Leroy Merlin Expands Contract With IBM

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SAO PAULO, BRAZIL - 20 Oct 2008: As a result of its quick expansion in Brazil, Leroy Merlin, one of the biggest global retail chains in the area of home building and decoration, has increased the scope of its outsourcing agreement with IBM in Brazil (NYSE: IBM).

In addition to 24x7 support to the ERP solution that interconnects Leroy Merlin's 15 stores in the country, IBM will become the provider of customer relationship management (CRM) infrastructure services during the next five years. The goal is to offer high system availability to avoid loss of sales and ensure customer loyalty.

In the past three years, Leroy Merlin and IBM have been expanding their relationship with the delivery of new services, such as the management of payroll, tax system and help desk, in addition to maintenance for Internet and e-mails.

The agreement was signed in September 2008.

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