EDS Extends IT Services Pact With Sprint Nextel

EDS Extends IT Services Pact With Sprint Nextel

PLANO, Texas -(Dow Jones)- Electronic Data Systems Corp. (EDS) reached a multi-year contract extension to continue to provide information technology services to communications company Sprint Nextel.

Specific financial terms of the deal weren’t disclosed.

Data-processing company EDS said in a press release Wednesday the contract extension includes midrange hosting, storage, premise data network support, hardware purchase and project-related work.

The agreement extends a four-year pact under which EDS has provided IT services including desktop, help-desk support, local area network support, hardware reseller services and midrange computing management. EDS has also provided call-center support for Nextel’s Blackberry service.

On Tuesday, EDS received a 10-year contract to upgrade computers and reduce operating costs for UAL Corp.’s (UALAQ) United Airlines.

General Motors Corp. is expected to soon announce the winner of a five-year, $15 billion information technology outsourcing contract. EDS and International Business Machines Corp. are reportedly the frontrunners for the pact.

EDS Chief Executive Mike Jordan has said the company hopes to retain a “significant” portion of its business with GM, its former parent and its largest account.

New York Stock Exchange-listed shares of EDS recently traded at $24.27, down 10 cents, or 0.4%. The stock reached a 52-week high of $25.58 on Jan. 11, and a 52-week low of $18.59 on May 12, 2005.

Company Web site: http://www.eds.com

Grabbed from http://www.cellular-news.com/story/15638.php

Matt Luria