Re Contract
Synstar PLC
5 April 2001
Synstar plc
New Contract wins total over £50million
In our trading statement announcement of 13th March 2001 we stated that
contract signings in some of our key markets were beginning to develop
strongly and that the second half of the year is forecast to show year on year
revenue growth. That view has been underpinned by an encouraging flow of new
business wins across our service divisions.
Over the last three months the group has been awarded contracts of one, three
and five years' duration worth approximately £50m. These have been gained
from a range of international clients across Synstar's European network.
This new business has been secured from clients such as Computer Sciences
Corporation, Galileo, Research Machines and Unisys in the UK, Fortis AG and
Credit Lyonnais in France, Dexia in Belgium, Banksys in Netherlands, Allium in
Italy and KBC in Belgium. Revenues are due to commence during the second half
of our current financial year and will provide a strong base to underpin
future profit growth.
Details of two of these new business wins are below:
Computer Sciences Corporation
Synstar has been awarded over £20m of new business by Computer Sciences
Corporation (CSC), one of the world's leading consulting and IT services
firms. The group will provide support to a number of CSC's high profile
clients including BAE SYSTEMS, Whitbread, BNFL, GE Capital and Nortel.
The latest of these is for Marconi Electronic Systems which has been
integrated into BAE SYSTEMS and is a £6million, three-year agreement, which
commenced in March 2001. This requires Synstar to provide additional hardware
support to the global systems, defence and aerospace company in nineteen UK
locations.
Synstar will take over from a range of contractors, including IBM, Sun,
Compaq, Xerox, HP and Tectronics and provide substantial additional on-site
and field service engineering resource to support the entire IT hardware
requirements of BAE MES in 19 UK locations.
Galileo
This is a multi-million pound contract with Galileo, which was in final
negotiation when we announced our preliminary results in December 2000. It is
now completed and confirms Galileo, one of the leading providers of global
distribution services for the travel industry, as one of Synstar's three
largest customer relationships.
As Galileo expands its EMEA operations, there is considerable opportunity for
Synstar to extend its collaboration with Galileo on future projects.
Steve Vaughan, Chief Executive of Synstar comments,
'These new contract wins are clear evidence of our ability to deliver quality
IT service solutions to a blue chip customer base across Europe and build on
our strong foundation for future growth'.
Paul Pardon, Director of global resource planning at CSC, said:
'We've enjoyed an excellent relationship with Synstar ever since we began
working together in 1994. Our first contract together was actually with
another part of BAE SYSTEMS, which we have now extended further. Synstar is an
ideal partner for CSC as we can effectively sub-contract all IT hardware
maintenance with confidence.
Previously we had to manage a multitude of sub contractors which created high
volumes of administration, now we can really focus on delivering key solutions
to our client, whilst we can rely on world class support from Synstar.'
For further information:
Synstar plc
Christine Jones, Communications Manager (01344) 662 744
GCI Financial
Roger Leboff / Nick Lambert (020) 7398 0800
Citigate Technology
Natalie Prichard (01604) 232 223
Note for editors
About Synstar
Synstar, the European business availability and IT services provider, is a
pan-European, independent provider of Business Availability services. Business
Availability is a full range of integrated services and solutions in two
principal areas: Computer Services and Business Continuity Services. The
Computer Services business offers hardware and software support services for a
wide variety of manufacturers' computer products, desktop management services,
storage management services networking and computer repair services. The
Business Continuity Services business offers comprehensive business continuity
planning and consultancy and disaster recovery services. Synstar has customers
throughout the UK and Western Europe and has been selected as a partner of
choice to many leading brands in the defence, telecommunications, utilities,
banking, retail, aerospace, public sector, and automotive industries.
Synstar has over 3000 employees with operations across Western Europe. Its
last reported turnover from 1999/2000 was £236 million. It is quoted on the
London Stock Exchange (Symbol: SYN). The Group's base is located at Synstar
House, 1 Bracknell Beeches, Old Bracknell Lane, Bracknell, Berkshire RG12 7BW.
Tel: 01344 662700 Fax: 01344 662743.
About BAE SYSTEMS
BAE SYSTEMS is the truly global systems, defence and aerospace company.
BAE SYSTEMS employs more than 120,000 people, in eight home markets around the
world and has annual sales of some £12/$18 billion. The company offers a
global capability in air, sea, land and space with a world-class prime
contracting ability supported by a range of key skills.
BAE SYSTEMS designs and manufactures civil and military aircraft, surface
ships, submarines, space systems, radar, avionics, communications,
electronics, guided weapon systems and a range of other defence products.
www.baesystems.com
About CSC
Computer Sciences Corporation, one of the world's leading consulting and
information technology (IT) services firms, helps clients in industry and
government achieve strategic and operational results through the use of
technology. The company's success is based on its culture of working
collaboratively with clients to develop innovative technology strategies and
solutions that address specific business challenges.
Having guided clients through every major wave of change in information
technology since 1959, CSC combines the newest technologies with its
capabilities in consulting, systems design and integration, IT and business
process outsourcing, applications software, and Web and application hosting to
meet the individual needs of global corporations and organizations. With more
than 68,000 employees in locations worldwide, CSC had revenues of $10.2
billion for the 12 months ended December 29, 2000. It is headquartered in El
Segundo, California. For more information, visit the company's Web site at
www.csc.com