IBM And PJSC Ukrsotsbank Ukraine Sign 10-year Services Agreement

KIEV, Ukraine, Feb. 8, 2012 /PRNewswire/ -- IBM (NYSE: IBM) and Public Joint Stock Company (PJSC) Ukrsotsbank, part of UniCredit Group, have signed an agreement to outsource the bank's information technology (IT) systems and processes to IBM.

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As part of the 10-year agreement signed in December 2011 and valued at approximately USD$200M, IBM will assume responsibility for the development and support of PJSC Ukrsotsbank's information systems and applications as well as the management of the bank's IT infrastructure.

By tapping into IBM's vast cumulative knowledge, PJSC Ukrsotsbank plans to improve customer service, increase performance efficiency and lower operational risk across its country-wide network of nearly 400 branches.

"By outsourcing our information technology activities to IBM we are able to focus on our core business priorities while ensuring the best possible service to our customers," said Francesco Pusateri, head of UniCredit's Global Banking Services Division. "Having already successfully migrated and centralized PJSC Ukrsotsbank's core banking systems, this decision will help us to strengthen our leadership in the Ukrainian banking sector. Leveraging IBM's technology assets and industry experience we are able to transform the way we work and run our operations.  This step is an important enhancement of UniCredit Group's strategy of concentrating on core business and cost optimization."

Under the terms of the agreement, IBM will take over the management and maintenance of PJSC Ukrsotsbank's application portfolio, data center systems, IT network, ATMs, end-user and deskside support. The move is designed to provide substantial benefits to PJSC Ukrsotsbank and its customers, as well as help the bank achieve significant operational savings.

PJSC Ukrsotsbank has recently migrated to a new core banking system leveraging an innovative architectural approach.  The effectiveness of this new system, coupled with break-away performance improvements derived from the IBM collaboration, creates a powerful replicable model that can be 'exported' to other UniCredit businesses.