MCLEAN, Va., Nov. 9 /PRNewswire-FirstCall/ -- BearingPoint, Inc. , one of the world's largest management and technology consulting firms, today announced the company has been awarded two contracts by the United States Agency for International Development (USAID) to support efforts to implement the agency's Enabling Labor Mobility (ELMO) Activities in Bosnia- Herzegovina and to assist in the implementation of the agency's Bosnia- Herzegovina Tax Reform Activity (TARA). Together, the two new contracts span four years and have a value of $19.6 million with options.

ELMO

Through its ELMO project, USAID is working with local counterparts to reduce barriers to labor mobility in Bosnia-Herzegovina, and ease the fiscal burden on small and medium enterprises by promoting flexible and diverse forms of labor relations and agreements. ELMO also aims to transition to a unified system for the collection of social contribution data for all covered individuals, and the project will provide upgrades to the inspection capacity of select labor inspectorates, helping to foster more effective compliance and enforcement of labor obligations and policies. Development of Economic and Social Councils at the Entity and State levels as a forum for effective social dialogue and the examination and improvement of the labor regulatory framework is another objective of this USAID assistance.

Under the terms of the recently awarded contract, valued at approximately $12 million over four years with options, BearingPoint will work with the Entity and State level governments in Bosnia-Herzegovina to assist in the formation of these new policies and initiatives, as well as provide project management and overall implementation support for USAID and the Entity and State level governments in Bosnia-Herzegovina.

TARA

The TARA program is designed to complete the donor-led reform of direct taxation in Bosnia-Herzegovina. The project assists the Federation, Republika Srpska and Brcko District in building a modern, coherent framework for direct taxation that includes corporate and personal income taxes and market-value- based real estate taxation. TARA focuses on designing and implementing a legal tax framework that is comprehensive, coherent and consistent with international best practices.

Under the terms of the recently awarded contract, valued up to $7.6 million over four years with options, BearingPoint will play a leading role in efforts to reform Bosnia's tax activity and create fully-functioning, sustainable tax policies and administration of those policies. BearingPoint consultants will assist in creating and reforming both corporate and personal income tax systems, as well as the program's real estate taxation, helping the government generate substantial public revenues for the nation.

These two new contracts build on previous USAID sponsored work BearingPoint has performed in Bosnia over the past 10 years, as well as highlights the firm's unique economic reform expertise.

"BearingPoint is at the forefront of helping developing nations implement economic reform programs including labor and tax administration reforms that can help these nations increase their foothold in the global economy," said James Horner, senior vice president of BearingPoint's Emerging Markets practice. "We look forward to working on these important engagements in Bosnia, and to the success of these projects."

BearingPoint's Emerging Markets practice is active in approximately 60 nations worldwide, providing management, economic, and technology consulting services to developed and developing economies. Core areas of expertise within the Emerging Markets practice include:

* Accelerating public sector reform, promoting economic growth and improving public services. * Creating an environment to support private sector growth, attract new investment and increasing employment. * Using information technology to build capacity and enhance competitiveness. About USAID

The U.S. Agency for International Development has provided economic and humanitarian assistance worldwide for more than 40 years. For more information about USAID please visit our website at http://www.usaid.gov/.

About BearingPoint, Inc.

BearingPoint, Inc. is one of the world's largest providers of management and technology consulting services to Global 2000 companies and government organizations in 60 countries worldwide. Based in McLean, Va., the firm has over 17,000 employees, and major practice areas focusing on the Public Services, Financial Services and Commercial Services markets. For nearly 100 years, BearingPoint professionals have built a reputation for knowing what it takes to help clients achieve their goals, and working closely with them to get the job done. For more information, visit the Company's website at http://www.bearingpoint.com/.

Some of the statements in this press release constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These statements are based on our current expectations, estimates and projections. Words such as "will," "expects," "believes" and similar expressions are used to identify these forward-looking statements. These statements are only predictions and as such are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Forward-looking statements are based upon assumptions as to future events or our future financial performance that may not prove to be accurate. Actual outcomes and results may differ materially from what is expressed or forecast in these forward-looking statements. As a result, these statements speak only as of the date they were made, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

CONTACT: Steve Lunceford of BearingPoint, Inc., +1-703-747-4545,
Steve.Lunceford@BearingPoint.com

Web site: http://www.bearingpoint.com/
http://www.usaid.gov/