Science Applications International Corporation Reaches Settlement with U.S. Attorney and City of New York

Science Applications International Corporation (SAIC) [NYSE: SAI] has reached a settlement with the U.S. Attorney for the Southern District of New York and the City of New York concerning the CityTime automated workforce management system.

Under the terms of the settlement, SAIC will pay $500.4 million in restitution and penalties, and an independent monitor will be appointed by the United States Attorney’s Office for three years to review certain Company policies and practices. The United States Attorney’s Office has charged the Company with a single criminal count related to CityTime, but will defer prosecution based upon, among other things, the Company’s cooperation with the investigation, remediation efforts and acceptance of responsibility.

The Government has agreed to dismiss the charge without prosecution in three years if SAIC complies with the terms of the deferred prosecution agreement.

CityTime is an automated workforce management system that covers some 163,000 New York City employees in 65 agencies and that saves the City time and money every day.

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