TietoEnator signs Nordic outsourcing agreement with If

Sunday 20 March 2005 20:22 CET | News

If P&C Insurance outsources its server operations and end user services to TietoEnator. The contract is an expansion of the existing partnership covering Finland and comprises all Nordic countries as well as Ifs offices outside the Nordic area, excluding the Baltic countries.

The total order value is over 100 million euros. This agreement with a major Northern European insurance company will strengthen TietoEnators partnership operation within the insurance industry as well as the position of the Processing & Network business area as one of the leading outsourcing service providers in the Nordic countries. TietoEnator will physically centralise Ifs production centres mainly at its global production centre in Helsinki. This will mean cost benefits for the customer as well as high quality service in all the countries If operates in. The transition project starts in April 2005 and will be finalised by January 2006. The server operations include centralised production capacity and server management for Ifs more than 700 servers and OS390 mainframe usage. The agreement concerning these has been made for five years with option to extend it by two years. Th end user services cover a service desk and support services for 8.000 workstations. This agreement is for two years with an option to extend it by three years. The new contracts will start to have an effect on TietoEnators net sales in the fourth quarter of 2005 and the contract value for 2006 is expected to be around EUR 13 million higher than the current level of the agreement with If in Finland. The effect on TietoEnators profit is expected to be positive from the beginning of 2006.

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Categories: Payments & Commerce | Payments General
Countries: World
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Payments & Commerce