Convergys Loosing SprintPCS Billing Contract

Convergys Corporation says that it has signed an agreement with Sprint PCS to provide functionality that will support the migration of Sprint PCS' customers from its current Convergys legacy billing system to an in-house system.

Convergys believes Sprint PCS intends to migrate off its current Convergys legacy billing system.

Convergys' general billing contract with Sprint PCS runs through December 31, 2004. Sprint PCS has until March 31, 2004, to exercise its option to extend this contract. In 2002, Convergys' Information Management Group generated approximately US$150 million in revenue from Sprint PCS, and continues to operate its systems to process billing and usage for Sprint PCS subscribers.

Convergys' 2003 financial guidance assumes lower revenue from Sprint PCS. The existing billing contract provides for a minimum payment from Sprint PCS to Convergys of US$40 million in 2004."

Posted to the site on 5th June 2003