CSC AWARDED $50 MILLION IN CONTRACTS FROM UK ATOMIC ENERGY AUTHORITY AND CIVIL NUCLEAR POLICE AUTHORITY
News Release -- June 10, 2009
FALLS CHURCH, Va., June 10 -- CSC (NYSE: CSC) announced today that it has signed information technology (IT) outsourcing contracts with five UK Atomic Energy Authority (UKAEA) companies and the Civil Nuclear Police Authority (CNPA). The six contracts, which each have a five-year term, have a total estimated value of $50 million (31 million pounds sterling). At the time of signing, the CNPA was provided IT services by the UKAEA, as it was the organization's previous parent body.
Under the terms of the contracts, CSC will provide the UKAEA companies and the CNPA with a full range of infrastructure services including desktop, help desk and network support, applications management and database administration. UKAEA companies serviced under the separate contracts are Dounreay Site Restoration Ltd., Research Sites Restoration Ltd., UKAEA Culham, UKAEA Ltd. and UKAEA itself. As part of the arrangement, UKAEA will transfer its in-house IT team to CSC.
CSC will service the contracts through its Civil Nuclear Center of Excellence in Westlakes, Cumbria, UK, which specializes in IT capabilities that deliver innovative solutions for nuclear power clients. Plans are currently underway to open a second Center of Excellence in Forss Business Park, Caithness, in June.
"CSC is pleased to be working with the UKAEA group of companies and the CNPA," said Nick Wilson, president of CSC's operations in the UK, Nordics, Middle East and Africa. "These contracts build on our position as the UK's number one supplier of IT services and solutions to the UK civil nuclear industry. We now work for 14 different UK organizations operating in this evolving sector, as well as many others around the world."
"This is an excellent outcome to the constructive, competitive dialogue between ourselves and CSC," said UKAEA Chief Executive Officer Norman Harrison. "It provides a sound basis for future IT services to a changing UKAEA and retains the skills and expertise of our experienced team while giving them opportunities to develop in a wider commercial environment."
With UKAEA's restructuring into separate companies, the organization initiated a strategic review to determine the best option to meet its future IT needs. Completed in mid-2008, the review concluded that continuing the provision of in-house IT services in the long term was not strategic and a competitive exercise seeking an IT outsourcing company was initiated in October.
1. UKAEA group is responsible for the clean-up of its former nuclear research sites at Dounreay, Harwell and Winfrith. It also carries out the national fusion research programme at Culham (Oxfordshire), and manages the international JET facility there - the world's leading fusion research project.
2. UKAEA group comprises:
- a commercial arm, UKAEA Limited, responsible for the management of NDA sites, and with increasing commercial contracts for decommissioning and nuclear consulting in the UK and overseas;
- Dounreay Site Restoration Ltd, the site licence company undertaking the decommissioning of Dounreay in Caithness;
- Research Sites Restoration Ltd (RSRL), the site licence company undertaking the decommissioning of Harwell in Oxfordshire and Winfrith in Dorset; and
- a continuing Non-Departmental Public Body (NDPB) covering those UKAEA functions which are expected to remain in the public sector for the longer term, including fusion research and input to the Harwell Science and Innovation Campus joint venture.
About Civil Nuclear Police Authority (CNPA)
The Energy Act 2004 created the Civil Nuclear Police Authority and sets out the powers and jurisdiction of Members. The Civil Nuclear Police Authority consists of seven Members; all appointed by the Secretary of State for Trade and Industry. The Chair is an independent Member, a position held from 1 April 2009 until 31 March 2013 by Sir Christopher Fox.
As an NDPB of the Department of Energy and Climate Change, the role of the CNPA "board" is to ensure it fulfils its statutory responsibilities to secure the maintenance of an efficient and effective constabulary (the Civil Nuclear Constabulary), and to ensure compliance with any statutory directions given by the Secretary of State. Its primary function is to maintain an effective and efficient Civil Nuclear Constabulary whose purpose is to protect civil nuclear licensed sites and safeguard nuclear material within the UK and during transportation.
The Authority sits above the Constabulary as the employer of all its officers and the Chief Constable reports directly to the Chairman as his/her line manager. The Police Authority is the appropriate legal entity responsible for matters of compliance.
CSC is a global leader in providing technology-enabled solutions and services through three primary lines of business. These include Business Solutions and Services, the Managed Services Sector and the North American Public Sector. CSC's advanced capabilities include systems design and integration, information technology and business process outsourcing, applications software development, Web and application hosting, mission support and management consulting. Headquartered in Falls Church, Va., CSC has approximately 92,000 employees and reported revenue of $16.74 billion for the 12 months ended April 3, 2009. For more information, visit the company's Web site at www.dxc.technology.