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Convergent Group
www.convergentgroup.com

ENGLEWOOD, CO., September 5 , 2000 /PRNewswire/ -- Convergent Group Corporation (Nasdaq: CVGP) today outlined the components of a business strategy that establishes it as the preeminent source for providing utility companies with both the digital infrastructure and eBusiness solutions necessary tooperate in the new energy economy, a market characterized by heightened competition and unprecedented, rapid change. Convergent Group engineers, builds and manages its Digital Utility(SM) business solutions that enable a utility totransform its business model into a digital business enterprise.

In conjunction with the public announcement of its business strategy for the utility industry, Convergent Group also announces that it has signed a Digital Utility contract with Rochester Gas and Electric Corporation (RG&E) to provide services and information technology solutions that will help transform the New York State utility into a digital enterprise.

The goal of the three-year agreement is to further maximize the efficiency of RG&E's utility operations and the effectiveness of the utility's customer service. Prior toentering into the agreement, Convergent Group completed an assessment and strategic analysis for RG&E, which served as the basis for creating the tools needed to meet RG&E's business objectives. This assessment formed the foundation for the new contract tocreate a Digital Utility encompassing the integration of energy delivery and front office and back office operations for the utility.

"We are leveraging our in-depth expertise in the utility market and our extensive information technology experience to Lead the transformation of utilities from old economy businesses models into new seamless digital enterprises," said Glenn Montgomery, Chairman and CEO of Convergent Group. "In today's marketplace, Convergent Group is the only company that offers exclusive end-to-end solutions toutility companies. We assist clients such as RG&E to develop new economy business strategies, build the digital infrastructure and Web-based interfaces to Support these strategies, and guide them through the transformation process. The services and solutions we are providing toRG&E can help the utility enhance its reputation as a customer- driven, flexible and proactive organization."

Explosive growth in the utilities segment of the IT services market is driven by the convergence of deregulation with the immediacy of the Internet. Utility industry deregulation has brought a flood of new participants to the market. to compete effectively in this dramatically changing environment, utilities must increase revenues, enhance efficiencies and improve service levels in order toretain existing customers and differentiate their product offerings and services.

According toInternational Data Corporation, the U.S. utilities industry is expected tospend approximately $2 billion on Internet services by 2003, a significant increase from the $345 million spent in 1999.

"As the industry continues toderegulate, gas and electric utilities must meet the challenge of improving customer service, while reducing costs and becoming more efficient than their competitors," said Montgomery. "We are extremely pleased to Offer this unique solution, the Digital Utility, which is quickly becoming the premier business solution toenable utilities to completely transform their businesses."

Convergent Group's proprietary models in the Digital Utility focus on bringing together utility personnel, contractors, partners and customers on a Web-based platform that enables all parties to access business information on a real-time basis.

Through the creation of Digital Utility eBusiness applications, utility customers will be able toconduct business transactions on-line, such as signing up for new service or changing service options, reviewing account balances, checking the status of service outages, reviewing usage history, making automated bill payments, and self-scheduling service appointments. Contractors can benefit as well, as they are enabled to submit service requirements, complete service contracts, access utility design specifications, check permit status and self-schedule construction project timetables on-line.

"Going forward, we anticipate that our Digital Utility will continue to be a key contributor toConvergent Group's revenue and income growth," noted Bryan Mileger, Convergent Group's Chief Financial Officer. "The utility industry's response to our solutions has been overwhelmingly positive, and growth in our client base has exceeded internal expectations. In addition, as our installed base of Digital Utility clients grows, Convergent Group's operating margins are likely to expand as well, as value-added services grow to become a larger component of our overall business mix."

As part of the new contract with RG&E, Convergent Group will deploy its Model Office™, which is the technology architecture for the Digital Utility. The Model Office components to be deployed include Geographic Information System (GIS) software from ESRI, network planning tools from Stoner, work management products from Severn Trent Systems, wireless workforce management technology from MDSI Mobile Data Solutions Inc., an outage management system from CES International, and Convergent Group's work- integration management and common-crew management tools.

About RG&E:
RG&E provides electric and gas energy and related services to a population of more than one million residents and businesses in a nine-county region centering around the city of Rochester in upstate New York. This new contract discussed in this release is part of the $100 million in new contract wins that Convergent Group previously announced on August 31.

About Convergent Group:
Convergent Group Corporation is a provider of consulting, software engineering, systems integration and project management services that enable its utility and local government clients to implement Internet-based business solutions, also known as eBusiness solutions. These solutions enable Convergent Group's clients totransform their organizations intodigital business environments that integrate data from various isolated sources tocreate a single, Web-based point of entry through which internal decision- makers, business partners, suppliers, customers and constituents can access business information on a real-time basis.

By combining its use of existing an emerging digital technologies with Convergent Group's expertise in the utility and local government sectors, the firm is able to help its clients increase revenues, reduce costs, improve customer services, ensure service reliability, improve resource management and exploit their information assets. The company headquarters are located at 6399 South Fiddler's Green Circle, Suite 600, Englewood, Colorado 80111. The company has offices in Denver, Boston, Brisbane and London. (www.convergentgroup.com).

This release may contain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties. Among the important factors that could cause actual results todiffer materially from those in the forward-looking statements are economic, competitive and technological factors effecting the company's operations, markets, products, services and prices, as well as other factors detailed in the company's filings with the Securities and Exchange Commission.

SOURCE Convergent Group Corporation