TROY – EDS said it got a $1.1 billion deal Monday from Bank of America to integrate the banks communications infrastructure with that of its newly acquired Fleet Boston Financial Corp.
EDS will provide secure telecommunications and networking solutions using voice-over Internet protocol technology and help desk services for 1,600 banking center sites, plus automated teller machines and other locations. As a part of the agreement, approximately 150 former Fleet associates will move to EDS.
EDS remains Michigans largest pure play IT company with about 10,000 employees, primarily in Oakland County. Most work as subcontractors for General Motors. But EDS spokeswoman Kelly Altmeyer said no work would be done on this contract in Michigan.
EDS took responsibility for Bank of America’s voice and data network in early 2003 as part of a 10-year, $4.5 billion deal. Once the integration is complete, the bank’s network will connect more than 180,000 associates, 5,700 retail banking centers and more than 16,500 ATMs.
In April, Bank of America completed the $47 billion purchase of FleetBoston Financial, creating the nation’s No. 3 bank with assets estimated at $966 billion.
This good financial news comes a week after EDS saw its stock downgraded to non-investment, or junk, by Moodys. The New York based ratings agency said EDS has shown slow progress in its long-promised financial turn around.
At mid day, EDS stock was up 28 cents a share, or nearly 2 percent.
