BearingPoint lands IT outsourcing subcontract

BearingPoint won a seven-year, $74 million subcontract from Northrop Grumman Corp. to support San Diego County's enormous IT and telecommunications outsourcing contract.

BearingPoint of McLean, Va., will lead application services development and implementation efforts in finance, general government, land use, environment and community services programs.

The company will manage a financials platform from Oracle Corp., Redwood City, Calif., a human resources and payroll system from PeopleSoft Inc., now part of Oracle, as well as hundreds of smaller applications, BearingPoint said in a statement.

Northrop Grumman IT of McLean won the seven-year, $667 million outsourcing pact in January as the leader of a team that includes EDS Corp., BearingPoint and AT&T Corp.

Terms of the outsourcing pact call for Northrop Grumman and its team to oversee San Diego County's data center, help desk, desktop, network, applications and cross-functional IT and telecommunications services. The contract also has a five-year extension option, valued at about $500 million.

Northrop Grumman and its team replaced Computer Sciences Corp., El Segundo, Calif., which won the initial outsourcing contract with San Diego in 1999.

BearingPoint has about 17,500 employees and annual revenue of $3.1 billion in fiscal 2003. The company ranks No. 24 on on Washington Technology's 2005 Top 100 list of federal prime contractors. The 2006 list will be released May 15.

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