To Our Shareholders The past year was an eventful one for Cognizant, as we capitalized on three major trends: Tapping successfully into these trends, our team – now numbering T over 15,000 employees – delivered yet another year of record growth in revenue and profit. We continue to build on the success of our unique model of “on-site/offshore” IT outsourcing. Our model contin- ued to meet the needs of a changing marketplace as we benefited from even stronger adoption by customers, which drove results that were better than ever. During 2004, we deepened relationships with our ever-growing roster of marquee global clients, expanded our successful vertical approach to encompass additional industries and significantly developed impor- tant new practice areas. We also acquired a company, established capabilities in important new geographies, and topped off the year by becoming the first company in our industry to join the prestigious NASDAQ-100 index. C OGNIZANT ANNUAL REPORT 2004 1 • We deepened our relationships with key customers by introducing  several new service offerings throughout the year to meet the market demand for a far broader range of offshore-driven services. • We expanded our knowledge, expertise and service offerings in addi- tional industry sectors as companies beyond financial services began to recognize the value of broadly adopting offshore-enabled IT and Business Process Outsourcing. • We broadened our geographic presence and expanded our interna- tional executive management team to cater to the increasing demand from non-US, especially European, customers that are increasingly  interested in adopting large-scale offshore outsourcing.