Atos, the international IT services company, announced that Ursula Morgenstern will be appointed as CEO for Atos UK & Ireland, and Group Executive committee member from January 1st, 2012.

Morgenstern, previously UK and Ireland Chief Operating Officer, will be responsible for driving the strategic direction of Atos in the UK & Ireland to ensure high quality service delivery to clients, and continued business growth.

Morgenstern will be replacing Keith Wilman who expressed his desire to retire from his position as UK & Ireland CEO. Wilman will be appointed Chairman for Atos UK & Ireland, a non-executive position from which he will support Morgenstern during 2012 – in particular in the field of strategic relationships with key customers. In addition, Wilman will become a special advisor to Thierry Breton, Chairman and CEO of Atos.Breton said: “Ursula brings immense business experience and technology expertise and I am confident that she will continue the strong track record of Keith Wilman, to ensure further success in the UK and Ireland for Atos. She is assuming her role at an exciting time for the UK business, which grew in size by 50% following the integration of Siemens IT Solutions and Services earlier this year.”

Morgenstern joined Atos in 2002 through the acquisition of KPMG Consulting. Before assuming the role of UK Chief Operating Officer earlier this year, from 2009 Morgenstern was Senior Vice President responsible for Private Sector Markets, and from 2007 she was Senior Vice President responsible for Systems Integration. Prior to that, she held a variety of roles in Systems Integration including management roles for sectors, custom practices, and package solutions business units.

In the UK and Ireland Atos employs 10,000 business technologists who design, develop and manage the business processes and technology behind many of the core services that people use every day from:

• Supporting £450 million transactions on the UK rail network every year

• Allowing more than 6.4 million people to complete their tax return online

• Enabling £250 million of bookings every year for Premier Inn through their business account card scheme

• Managing over 50% of all referrals for initial hospital and clinic appointments in England through the Choose and Book programme

• Supporting more than 30 million MOT tests each year

• Compiling the football fixtures list for the English Premier League

Source:  www.top-consultant.com

Atos, the international information technology services company, said revenues for the third quarter of 2011 were EUR 2.1 billion, representing a 0.3% drop compared to the third quarter of 2010.

Thierry Breton, Chairman and CEO, said: “During the third quarter of 2011, as planned, we have been able to successfully run the new Atos as a single integrated company. In the current economic environment, our new Group is well positioned, generating 74 % of its annual revenue through multi-year contracts across a very large customer base. Consequently, I confirm all our 2011 objectives. Finally, cash management is more than ever a key priority for Atos, and I confirm our zero net debt ambition for mid 2012.”

Atos confirmed its revenue forecast for 2011 at around EUR 6.8 billion.

Revenue performance by service line

Representing 48% of Atos’ business, Managed Services revenue was EUR 1.007 billion, up 2.1% compared to the third quarter of 2010. The Service Line benefited from a growing business in Germany, in the United Kingdom, North America, and Central & Eastern Europe.

In Systems Integration, representing 25% of the business, revenue declined by 4.1% to EUR 528 million. In Germany and in Central & Eastern Europe (CEE), revenue declined as expected, due to less hardware revenue and the planned reduction of SIS staff during the second half of 2010 and in the first half of 2011. While revenue grew in the United Kingdom, it declined in the Netherlands with less volumes and also in France where price pressure persisted and impacted the level of new contracts signed.

Representing 20 % of the business, Hi-Tech Transactional Services & Specialized Businesses (HTTS & SB) revenue reached EUR 421 million, up 2.3% compared to the third quarter of 2010. HTTS business grew by 3.5%, of which Payments 2.7%. Revenue for BPO was up 4.0%. The decline in other Specialized Businesses was 4.8% (EUR -3 million) and came from EUR 10 million less hardware revenue compared to last year on the pilot project for ERDF.

In Consulting & Technology Services, representing respectively 2% and 5% of the business, revenue was EUR 136 million, a decline of 9.2% compared to the third quarter of 2010. As expected, the Netherlands and Iberia continued to face a tough environment particularly in Financial Services and Public Sector.

Revenue performance by business unit

In Germany, revenue reached EUR 448 million, representing a decline of 1.2%. Revenue in Managed Services grew by +1.5% with the ramp-up of new clients signed in the first half of 2011, and as expected with Siemens as a result of the new IT contract started on July 1st, 2011. In Systems Integration, revenue declined by 5.2%, mainly due to lower volumes with some clients, including the ramp-down of the Application Management contract with a large German bank.

Revenue in France was EUR 228 million, down 5.8% compared to the third quarter of 2010. The activity declined in Managed Services where revenue was affected by the ramp-down of contracts and a lack of fertilization in Telecom & Media and in Financial Services. The new management of France started on October 1st, 2011, with the objective to return France to profitable growth.

In the United Kingdom & Ireland, revenue reached EUR 349 million, up 4.3% compared to the third quarter of 2010. Managed Services was up 4.4% due to increased volumes and with large clients acquired from SIS. Systems Integration benefited from an increased activity, resulting in revenue up 6.1% compared to the third quarter of 2010. Within HTTS & SB, HTTS grew 6.7% due to higher volumes from customers in the Transport sector, and BPO grew by 4.0% with the ramp up of a new contract signed in the first quarter of 2011.

In Benelux, revenue reached EUR 242 million, down 7.0% compared to the third quarter of 2010. While revenue was growing in Belgium in each Service Line, the activity continued to decline in the Netherlands in the cyclical businesses for discretionary spending, with lower volumes in Financial Services and more recently in the Public sector. In this country where prices stabilized, the Group focuses on workforce management by re-skilling staff and decreasing the number of subcontractors, in order to protect the operating margin.

Revenue for Atos Worldline was EUR 226 million up 1.0%. Compared to the third quarter of 2010, Payment activities grew by 2.1% led by the operations in Belgium and in France. eServices grew by 2.5%, while as planned, Financial Markets declined by 13.1%.

In Central & Eastern Europe (CEE) revenue reached EUR 129 million, down 1.4%. Managed Services posted a strong growth which fully offset the revenue decline in Systems Integration. In Managed Services, revenue grew by 16.2%, benefiting from the ramp-up of contracts in the Public sector in Austria and in Slovakia. In Systems Integration, revenue continued to grow in Poland in the Telecom sector, but was not sufficient to offset a reduction in Manufacturing and Public sectors, mainly on projects which are now run by Managed Services after a successful transition in countries such as Austria and Slovakia.

In North America (NAM) revenue was EUR 125 million, up 7.7%. The growth mainly came from Managed Services which posted 9.1%, benefiting from new businesses in the Financial Services which started to generate revenue respectively at the end of 2010 and at the beginning of 2011, and in the Manufacturing Sector.

In North & South West Europe (N&SWE) revenue reached EUR 108 million, up 6.8%, mainly driven by Switzerland which achieved a double digit growth, particularly in Managed Services and also in HTTS & SB activities with a favourable comparison basis with the third quarter of 2010 in the Civil and National Security business.

In Iberia, revenue was EUR 79 million, up 0.3%. Managed Services remained flat, and HTTS & SB grew with higher volumes in loyalty and payment cards. Systems Integration grew thanks to the ramp-up in volumes and new pricing with a large bank and extended activities in Application Management with the Telecom sector. However, the growth in Systems Integration was offset by lower volumes in Consulting & Technology Services as a result of the market conditions which continue to remain tough.

In other business units, revenue reached EUR 158 million, stable at 0.1% compared to the third quarter of 2010. Latin America grew by 15.8%, thanks to more volumes on multi-year contracts in Managed Services, and in new contracts for HTTS in the Transport sector. In Asia Pacific, revenue grew slightly thanks to Systems Integration contracts, both in China and in Australia.

Source:  www.top-consultant.com

Atos Origin obtained clearance from the European Commission to proceed with the acquisition of Siemens IT Solutions. Atos signed a final binding agreement to acquire Siemens IT Solutions and Services with Siemens AG on February 1st, 2011.

The transaction is also approved by the US anti-trust authorities in the absence of any observation during the relevant waiting period.

The transaction is expected to close by July 2011, subject to the completion of the remaining condition precedents of the deal, among which the Atos Origin shareholders approval at an Extraordinary Shareholders Meeting.

Source:  Top-Consultant

Atos Origin today announced that it will offer carbon neutral hosting services to support clients on their journey towards more sustainable operations. Clients that choose to outsource their IT infrastructure and applications to Atos Origin’s carbon neutral datacenters, will benefit from the company-wide continuous improvement program aimed at further reducing the CO2 footprint of its data centers.

Atos Origin’s carbon neutral hosting services are the result of three key actions. Firstly, addressing its Power Usage Efficiency (PUE); secondly, applying global Carbon Audit program applied to all its data centers worldwide; and thirdly, engaging The CarbonNeutral Company, recently named Best Offset Retailer by Environmental Finance, to help compensate the carbon footprint produced by its datacenters – 117,000t – CO2 through investment in a windmill turbine project in the Thar Desert, India.

Thierry Breton, chairman & CEO of Atos Origin, said: “Sustainability is at the core of our corporate strategy and we are delighted to be the first global IT provider to offer fully integrated carbon neutral hosting services. We fully understand the importance of technology in reducing the carbon footprint of our own organization and those of our clients, which is why we have developed our Green IT solutions portfolio to support our clients on their journey to a more sustainable business.”

Social responsibility – windmill turbine project in India

Atos Origin has selected a windmill turbine project in the Thar Desert in India because, in addition to enabling the use of renewable energy to reduce carbon emissions, the project has made a significant contribution to the local community. This contribution includes the provision of clean water supply to local villages, the facilitation of a vaccination program and the reconstruction of a village school.

The project has been validated to the Voluntary Carbon Standard (VCS) and the credits have been verified and registered on the Voluntary Carbon Standard registry, hosted by APX.

Transforming towards the Firm of the Future

Under the umbrella of the Firm of the Future, Atos Origin works in partnership with clients to create more sustainable business operations. Its Ambition Carbon Neutral approach supports clients in their actions to reduce their footprint and create a more sustainable IT infrastructure.

Based on four simple steps – measure, reduce, report and offset – the program includes a detailed carbon audit, a roadmap and solutions for improvements and finally a performance management dashboard to measure progress. This strategy helps clients transform to a sustainable, collaborative and adaptive organization addressing both strategic and operational levels and the supporting infrastructure.

In 2010, the Group published its first Corporate Responsibility report according to the international Global Reporting Initiative (GRI) G3 guidelines and later in the year became a signatory of the United Nations Global Compact (UNGC).

Source:  Top-Consultant

This announcement follows the successful outsourcing of First’s UK data centres to Atos Origin in 2010.The deal covers the consolidation of the Group’s data centre infrastructure in North America, which has grown through recent acquisitions and mergers.

Atos Origin will provide a range of services with varying architectural standards. It will migrate and transform First’s North American data centre operations into a utility based service delivery model creating a single, global way of managing and delivering a business-driven technology landscape. The five year deal is expected to deliver cost savings, minimise risk and provide the commercial, financial and technical flexibility to support First’s business plans.

Craig Wallace, FirstGroup’s IT Director, said: “Atos Origin delivered an excellent proposal which complements our plans to improve and standardise our IT practices. It has a strong track record in both the IT and transport sectors and is well placed therefore to deliver the IT infrastructure and support that enables us to further strengthen our business.”

Paul Stewart, CEO for Atos Origin North America said: “This is an important and strategic deal for Atos Origin, which showcases our global expertise. We are absolutely committed to deliver world class service to FirstGroup and our experts in the US and the UK will work together to ensure a smooth transition. The goal is to deliver real business benefits in the short term.”

Source: Top-Consultant

Atos Origin has signed today with Siemens a final binding agreement to acquire Siemens IT Solutions and Services and to proceed with the global partnership announced by both companies on 15th December 2010. The conclusion of this agreement follows the issuance of the opinion by the European Works Council of Atos Origin on this transaction and the approval of the transaction by the Atos Origin Board of Directors.

Subject to customary conditions precedent, including approval from the relevant anti-trust authorities and from Atos Origin shareholders at an Extraordinary Shareholders Meeting, the transaction is expected to close by July 2011.

Source:  Top-Consultant

Atos Origin and Rexel, a global leader in the distribution of electrical supplies, have announced the signing of an IT infrastructure outsourcing contract lasting five years. Financial details of the contract were not disclosed.

Rexel is taking a new step towards the consolidation of its infrastructure through implementing, with the help of Atos Origin, a new European platform which will enable it to accelerate the consolidation of its data centers and the sharing of its applications in this region. This step follows the signing, in mid-2010, of a contract with CGI for the consolidation of Rexel data centers in North America.

In Europe, Atos Origin will help to transform the Rexel Information Systems by standardizing and automating the operations of the environments, in particular through its offshore competence centers, and by optimizing the number of servers through virtualization. This transformation will enable Rexel to improve the agility of its information systems, while at the same time improving the resilience through the redundant architecture implemented at two Atos Origin active IT centers.

“Having doubled in size between 2005 and 2008, primarily as a result of acquisitions, Rexel has an opportunity to rationalize its information system and make it more flexible, not only to enable cost reductions but above all to be able to adapt to developments in its markets.” said Olivier Baldassari, Chief Information Officer at the Rexel Group. “We have chosen Atos Origin following a rigorous tender process in which we consulted the key players in the information management business. Atos Origin impressed due to the flexibility of its bid.”

Source: Top-Consultant

Atos Origin has agreed to acquire Siemens IT Solutions and Services for a total sum of €850 million with the aim to create a European IT champion. Siemens will become for a period of at least five years a sustainable shareholder of Atos Origin with a 15% stake. The transaction will create a leading IT services company with pro forma 2010 revenues of approximately €8.7billion and 78,500 employees worldwide.

As part of the transaction, Siemens concluded a seven-year outsourcing contract worth around €5.5 billion, under which Atos Origin will provide Managed Services and Systems Integration to Siemens.

The new company will operate the largest European managed services platforms, will be uniquely positioned to deliver cloud computing services, market leading System Integration solutions such as Consolidation & Harmonization, Energy, PLM and to enhance significantly its electronic payments and transaction based activities.

In exchange for Siemens IT Solutions and Services Siemens will receive approximately 12.5 million of Atos Origin shares currently at €414 million, a five year convertible bond of €250 million and a cash payment of approximately €186 million.

The new company is expected to generate revenue growth in line with market growth in 2011 and with a 6% operating margin. The new company is expected to generate revenues between €9 to €10 billion and 7 to 8 % in operating margin by 2013.

The transaction is expected to close by early July 2011 after the consultation with the Working Council of Atos Origin, Antitrust approval and the approval from Atos Origin Shareholders at an Extraordinary Shareholders Meeting planned for the end of June 2011.

The sales power of Siemens One will strengthen the new company and should lead to an increase of future revenues. Atos Origin and Siemens will jointly develop new IT products and solutions for which both parties are committed to investing 50 million Euros each. The partnership agreement will provide significant development opportunities in hi-tech transactional Services and growing sectors such as healthcare, energy, transport or manufacturing.

Thierry Breton, Chairman of the Board and CEO of Atos Origin: “Today marks the start of a very solid and promising long term industrial alliance be-tween Atos Origin and Siemens that will create a most attractive powerhouse in IT and hi-tech transactional Services in Europe. We are opening a wide field of new business and development opportunities to shape the future of IT for both our customers and employees. I am confident that the value generated by this partnership will be reward-ing for all our shareholders, including Siemens.”

Peter Löscher, President and Chief Executive Officer of Siemens: “We are creating a European Champion. The two organisations benefit from out-standing complementarities regarding customer base, geographies and services. As a future sustainable shareholder and strategic partner of the new company we demonstrate our confidence in the value add created by this transaction for the Siemens IT Solutions and Services employees, our shareholders and customers. We will jointly develop new IT products and solutions and strengthen the innovation power of the new company. For the next seven years the new company will also be responsible for the service of the IT backbone of Siemens.”

Source:  Top-Consultant

European IT services firm Atos Origin has reported dismal financial results, with its consulting revenue falling 11% to €48 million (£43 million) in the third quarter and dropping 15% to €157 million over the first nine months of the year.

In total, Atos Origin reported third-quarter revenue down 4% at €1.2 billion – with its revenue from managed services, systems integration and medical BPO all on the slide behind consulting. Only high-tech transactional services, particular payments activity, showed a gain.

Atos Origin said consulting represented 4% of group revenue in the third quarter and was positive in France and the UK, but challenging in the Benelux countries.

Overall, the firm’s UK revenue fell 8% in the third quarter to €226 million, with Benelux, Germany and Spain also dropping. Atos Origin said UK managed services revenue tumbled 18%, after a particularly strong performance in last year’s comparable period, while revenue in Germany was dented by the bankruptcy of Atos Origin client Arcandor.

Despite its poor third-quarter performance, Atos Origin is sticking to its objectives for 2010, including up-skilling its staff, improving its operating margin and sustaining operational cashflow at a level similar to 2009.

On the upside, the company has secured two major outsourcing contracts. The first, worth £10 million over five years, is with UK and US transport operator FirstGroup and covers management of the company’s data centre and messaging services, and provision of core IT systems. The second deal also runs for five years and is with Germany’s DZ Bank. It covers data centre management and infrastructure services to support the bank’s IT applications.

Source:  MCN Direct

Atos Origin, the international IT services company, reported revenue of EUR 1.21 billion for the third quarter of 2010, representing a decline of 3.5 per cent compared to the same period last year, at same scope and exchange rates.

In the first nine months of 2010, the revenue was EUR 3,704 million, representing an organic decline of 4.3 per cent.

Revenues by service line

Representing 37 per cent of the Group, Managed Services revenue was EUR 452 million in the third quarter down 6.9 per cent compared to the third quarter of 2009, of which 4 per cent is related to the expected ramp-down of Arcandor in Germany.

Representing 34 per cent of the Group, Systems Integration revenue was EUR 412 million, down 3.5 per cent in the third quarter compared to a decline of 5.6 per cent in the first half of 2010. The improvement came mainly from France, where the activity improved +6 per cent, and from the double digit growth posted by Asia and offshore countries.

Representing 21 per cent of the Group, Hi-Tech Transactional Services (HTTS) revenue was EUR 258 million, up 5.5 per cent compared to the third quarter of 2009. Growth came from the payments activity, which posted a 7.3 per cent growth and from electronic services which increased 5.5 per cent. Decline in the Financial Markets entity was limited to 5.5 per cent.

Representing 4 per cent of the Group, Consulting revenue was EUR 48 million, down 11.2 per cent compared to a decline of 17 per cent in the first half of 2010. Consulting is back to positive growth in France and the United Kingdom. It remains challenging in the Benelux due to the combination of headcount reduction and the significant pre-sales project support that is time consuming for the consulting teams.

Representing 3 per cent of the Group, Medical BPO revenue was EUR 40 million, down 7.5 per cent, i.e. EUR 4 million, as a result of the moratorium which came to an end on 10 September for the Group.

Revenue by region

In France, revenue was EUR 265 million up 3.6 per cent compared to the third quarter of 2009. The country returned to growth after stabilising in the first half. The cyclical activities, Consulting and Systems Integration, grew respectively by 5 and 6 per cent and Managed Services slightly increased in the third quarter, following a decline in the first half.

Revenue in the Benelux was EUR 222 million, down 3.8 per cent compared to a decline of 11.2 per cent in the first half of 2010. It maintained its revenue in Managed Services at the same level as that in 2009. Systems Integration declined 2.5 per cent compared to a decline of 27.5 per cent in the third quarter of 2009. The limited decline in revenue in the Benelux was the result of the stabilization of prices and the new contracts in financial services.

In the United Kingdom, revenue totalled EUR 226 million down 7.8 per cent compared to the third quarter of 2009. Cyclical activities, Consulting and Systems Integration, limited their decline to 2.7 per cent, while Managed Services revenue dropped 17.7 per cent compared to the third quarter of 2009 when growth was particularly strong. Business has nevertheless been resilient. At the beginning of September Atos Origin was the first supplier to the British Government to sign a Memorandum of Understanding, following the moratorium put in place by the new Government. As indicated in the press release issued on 10 September, Atos Origin will continue to deliver all its existing IT contracts and looks for further business opportunities with UK Government.

Atos Worldline revenue for the third quarter was EUR 216 million, up 4.5 per cent compared to the same period last year. The payments activity posted a 6.9 per cent growth thanks to higher volumes, and Electronic Services increased by 7.5 per cent, while Financial Markets continued to decline as anticipated.

In Germany/CEMA, revenue was EUR 110 million, representing a decline of 20.9 per cent compared to last year, almost two thirds of which are due to the expected ramp down of Arcandor. Excluding this effect, third quarter revenue in Germany was flat year on year.

In Iberia, revenue was EUR 65 million down 13.6 per cent. This geography, where 80 per cent of the activity is in Systems Integration and Consulting, is still affected by a tough economic environment, resulting in price pressures and less deals generally in the market place.

Other countries reported revenue of EUR 105 million, up 4.5 per cent thanks to the growth in Asia and offshore countries.

2010 objectives

The Group’s objective is to reach in the fourth quarter a book to bill of at least 120 per cent, in order to achieve a 109 per cent book to bill for the full year in 2010, compared to 100 per cent for the full year 2009.

On 30 September 2010, the full backlog was EUR 7.2 billion, representing 1.4 years of revenue as at 30 June 2010 and at 30 September 2009.

On 30 September 2010, the weighted full pipeline was EUR 2.8 billion, compared to EUR 2.6 billion at 30 June 2010 and 2.8 billion at 30 September 2009.

As part of its 2009-2011 plan to improve its profitability, the Group confirms its ambition to increase its operating margin by 50 to 100 basis points in 2010.

Due to the Arcandor bankruptcy, the Group expects in 2010 a slight revenue organic decrease, however at a lesser extent than the one achieved in 2009.

Source:  Top-Consultant