Unisys wins contract with Australian defense agency

Unisys Corp. said yesterday that it had signed a $225 million deal to provide information-technology services to the Australian Department of Defence.

It's the Blue Bell company's fourth contract with Australia in recent years. Under the latest deal, Unisys will provide network security and technology infrastructure, server and desktop support, at 460 locations in Australia.

The five-year contract will begin after an 18-month transition period and carries two potential extensions, each for two years.

The contract will cover work now done by about 400 Australian defense department workers, more than half of whom may be offered jobs with Unisys, the company said.

"We have briefed the staff, and it looks like about 60 percent of them may be interested in taking up employment with us," said Unisys spokesman Jim Kerr. "That would be about 250 people. We'll see what happens in the next few months."

Unisys signed agreements in the last two years with other Australian agencies, including the Department of Immigration and Multicultural Affairs for $110.5 million and a separate contract with DIMA's border-control program. The company has a contract with the Australian National Audit Office for information-technology services.

"We have been winning a number of large contracts in Australia," Kerr said. "We do pretty well in that market. But we have not done business with this organization before. This work was previously done in-house by the Department of Defence."

Kerr said the contracts had been won in areas of security and outsourcing, which were two areas of Unisys' focus.

Unisys shares closed up 20 cents, or 4.81 percent, to close at $4.36 on the New York Stock Exchange.