SOURCE: IBM

February 18, 2009 10:15 ET

Rheinmetall Extends IT Services Contract With IBM Until 2016

DUSSELDORF, GERMANY and STUTTGART, GERMANY--(Marketwire - February 18, 2009) - Rheinmetall AG and its automotive division, Kolbenschmidt Pierburg AG, have signed an agreement with IBM (NYSE: IBM) to renew their information technology (IT) services contracts in Germany. This extends an original agreement signed in 2003.

With the signing of the latest contract, with a value of triple-digit million euro, IBM will continue providing full-scope services including infrastructure operation, SAP application support, network operation, e-mail communications, CAD system support, desktop service, end user help desk and management of telephone systems.

From this year on, a number of additional projects are to be added. IBM will also assist Rheinmetall with the provision of extended services through international support structures across several time zones, business innovations and the fulfillment of increasingly strict audit requirements.

"By rearranging and renewing our contract we are expanding our relationship with IBM. IBM has proved to be a very reliable partner during the past five years and has helped us to reduce costs," said Markus Bentele, Corporate Chief Information Officer at Rheinmetall AG.

"This agreement extends the successful cooperation between Rheinmetall and IBM," said Michael Diemer, General Manager, Global Technology Services at IBM. "We are looking forward to expanding our relationship, continuing to introduce innovation and further enhancing efficiencies for Rheinmetall."

The new contract was signed in December 2008.

About Rheinmetall AG

Rheinmetall was established in 1889 as Rheinische Metallwaaren- und Maschinenfabrik Actiengesellschaft. Today, Rheinmetall AG is a financially strong, internationally successful player in the markets for automotive components and defense equipment. Rheinmetall AG is a group with a long tradition, 19,200 employees worldwide and annual sales of EUR 4.0 billion in 2007. The Automotive sector, parented by Kolbenschmidt Pierburg AG with its divisions Pistons, Air Supply, Pumps, Aluminum Technology, Plain Bearings, and Motor Service, specializes in modules and systems "for every aspect of the engine". The Defense sector with its divisions Land Systems, Weapon and Munitions, Propellants, Air Defense, C4ISTAR and Simulation and Training, is one of Europe's leading suppliers and foremost specialist in the market for land forces equipment.

For more about Rheinmetall AG, visit http://www.rheinmetall.com/

The former Rheinmetall IT subsidiary changed its name to IBM Deutschland Mittelstand Services GmbH on July 1, 2008 as a part of the One IBM project. As IBM's German outsourcing subsidiary it provides hosting or outsourcing facilities for around 70 customers in addition to the Rheinmetall companies. To do so it maintains a trio of computing centers with multiple certifications, including one of the most comprehensive computing center certifications by the BSI in Germany. Based on a dual data site architecture, it is operated at three physical locations in Germany and fits seamlessly into IBM's international delivery structure. For more about IBM Deutschland Mittelstand Services, visit http://www.ibm.com/services/de/ims

About IBM

For more information, visit www.ibm.com/services.

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