CSC Selected by BAE Systems to Negotiate It Services Contract With Potential Value of $1.9 Billion
EL SEGUNDO, Calif., Dec. 20 /PRNewswire-FirstCall/ -- Computer Sciences
Corporation (NYSE: CSC) today announced that it has been downselected for the
provision of the next generation of information technology (IT) outsourcing
services to BAE Systems. This contract is subject to completion of successful
negotiations and final approvals. It will replace the existing contract that
would otherwise expire in October 2006. CSC estimates the potential value of
the new contract to be approximately $1.9 billion over a period of five years.
The position with regard to the Submarines business in the UK remains under
review.
CSC's relationship with BAE Systems began in April 1994 when the companies
signed a 10-year, $1.5 billion IT outsourcing contract in the UK, which was
then one of the largest commercial IT outsourcing contracts ever awarded to a
single supplier in Europe. The relationship was expanded to support multiple
mergers in both the UK and the U.S. Through the current agreement, CSC
provides IT services in support of 13 BAE Systems businesses and Joint
Ventures operating in more than 117 locations in the UK and North America.
"We are pleased to continue our successful and longstanding relationship
with BAE Systems," said CSC Chairman and Chief Executive Officer Van B.
Honeycutt. "This new agreement demonstrates CSC's dynamic ability to provide
innovative solutions to meet client needs and adapt to changing IT and
business requirements. We look forward to applying our experience and
expertise to help to deliver significant operational results to BAE Systems."
"This potential contract with CSC represents the next generation of IT
outsourcing," said Alastair Imrie, Group Managing Director, Shared Services,
BAE Systems. "It will provide cost reduction, contract flexibility and
technology and process improvements, in support of BAE Systems' business
requirements."
Corporation (NYSE: CSC) today announced that it has been downselected for the
provision of the next generation of information technology (IT) outsourcing
services to BAE Systems. This contract is subject to completion of successful
negotiations and final approvals. It will replace the existing contract that
would otherwise expire in October 2006. CSC estimates the potential value of
the new contract to be approximately $1.9 billion over a period of five years.
The position with regard to the Submarines business in the UK remains under
review.
CSC's relationship with BAE Systems began in April 1994 when the companies
signed a 10-year, $1.5 billion IT outsourcing contract in the UK, which was
then one of the largest commercial IT outsourcing contracts ever awarded to a
single supplier in Europe. The relationship was expanded to support multiple
mergers in both the UK and the U.S. Through the current agreement, CSC
provides IT services in support of 13 BAE Systems businesses and Joint
Ventures operating in more than 117 locations in the UK and North America.
"We are pleased to continue our successful and longstanding relationship
with BAE Systems," said CSC Chairman and Chief Executive Officer Van B.
Honeycutt. "This new agreement demonstrates CSC's dynamic ability to provide
innovative solutions to meet client needs and adapt to changing IT and
business requirements. We look forward to applying our experience and
expertise to help to deliver significant operational results to BAE Systems."
"This potential contract with CSC represents the next generation of IT
outsourcing," said Alastair Imrie, Group Managing Director, Shared Services,
BAE Systems. "It will provide cost reduction, contract flexibility and
technology and process improvements, in support of BAE Systems' business
requirements."
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