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Computer Sciences lands deals

The IT services company wins contracts with the National Security Agency and automotive glass repair company Belron, worth a total of about $358 million.

Information technology services company Computer Sciences on Monday said it landed deals with the National Security Agency and automotive glass-repair company Belron, worth a total of roughly $358 million.

The El Segundo, Calif.-based company said it is one of four selected by the National Security Agency to provide IT services under a five-year blanket purchase agreement. Computer Sciences estimated its portion of the award to be about $300 million if all options are exercised. The company will provide IT engineering, technical and management services in support of the Information Technology Infrastructure Services program at the NSA's Washington campus and other NSA sites worldwide.

About 250 employees from Computer Sciences' Maryland Intelligence Center, as well as 16 other companies and 23 small or disadvantaged businesses the company said it is teaming up with, will work for the NSA.

The NSA contract comes as Computer Sciences is making a push to grab a greater share of federal government work. Last month, the company announced it was acquiring DynCorp, an IT services provider, for $950 million, including the assumption of about $273 million of debt. DynCorp, with more than 23,000 employees and with revenues of $2.3 billion for the 12 months ended Sept. 26, 2002, focuses on the defense, security and civil markets.

When the DynCorp acquisition is completed, Computer Sciences expects to snag about $6 billion in annual revenue from the federal government and have nearly 38,000 people serving the U.S. government globally. Computer Sciences, with more than 65,000 employees, reported revenue of $11.4 billion for fiscal 2002, with about $2.9 billion of that derived from its government business.

Computer Sciences on Monday also said it signed a five-year, $57.9 million IT outsourcing contract with United Kingdom-based Belron, which operates under brand names such as Autoglass in the United Kingdom and Carglass elsewhere in Europe. Under the agreement, Computer Sciences will manage the infrastructure and applications supporting Belron's "Bridge" process standardization program. Computer Sciences will host and manage the underlying system and staff the company's help desk.

In December 1994, Computer Sciences signed a 10-year, $40 million IT outsourcing contract with Belron specifically for Autoglass, which has offices throughout the United Kingdom and Ireland. Computer Sciences provides systems support for all Autoglass business processes, including handling customer calls, finance, and sales and marketing.