Boots signs £26m outsource extension

Boots has expanded its outsourcing partnership with Xansa in a contract extension worth £26m over two years.

Xansa will now take responsibility for the management and support of Boots’ Advantage customer loyalty card.

The new contract at the cosmetics and medicines retailer extends a seven-year £90m IT outsourcing agreement, signed in 2002, by a further two years to 2011. 

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Rob Fraser, Boots IT director, said, “The new, expanded relationship provides a springboard that will enable further business benefits and cost savings.”

As part of the £26m extension, Xansa will continue to provide application support and maintenance across the company, from Boots’ head office through to its supply chain and its store-based applications. 

Areas covered include applications development, programme and project management, application architecture and business consulting services.