What makes Cognizant distinctive and gives it a competitive edge is the “on-site/offshore” model we pioneered over a decade ago. Over the years, we have continued to refine this model to include strong project management, large-scale program management and architecture and deep industry domain knowledge. Our model of on-site/offshore delivery has put us in a leader- ship position today where we are unrivaled in what we offer clients: seamless global delivery. Tight coordination between teams around the globe has created the “quintessential hybrid model,” and delivered to clients the “best of both worlds,” in the words of a leading industry research firm. For that reason, we chose as this year’s annual report theme, “Re:defining Global Delivery.” The theme reflects our constant focus on maintaining our leadership by providing our customers meaningful added value even in a rapidly evolving marketplace. The market for offshore IT and Business Process Outsourcing continues to grow rapidly. During the year, we continued our track record of anticipating and responding to clients seeking addi- tional, value-added services. We have taken a disciplined approach to defining new services, establishing practice groups under focused leadership, and presenting customers with a team and deliverables that clearly meet the needs of the marketplace: Clients Are Looking for a Broader Range of Services • On the basis of our experience in application development, we established our Advanced  Solutions Group, which has expanded our capabilities in large-scale program management,  architecture and methodology to execute large-scale, complex projects. As a consequence we  are winning more application development work. • In 2004, we significantly expanded and enhanced our testing services. Driven by a desire to  improve efficiencies and reduce costs, clients are increasingly seeking Cognizant’s testing services’ expertise to plan and execute comprehensive testing solutions. A frequent and significant focus of these engagements is the consolidation of software testing activities across  the enterprise, and the establishment of standard, enterprise-wide testing methodologies,  processes, tools and templates. • To address the complex management challenges that our clients currently face with strategic  outsourcing, we expanded our Business Technology Consulting practice with high-end consult- ing service offerings such as portfolio analysis, change management, and IT solutions strategy  or “technology road-mapping.” With this practice, we add significant value by leveraging a  team of professionals who possess deep consulting, analytical expertise and a senior management perspective. • Cognizant established as “in-house” offshore development center for Dun & Bradstreet  • Begins operations in Chennai through joint venture • Achieves ISO 9001 certification • Opens first U.S. office • Starts capturing business from 3rd party clients • Pioneers 3rd generation offshore model • Expands operations to second city in India (Calcutta) • Establishes Cognizant Academy Cognizant at-a-glance • Opens European headquarters • Named fastest growing software exporter in India • Achieves SEI CMM Level 4 certification • Expands operations to third city in India (Pune) • Completes initial public offering 1998 94-97