HARNEY ANNOUNCES 150 SOFTWARE JOBS FOR DUBLIN DRESDNER BANK & NORCOM GROUP IN JOINT VENTURE DRETEC TO BE EUROPEAN CENTRE OF EXCELLENCE

Mary Harney, Tánaiste and Minister for Enterprise, Trade and Employment, announced today (Wednesday 21st October 1998) that Dresdner Bank AG, Germany's second largest banking Group, in a 50/50 joint venture with NorCom Software & Consulting Group, a leading software and consulting firm headquartered in Munich, Germany, is to establish a Software Development and Support Centre in Dublin, with the support of IDA Ireland. "This new centre will create 150 new jobs over the next three years, " the Tánaiste said.

The Dublin Centre - DreTec Software Limited - has already commenced recruitment and is located at Charlemont Exchange, Charlemont Place, Dublin 2. DreTec is part of Dresdner's strategy to develop Internet and Electronic Commerce aspects of its information technology (IT) products. DreTec is the first time that Dresdner Bank has outsourced a complete IT development function outside the Bank's own IT structure.

The Tánaiste, making the announcement of the joint venture at a function in DreTec's new Dublin facility attended by senior representatives of Dresdner Bank, NorCom Group and IDA Ireland, said that "as Internet based products are currently an area of huge potential for market growth in the banking industry across Europe, Dresdner and NorCom have identified opportunities for a number of the Bank's products to better service its customers and develop this new area of banking to its fullest.

Both Dresdner and NorCom envisage DreTec as a European 'centre-of-excellence' for Internet technologies in Europe. The establishment of DreTec marks an innovative and exciting approach for future IT developments in industry with relatively small and successful software companies playing a significant role in partnership with large institutions. This joint venture by Dresdner is based on its established relationship with NorCom and is a strong show of support for NorCom as a leading software development company operating in the global marketplace.

The Tánaiste continued saying that "this joint venture points to the continued backing by global industries for the locating and developing of high-tech value added R&D and support Centre operations in Ireland. In particular, it is a significant development for the European banking industry as it is a departure from the traditional approach where large financial institutions have used their internal IT departments as systems developers/integrators. These institutions do not normally outsource their IT requirements as they are considered critical to their commercial competitiveness and even their existence."

"However, even global financial institution, such as Dresdner Bank, need to develop new structures and mechanisms to maintain their position in the marketplace. With the Internet and Electronic Commerce changing the way all business is done, including financial services, the need to develop products for these new technologies is placing great pressure on internal IT departments. Dresdner's response is this strategic innovative alliance with NorCom, establishing a 'centre-of-excellence' for new technology R&D in Ireland," said the Tánaiste.

Dresdner Bank Group already has two companies in Dublin's International Financial Services Centre since 1989. They employ a total of 50 people in a range of activities spanning lending/financing, asset management and funds administration.

Dresdner Bank AG employs 46,000 people across a diverse range of banking operations and operates in 70 countries. Dresdner offers the full spectrum of banking, securities, corporate finance, trading, investment and insurance products and services to small, medium and large commercial customers and public sector institutions. Its shares are quoted on all German Stock Exchanges, in several major European Exchanges and in the US and Tokyo.

The NorCom Group, founded in 1989, specialises in distributed processing and data communication applications offering customers consulting services, software development and training. NorCom currently employs 100 people implementing state-of-the-art software architecture and IT solutions for its clients, which include many major banks, insurance companies and government bodies. Today's announcement is a new stage in NorCom's development and marks a significant expansion and growth cycle for the company.

The Tánaiste concluded by saying that "winning this investment is further evidence of the successful implementation of the Government's strategy of adding high value support and development functions to the Irish software industry. In addition, DreTec points to the value of the financial services industry in Ireland with more and more companies operating in Dublin's International Financial Services Centre expanding in Ireland and establishing back-office and shared service functions to their existing operations."