CSC Signs $25 Million Annuity Administration ITO Contract Extension with John Hancock Financial
News Release -- February 15, 2012
Virtualized Environment to Increase Flexibility, Generate Cost Savings
FALLS CHURCH, Va., Feb. 15 – CSC (NYSE: CSC) today announced that John Hancock Financial Services, a unit of Manulife Financial Corporation, a leading Canadian-based financial services group serving millions of customers in 21 countries and territories worldwide, has signed a six-year extension to its information technology outsourcing (ITO) agreement with CSC. Under the agreement valued at $25 million and awarded during the first quarter of fiscal year 2012, CSC will continue to provide applications and infrastructure services for the carrier’s U.S. Wealth Management Division in support of the administration of more than one million fixed and variable annuity policies.
A significant change in the newly negotiated agreement is that CSC will manage the transition from the current mainframe environment to a new z Linux platform. The z Linux platform will lower costs through enhanced operational and energy efficiency, improve service with a simplified and integrated environment and augment risk management with strengthened resiliency and security features.
The agreement also includes the licensing of CSC’s Customer Service Accelerator, a Web 2.0 software application that helps insurers manage diverse communication channels for consistent service regardless of the method of customer contact. Through Customer Service Accelerator, all interactions, such as emails, phone calls, Web chats, correspondence and interactive voice response, are centralized and displayed in a single view, making it easy for customer service representatives to understand customer needs at any point of contact.
“Since 1987, CSC has been John Hancock’s strategic partner, supporting our wealth management practice and enabling us to improve efficiency, productivity and profitability while we focus on the essential functions of our business,” said Tony Todisco, vice president, John Hancock Annuity Systems. “With the new distributed environment, John Hancock will have greater flexibility and efficiency, and a foundation for the future.”
“With a commitment to the industry that is more than 30 years strong, CSC provides continuously available, efficient and secure technology outsourcing services,” said Michael W. Risley, president of CSC’s Life Insurance and Annuity Division. “CSC’s infrastructure services combined with the industry’s broadest portfolio of insurance software help carriers around the world develop and launch innovative products quickly, while providing seamless service to their customers and producers.”
About John Hancock Financial and Manulife Financial
John Hancock Financial is a unit of Manulife Financial Corporation, a leading Canada-based financial services group serving millions of customers in 21 countries and territories worldwide. Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, Manulife Financial Corporation offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were C$492 billion (US$473 billion) as of September 30, 2011. Manulife Financial Corporation trades as “MFC” on the TSX, NYSE and PSE, and under “945” on the SEHK. Manulife Financial can be found on the Internet at manulife.com.
About CSC in Financial Services
More than 1,200 major banking, insurance, investment and wealth management, and securities firms rely on CSC’s global financial services team to turn their ambitions into realities. With a track record for delivering software, consulting, and IT and business process outsourcing and services at scale, CSC brings a deep understanding of the financial services business and a collaborative culture to one of the industry’s most engaged client communities. For more information, visit www.csc.com/financialservices.
CSC is a global leader in providing technology-enabled business solutions and services. Headquartered in Falls Church, Va., CSC has approximately 98,000 employees and reported revenue of $16.0 billion for the 12 months ended December 30, 2011. For more information, visit the company’s website at www.csc.com.