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BBC switches over to Xansa
 
 Xansa has won preferred
supplier status with the
BBC for outsourced
finance and accounting
(F&A) services, following
a competitive bid against
Capita, Infosys BPO and
the current incumbent
EDS.
   The contract, worth
around £85m over 10
years, will be one of the
most prominent F&A deals
let to date and will save
the BBC in excess of
 
 £200m over the life time
of the contract,
equivalent to 1.5 million
licence fees. This will
be a major contribution
to the BBC's strategy to
minimise the cost of its
support services and
release more money into
its creative output.
   Working closely with
BBC Finance, Xansa will
deliver finance and
accounting services
across the BBC, including
 
 purchasing and sales
transaction processing,
artist and contributor
payments, financial
management and project
accounting, payroll
processing and expenses.
As prime contractor Xansa
will also be working with
Siemens Business Services
to provide
infrastructure,
applications support and
customer service
facilities.
 
    Xansa will provide the
services from a blend of
locations in the UK and
India. All voice contact
will remain in the UK,
with other services,
including transaction
processing, to be carried
out at Xansa's
award-winning F&A shared
service centre in
Chennai, India. The BBC
will therefore benefit
from Xansa's integrated
delivery capability -
 
 enjoying the advantages
of value and proven
expertise, whilst
maintaining onshore
customer service.
   The new contract is
expected to be signed in
November, with Xansa
taking over
responsibility for the
services in July 2007.
  
  
 
 
BearingPoint withdraws 2006 revenue forecast
 
 BearingPoint, which
reported preliminary
results for 2005 and an
update on its
second-quarter
performance, said
higher-than-expected
accounting and finance
charges will result in
2006 operating income
falling "significantly
below" the low end of its
previous guidance.
   The firm also said it
will delay filing its
annual 10-K financial
report for fiscal 2005,
after a New York state
court ruled the company
 
  
   
 
 
 
 
 from the first quarter.
BearingPoint withdrew its
previous 2006 guidance
due to the uncertainties
related to the default
ruling.
   With respect to
revenue, Harry You,
BearingPoint CEO, said:
"Before the uncertainty
created by the recent
court decision and the
issues it has raised, we
were on track to meet our
previously disclosed 2006
revenue guidance."
   BearingPoint said it
hopes to become current
with its SEC filings by
 
 late spring of 2007, at
the earliest.
   The court found
BearingPoint failed to
file certain SEC reports
on time, thereby
defaulting on the
debenture. The court said
the amount of damages to
the series B debentures
would be determined at
trial at a later date.
   In a filing with the
Securities and Exchange
Commission, the company
said it will appeal the
court's decision.
   "We respectfully but
strongly disagree with
 
 the decision not to
dismiss this claim and
are appealing the order.
It is important to note
the court did not order
an acceleration of the
debentures nor grant the
request to award
damages," said You. "The
new uncertainties and
risks created by this
lawsuit are unacceptable
to the company, our
lenders, our other
debentures holders,
shareholders, and
employees."
  
  
 
 was in default on its
2.75% series B
convertible subordinated
debentures due 2024.
   Preliminary 2005
unaudited results show
gross revenue grew about
1% to $3.4bn.
BearingPoint is
forecasting a 2005 loss
of $650m to $720m.
   For this year's second
quarter, bookings were
$811m, down only slightly
 
 
CSC gets extension on Whitbread outsourcing contract
 
 Computer Sciences
Corporation has signed a
new IT outsourcing
contract with Whitbread
Group Plc valued at
approximately $48m,
expanding total contract
value to approximately
$222m since 2000.
   Under this new
five-and-a-half-year
agreement, which
supersedes the current
contract signed in 2004,
CSC will provide
India-based applications
 
  
   
 
 
 
 March 2012.
   "Over recent years,
Whitbread Group has
undergone significant
change in terms of
acquisitions,
divestitures, integration
and growth," said Ben
Wishart, Whitbread group
IT director. "After a
thorough review of our
operations, we felt that
the previous contractual
arrangements were fit for
a different Whitbread and
that change was required.
 
 It is a credit to CSC
that they were able to
present a more flexible
model.”
   Vanessa Reed, director
of CSC's UK retail and
leisure group, said:
"This new agreement
represents a considerable
change in operating model
and provides flexibility,
a different cost
structure and a platform
for growing the
relationship in the
future."
 
    Whitbread is a UK
hospitality company,
managing businesses in
the budget hotels,
restaurant and health &
fitness sectors,
including Premier Travel
Inn, Brewers Fayre,
Beefeater, Costa, TGI
Friday's and David Lloyd
Leisure.
  
  
 
 support through its World
Sourcing operation.
   CSC will continue to
provide desktop support
for all of Whitbread's
central information
systems and technology,
including data centre
services, e-mail,
Internet and intranet.
The new contract extends
all services through