic markets," said HiSoft Chief Executive Officer Mr. Tiak Koon Loh.

Mr. Loh continued, "2011 was a transformative year for us as we invested to build our services portfolio of higher value-added solutions. Our robust results reflect the initial yield from this strategy as well as the disciplined execution to expand our significant client base, deepen levels of client penetration and accelerate inroads intoGreater China, ending the fourth quarter with our domestic China business contributing 20.3% of our total revenues."

"Last year, the number of significant clients with revenue contributions over US$1 million increased by 33% to 36. We are particularly pleased with the full year revenue growth of our Consulting and Packaged Solution services, which climbed over 300% from 2010. Together with developments across the technology and BFSI industries, our revenue realization per employee reached US$34,105," he said.

Loh concluded, "Our strategic efforts in 2011 position us to enter 2012 with great momentum. We will remain focused on the execution of our strategy of expanding our services portfolio with higher value-added solutions and driving profitable and sustainable growth."

Outlook for First Quarter and Full Year 2012

For the first quarter 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$65 million, representing an expected growth rate of at least 46.7% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$0.24 to US$0.25. This represents an expected growth rate of 60.0% to 66.7% year-over-year, based on 31.7 million weighted average ADSs outstanding

For the full year 2012, based on current market and operating conditions and current book orders, the Company expects:

• Net revenues to be at least US$285 million, representing an expected growth rate of at least 30.1% year-over-year
• Non-GAAP diluted net income per ADS to be in the estimated range of US$1.14 to US$1.18. This represents an expected growth rate of 26.7% to 31.1% year-over-year, based on 32.0 million weighted average ADSs outstanding

Our capital expenditures for 2010 were primarily related to purchasing new equipment for new employees and to replace existing equipment. We are evaluating various options to expand our capacity, including the establishment of a new campus containing administrative, sales, delivery center and other functions. We estimate that the construction of such a campus would cost between $25 million and $50 million over several years, which we would intend to fund with cash on hand and cash from operations. The timing and feasibility of such a project has not been determined as of the date of this annual report on Form 20-F.

Capital requirements are difficult to plan in our rapidly changing industry.

Second Quarter 2011 Results

BEIJING, July 9, 2011 /PRNewswire-FirstCall/ -- HiSoft Technology International Limited, ("HiSoft" or the "Company") (NASDAQ: HSFT), a leading China-based provider of outsourced information technology and research and development services headquartered in Dalian, China, announced today that it has acquired 100% of the equity interests in Nouveon Technology Partners, Inc. ("Nouveon"), a provider of value-driven IT and process consulting services. Under the terms of the agreement, HiSoft will pay an initial consideration ofUS$5.5 million in cash with additional contingent consideration to be paid based on Nouveon's financial performance over the next two years. The combination of Nouveon's domain expertise and HiSoft's global offshore delivery capabilities creates a uniquely powerful value proposition for clients.

Founded in 2003 by T.J. Eberle and a team of industry consultants, Nouveon is an established provider of value-driven IT and process consulting services to Fortune 500 companies. Based in Charlotte, North Carolina, Nouveon delivers results-oriented work to clients across the United States with domain expertise primarily in the financial services and energy sectors.

"We believe Nouveon's value-driven services and tailored solutions combined with their strong domain expertise in financial services will greatly benefit HiSoft and our global client base," said HiSoft Chief Executive Officer Tiak Koon Loh. "Their highly skilled consultants have an excellent quality-to-cost track record, delivering high-value consulting services and solutions to clients across the United States. This acquisition exemplifies our strategy to strengthen our higher value-added service offerings as we look to further serve the growing needs of our customers."

Nouveon President T.J. Eberle added, "HiSoft's global presence and strong delivery capabilities add a new dimension to the services we offer our clients. HiSoft's extensive experience and global know-how make them an ideal partner to grow with as we seek to deliver greater value to our clients."

HiSoft plans to use the Company's cash to fund the acquisition. Nouveon President T.J. Eberle together with key members of the existing Nouveon management team will remain with Nouveon after the acquisition. HiSoft will grant them employee incentive stock awards under HiSoft's recently adopted 2011 Equity Incentive Plan in order to retain and align their services with HiSoft. The Company expects the transaction to be accretive to earnings beginning in 2012.

BEIJING, June 29, 2011 /PRNewswire-Asia-FirstCall/ -- HiSoft Technology International Limited, ("HiSoft" or the "Company") (NASDAQ: HSFT), a leading China-based provider of outsourced information technology and research and development services headquartered in Dalian, China, today announced the appointment of Mr. Davy Lau as an independent director to the Company's board of directors.

Mr. Lau is currently managing his private direct investment companies, including DGL Group Inc. and Ocean Rich Group Limited. Until February 2011, he was a partner at EgonZehnder International. As managing partner of the Singapore practice of EgonZehnder (2000-2009), he helped establish the firm as one of the leading executive search firms in the market. Before EgonZehnder, Mr. Lau served as GTECH's general manager inAsia until February 1994. At GTECH, Mr. Lau successfully marketed and managed the on-going operations of various public gaming IT outsourcing projects in Asia. Prior to GTECH, Mr. Lau was vice president of Citigroup's Information Business in Japan until June 1989. Mr. Lau started his career at Computervision Corporation in the early 1980s, selling and implementing numerous CAD/CAM systems in the Asia-Pacificregion, including among which the first CAD/CAM systems ever installed in China.

Mr. Lau currently sits on the boards of several investee companies as well as non-profit organizations. He is the Vice Chairman of the Make-A-Wish Foundation Singapore and a member of the Governance Committee of United World College Southeast Asia. Mr. Lau received a bachelor's degree from Tokyo University of Foreign Studies in 1979 and a master of economics degree from Hitotsubashi University in Tokyo in 1981. He is fluent in English, Mandarin, Japanese and Cantonese.

"The appointment of Davy to our board reflects HiSoft's commitment to the highest standards of corporate governance," said HiSoft Chief Executive Officer Tiak Koon Loh. "We fully understand and comply with the regulatory requirements that come with being a US-listed public company. Our board is now comprised of a majority of independent directors and our audit and compensation committees are comprised exclusively of independent directors. We believe the implementation of these measures is important as we remain focused on our adherence to responsible and ethical business practices, while upholding the interests of our shareholders."

Mr. Loh continued, "Davy brings a wealth of professional experience to our board. As Singapore managing partner of one of the leading executive search firms, he has developed a deep understanding of what is required for strong management execution. Moreover, his regional experience in IT services will prove valuable as he lends his advice to the Company. I am confident Davy will help guide HiSoft to sustained growth in the quarters ahead."

Mr. Lau's appointment will be effective June 29, 2011. With his appointment, HiSoft's board will have seven directors, including four independent directors. Mr. Lau will serve on HiSoft's audit committee and as chairperson of the compensation committee, replacing Ms. Jenny Lee, who will step down from both committees but remain on HiSoft's board of directors. Mr. Pehong Chen, an independent director on the board, will join the compensation committee replacing Mr. Venkatachalam Krishnakumar who will step down from the committee. Mr. Krishnakumar will remain on HiSoft's board of directors.

First Quarter Results:

• First quarter 2011 net revenues increased 45.1% year-over-year to US$44.3 million from US$30.5 million for the corresponding period in 2010
• First quarter 2011 gross profit increased 26.9% year-over-year to US$14.1 million from US$11.1 million for the corresponding period in 2010
• First quarter 2011 GAAP diluted earnings per ADS was US$0.09 compared to US$0.13 in the corresponding period in 2010
• First quarter 2011 non-GAAP(1) diluted earnings per ADS was US$0.15 compared to US$0.17 in the corresponding period in 2010

"We are pleased to deliver continued growth momentum in our business," said HiSoft Chief Executive Officer Mr. Tiak Koon Loh. "In the first quarter, we saw strong revenue growth across service lines and geographical markets resulting in a year-over-year growth of 45%. At the end of the first quarter, our China business comprised approximately 17% of our total net revenues, which puts us on track to achieve our target of having 20% of our total revenue generated from China-headquartered companies by the end of the fourth quarter of 2011. Demand across sectors remains robust, and in particular, our banking, financial services and insurance business and SAP practices are growing nicely."

For the second quarter 2011, based on current market and operating conditions the Company expects:

• Second quarter 2011 net revenues to be at least $47.0 million dollars, representing an expected growth rate of at least 35.5% year-over-year
• Second quarter 2011 non-GAAP diluted earnings per ADS to be in the range of $0.17 to $0.18, representing a negative growth rate of between 25.0% and 29.2% year-over-year, based on approximately 32.5 million weighted average ADSs outstanding

For the full year 2011, based on current market and operating conditions, the Company re-confirms its previous guidance as:

• Full year 2011 net revenues expected to be at least $194.5 million dollars, representing a growth rate of at least 32.7% year-over-year
• Full year 2011 non-GAAP diluted earnings per ADS to be in the range of $0.76 to $0.80, representing an expected year-over-year growth rate to be in the range of 8.6% to 14.3%, based on 32.8 million weighted average ADSs outstanding

BEIJING, Feb. 9, 2011 /PRNewswire-Asia-FirstCall/ -- HiSoft Technology International Limited, today announced that it has been named to the NASDAQ Global Select Market, the premier listing tier for NASDAQ companies. HiSoft securities will be listed on the NASDAQ Global Select Market effective January 3, 2011.

"We are honored to be recognized as a Company that meets the highest listing standards in the world," stated HiSoft Chief Executive Officer Tiak Koon Loh. "Inclusion in this listing recognizes our solid financial performance in 2010 and our long-term potential for sustainable growth. We will continue to be a leader in the IT outsourcing vertical in China as we strive to move up the value chain and provide more sophisticated solutions and services to our customers."

Third Quarter 2010 Highlights

• Net revenues increased 70.8% year-over-year to US$38.9 million for the third quarter of 2010 from US$22.8 million for the corresponding period in 2009

• Gross margin was 37.3% for the third quarter of 2010, compared to 35.2% for the corresponding period in 2009

• Income from operations increased 125.1% year-over-year toUS$4.9 millionfor the third quarter of 2010 from US$2.2 millionfor the corresponding period in 2009

• Non-GAAP income from operations increased 156.9% year-over-year to US$6.4 millionfor the third quarter of 2010 fromUS$2.5 millionfor the corresponding period in 2009

• Diluted earnings per American depositary share ("ADS") was US$0.16 for the third quarter of 2010, compared to US$0.10 for the corresponding period in 2009

• Non-GAAP diluted earnings per ADS was US$0.21 for the third quarter of 2010, compared to US$0.11 for the corresponding period in 2009

"We achieved strong financial results during the third quarter," said HiSoft's Chief Executive Officer Tiak Koon Loh. "We continue to leverage our unique value proposition of best practices and expertise with our global clients to engage a growing number of enterprises in the domestic China market.  In the third quarter, we continued to diversify our customer revenue mix, decreasing dependence on individual customer contracts and achieved promising revenue growth from domestic China clients.  The IT services industry in China is rapidly growing and with our dual-shore delivery platform, I'm confident that we are well-positioned to capitalize on this opportunity."

HiSoft's Chief Financial Officer Christine Lu-Wong added, "Our third quarter growth is indicative of the robust demand for our IT outsourcing services. We are expanding our client base, building on existing relationships and executing our business strategy effectively. We maintained days sales outstanding at levels lower than industry norms and our goal as we move into the next quarter is to continue our disciplined cost control while focusing on increasing margins to deliver long-term shareholder value."

Outlook for Full Year 2010

For the full year 2010, based on current market and operating conditions, the Company expects:

• Net revenues to be in the estimated range of US$145 million to US$146 million, representing an expected growth rate of between 58.6% to 59.7% year-over-year
• Non-GAAP diluted earnings per ADS to be in the estimated range of US$0.82 to US$0.83, representing an expected growth rate of between 95.2% to 97.6% year-over-year, based on 31.5 million weighted average ADSs outstanding

"...today announced it intends to file a registration statement with the Securities and Exchange Commission on or about November 22, 2010 relating to a proposed offering of approximately 5,000,000 American depositary shares ("ADSs"), of which approximately 500,000 ADSs are proposed to be offered by the Company and an aggregate of approximately 4,500,000 additional ADSs are proposed to be offered by certain pre-IPO financial investors of the Company and certain other shareholders. Each ADS represents 19 common shares of the Company. In connection with this proposed offering, it is expected that the underwriters will be granted an option to purchase up to an aggregate of 750,000 additional ADSs from the selling shareholders. The amount and timing of the proposed offering is subject to market and other conditions.  

HiSoft expects to use the net proceeds from the proposed offering for general corporate purposes and for potential acquisitions of, or investments in, other businesses or technologies that the Company believes will complement its current operations and expansion strategies. HiSoft will not receive any proceeds from the sales of the ADSs by the selling shareholders."