Stanley, Inc.
| Company type | Public (formerly employee-owned) |
|---|---|
| Industry | Information technology |
| Founded | 1966 |
| Defunct | 2010 |
| Fate | Acquired by CGI Group |
| Successor | CGI Group |
| Headquarters | Arlington, Virginia , United States |
Area served | United States |
| Products | IT management services, defense contracting, document processing |
Number of employees | Close to 5,000 (prior to acquisition) (2010) |
Stanley, Inc. (NYSE:SXE), an information technology firm headquartered in Arlington, Virginia, was acquired by CGI Group in 2010. Established in 1966 as a modest consulting business, it expanded into an employee-owned enterprise employing close to 5,000 individuals prior to its purchase.
Overview
In October 2006, Stanley launched its initial public offering on the New York Stock Exchange, selling 6.3 million shares at $13.00 each and generating $81.9 million in proceeds. The majority of these shares were owned by company executives, directors, and staff through an employee stock ownership plan.
The U.S. Army represented Stanley’s principal customer, supplemented by contracts from the U.S. Marine Corps, Navy, Department of State, and Department of Homeland Security. The company managed operations that included producing U.S. passports and conducting mailroom services and data processing for U.S. visa and citizenship applications.
Union Matter
Following the acquisition of two immigration document processing centers in St. Albans, Vermont and Laguna Niguel, California in December 2007, Stanley implemented wage reductions. This action triggered unionization campaigns led by the United Electrical Workers union (UE) aimed at safeguarding employees earning lower wages. A reclassification of job roles resulted in approximately a 12% decrease in pay, which led Sen. Bernie Sanders to urge the Labor Department to investigate potential breaches of the Service Contract Act.
Investigation
In March 2008, the U.S. Department of State disclosed that two staff members employed by a Stanley subcontractor were terminated for unauthorized access to passport records belonging to then-presidential candidate Barack Obama. Stanley promptly released a statement confirming that disciplinary measures were taken immediately and that it was cooperating fully with governmental inquiries.
No additional information regarding the passport data breach has been made available publicly.
Corporate Mergers
Stanley expanded its operations in February 2006 by acquiring Morgan Research Corporation, which generated roughly $70 million annually and employed 480 personnel across Alabama, Florida, Oklahoma, and Texas. Morgan served significant clients such as the U.S. Army Aviation and Missile Command (AMCOM), U.S. Army PEO STRI, and NASA.
On June 10, 2008, Stanley declared its purchase of Oberon Associates, a defense contractor based in Virginia. Prior to this, in April 2007, Stanley had acquired Techrizon LLC from Lawton, Oklahoma—a company specializing in software development, training programs, simulation services, and information security solutions.
On May 7, 2010, CGI Group Inc., a prominent provider of IT and business process services, announced a definitive agreement to merge with Stanley. The transaction was finalized in August 2010.
Corporate Recognition
In Washington Technology’s rankings of the top 100 federal government prime contractors in the United States, Stanley placed 50th in 2007, rising to 48th in 2008 and further improving to 45th by 2009.
Fortune Magazine featured Stanley on its "100 Best Companies to Work For" lists consecutively in 2007, 2008, and 2009—an accolade based on independent surveys completed by employees.
In addition, Stanley was ranked 10th among large employers in Oklahoma’s Best Places to Work for 2009 and secured the 17th position on the Washington Business Journal’s list of Best Places to Work for large companies that same year.