TechForce Corp. Announces Transfer of FedEx Depot Repair Business to ATS Telephone and Data Systems Inc

Business Wire, Sept 17, 1997

CLEARWATER, Fla.--(BUSINESS WIRE)--Sept. 17, 1997--TechForce Corp. (NASDAQ:TFRC), a LAN/WAN internetworking support provider, Wednesday announced the sale of certain assets and the transfer of its Memphis, Tenn. based depot repair services for FedEx to ATS Telephone and Data Systems.

Under the terms of the agreement, ATS, who provides repair services under an existing agreement with FedEx, purchased certain assets from TechForce and hired most of the company's employees previously associated with this repair business.

FedEx, the company's only depot repair customer, recently introduced improved technology that resulted in significantly reduced levels of repair activity required from TechForce. The remaining repair service business was not deemed critical to the company's core business strategy of providing enterprise networking and workstation support services. Therefore, exiting this business will allow the company to focus its resources more fully on these core business areas. ATS operates a state-of-the-art Depot Repair Center in Memphis, Tenn. that provides rapid repair turnaround of telecommunication and computing equipment.

John Koehler, CEO of TechForce, said: "The relationship with FedEx, our first customer, has been highly valued by TechForce and mutually beneficial. By transferring this repair business to ATS we believe that the interests of both FedEx and our employees are well served. We had not been able to deliver this reduced volume of repairs profitably, and are pleased to transfer this business in a manner which continues to meet the needs of FedEx and eliminates future TechForce operating losses from this activity."

TechForce is a worldwide support organization focusing on mission critical technologies such as LAN/WAN internetworking, data networking, mainframe channel networking and workstation support. TechForce's support solutions include 7X24 diagnostic and technical support from the Technology Support Center in Clearwater, Fla., on-site and depot maintenance (advance equipment replacement), remote and on-site equipment software installation, network design, and network monitoring services on complex multi-vendor enterprise networks. In addition, TechForce sells and/or leases new and refurbished data communications equipment. TechForce is headquartered in Clearwater, Fla. and is publicly traded on NASDAQ Stock Market's National Market under the symbol "TFRC." TechForce headquarters can be reached by phone at 813/532-3600; the company's address on the World Wide Web is www.techforce.com .

CONTACT: TechForce Corp., Clearwater

Jerrel Kee, Chief Financial Officer, 813/532-3661