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TeleTech and Avaya Deliver New Hosted Services to Help CompaniesManage Customer Interactions


TeleTech Holdings and Avaya announced a five-year agreement to jointly market hosted contact center infrastructure, applications and professional services to medium-sized and large enterprises worldwide.

TeleTech Holdings, Inc. (NASDAQ: TTEC), a leading global provider of customer management and business process outsourcing solutions, and Avaya Inc. (NYSE:AV), a leading global provider of business communications software, systems and services, today announced a five-year agreement to jointly market hosted contact center infrastructure, applications and professional services to medium-sized and large enterprises worldwide. The companies said their joint offering — Intelligent Systems on Demand — is a suite of contact center solutions and services for businesses that contract out their customer service operations. The solution provides companies with the flexibility to purchase the specific elements — technology and services — in an on-demand model that allows them to scale up or down based on seasonality, growth or other specific business needs.

The services will be provided through a business partnership by which Avaya communications solutions will be imbedded into the comprehensive portfolio of TeleTech® On Demand services, the company's technology solutions for the customer management market. The new offer responds to the growing market demand for hosted services that is estimated by market research firm TSS Partners to grow from around $1 billion in 2004 to nearly $17 billion by 2008.1

"By working with Avaya, we are able to offer our clients services that deliver core business value and help them develop a true competitive advantage," said Ken Tuchman, chairman and chief executive officer, TeleTech. "Our combined technology gives companies quick, flexible and cost-effective access to the capabilities they need to operate more efficiently and deliver top-quality customer service."

At the heart of Intelligent Systems on Demand — which centrally routes and controls all of a company's customer interactions from front to back office — are Avaya's contact management solutions that enable businesses to deliver enhanced levels of customer satisfaction through personalized customer service. Avaya is the worldwide leader in IP telephony and contact center applications, including advanced contact management solutions and converged network applications.2

Avaya's contact management solutions extend the company's patented predictive routing technology to all multi-channel communications, helping to ensure that all phone, e-mail and Web-based customer inquiries receive prompt and personalized service. This routing technology enables enterprises to predict inbound customer needs by evaluating service levels, past transactions and agent availability — and then matching the inpidual with the most qualified agent. The Avaya platform also helps companies deliver consistent, branded customer service across any communications channel — whether phone, email or Web chat.

"Hosted solutions such as Intelligent Systems on Demand provide another choice for companies looking to incorporate IP telephony and contact center applications into their business processes in a flexible and cost-effective manner," said Denzil Samuels, vice president and general manager for Avaya's service provider pision. "Avaya and TeleTech are providing these enterprises the ability to scale easily, upgrade capabilities on demand, pay as they go, minimize implementation and operational risks, and potentially lower total cost of ownership by avoiding internal support costs and complexities."

About Avaya
Avaya Inc. designs, builds and manages communications networks for more than one million businesses worldwide, including over 90 percent of the FORTUNE 500®. Focused on businesses large to small, Avaya is a world leader in secure and reliable Internet Protocol telephony systems and communications software applications and services.

Driving the convergence of voice and data communications with business applications — and distinguished by comprehensive worldwide services — Avaya helps customers leverage existing and new networks to achieve superior business results. For more information visit the Avaya Web site:

About TeleTech
TeleTech is a leading global provider of innovative strategies, technology-enabled services and outsourced solutions that measurably enhance the value of client's core business processes. TeleTech's strategies, services and solutions help clients increase revenue, lower costs, and delight and retain their customers. TeleTech's proven process methodology, standardized global technology platform and flawless execution of complex global projects enable the company to demonstrate and deliver measurable results that enhance the value of their clients' brands. TeleTech created "customer management outsourcing" 23 years ago and has led industry change by broadening its services to encompass measurable value creation across core business processes for clients that include the Global 1000. Today TeleTech continues to innovate and redefine value creation globally, supporting customers in 23 languages, through its more than 33,000 employees, in 16 countries. For additional information, visit

This press release may contain certain forward-looking statements relating to future results. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause TeleTech's and its subsidiaries' actual results to differ materially from those expressed or implied by such forward-looking statements, including but not limited to the following: the estimated revenues associated with new or renewed client agreements; the possibility of the company's Database Marketing and Consulting segment not returning to historic levels of profitability; greater than anticipated competition in the customer care market, causing adverse pricing and more stringent contractual terms; risks associated with losing or not renewing significant client relationships, or early termination of a client agreement; the company's ability to close new business and fill excess capacity; consumers' concerns or adverse publicity regarding the products of the company's clients; higher than anticipated start-up costs or lead times associated with new ventures or business in new markets; execution risks associated with performance-based pricing metrics in certain client agreements; execution risks associated with achieving targeted annualized cost reductions; the company's ability to find cost effective locations, obtain favorable lease terms, and build or retrofit facilities in a timely and economic manner; risks associated with business interruption due to weather-related events; risks associated with attracting and retaining cost-effective labor at the company's customer management centers; the possibility of additional asset impairments and restructuring charges; risks associated with changes in foreign currency exchange rates; economic or political changes affecting the countries in which the company operates; changes in accounting policies and practices promulgated by standard setting bodies; and, new legislation or government regulation that impacts the customer care industry.

Please refer to the company's filings with the Securities and Exchange Commission, including the company's Annual Report on Form 10-K for the year ended 2003 and other more recent SEC filings, for a detailed discussion of factors discussed above and other important factors that may impact the company's business, results of operations, financial condition, and cash flows. The company assumes no obligation to update its forward-looking statements to reflect actual results or changes in factors affecting such forward-looking statements.

1 Research by Technology Systems Solutions (TSS) Partners, April 4, 2004.
2Various Frost & Sullivan and Gartner studies of call center market. Synergy Research Group, Third Quarter 2004 Report on Worldwide Enterprise IP Telephony Market.

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