Navistar Awards IT Services Contract to IBM

IT transformation agreement to support Navistar's global development

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WARRENVILLE, Ill. and ARMONK, N.Y. - 07 Dec 2009:  IBM (NYSE: IBM) announced today it has signed a 7-year strategic outsourcing contract with Navistar, Inc. (NYSE: NAV), a leading global manufacturer of trucks, buses, recreational vehicles and engines. Through this agreement, IBM has developed a portfolio of services that will enhance the company's information technology (IT) infrastructure and enable Navistar to be a more competitive player in the industry on a global scale.

 Under the contract, IBM will transform Navistar's IT environment by providing a full range of services, including data center relocation, server and storage management, physical database support, and the utilization of IBM server and storage technology. Additionally, IBM will provide disaster recovery services, as well as help desk and distributed operations support. IBM will provide these services at Navistar's locations throughout the United States, Canada and Mexico.

Navistar's products, parts, and services are sold throughout a network of nearly 1,000 dealer outlets in the United States, Canada, Brazil and Mexico and more than 60 dealers in 90 additional countries throughout the world. "With facilities on five continents and continued global growth, it is imperative for Navistar to transform its IT infrastructure to efficiently manage the company's existing needs and to support future growth," said Don Sharp, Navistar Chief Information Officer. "This agreement supports Navistar's strategies of building a competitive cost structure and supporting profitable growth." 

"Navistar chose IBM based on the company's best practices, industry leading services, and technology capabilities," added Dan Fallon, Navistar Chief Technology Officer. "By partnering with IBM, we expect to accelerate process and technology improvement by leveraging the assets and expertise IBM brings to us." 

"This contract further demonstrates IBM's commitment to providing Navistar with high-value services. By teaming with IBM, Navistar will have access to the world's leading services technology and research, allowing Navistar to significantly reduce overall IT operation costs and increase productivity while focusing on their core business and global expansion," said Scott Hopkins, IBM General Manager, Industrial Sector. 

The contract was signed in November 2009. 

About Navistar 

Navistar International Corporation (NYSE: NAV) is a holding company whose subsidiaries and affiliates produce International® brand commercial and military trucks, MaxxForce® brand diesel engines, IC Bus™ brand school and commercial buses, Monaco RV brands of recreational vehicles, and Workhorse® brand chassis for motor homes and step vans. It also is a private-label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. The company also provides truck and diesel engine service parts. Another affiliate offers financing services. Additional information is available at

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