12/13/06

Successful bid by Wincor Nixdorf Portavis for HSH Nordbank outsourcing project

Wincor Nixdorf Portavis GmbH is set to run the operation of more than 5,000 PC work stations and data center of HSH Nordbank AG. As a joint-venture company that specializes in outsourcing services, Wincor Nixdorf Portavis was established together with the savings banks Hamburger Sparkasse and Sparkasse Bremen, with Wincor Nixdorf holding a majority interest. With effect from December 1, HSH Nordbank outsourced the operation of their PC, the networks, telecommunications systems, servers and databases to Wincor Nixdorf Portavis. In addition to the operations of the national sites of HSH Nordbank operating processes also for foreign subsidiaries of HSH Nordbank will be taken over. As part of the outsourcing agreement, 35 HSH Nordbank employees were transferred to Wincor Nixdorf Portavis.

HSH Nordbank is the first Landesbank in Germany to outsource its IT operations to Wincor Nixdorf Portavis. The agreement will allow the joint-venture company to internationalize its own business, as the intention is that it should gradually take over the operation of IT systems at HSH Nordbank’s international locations in addition to the bank’s German offices. This process is set to begin by extending services to the bank’s subsidiaries in New York and San Francisco, additional sites of HSH Nordbank could follow gradually, if required. In assuming responsibility for operational management, Wincor Nixdorf is freeing up resources at HSH Nordbank allocated to manage an activity that does not form part of the bank’s core business and is thus helping to streamline internal structures.

For Wincor Nixdorf AG, the outsourcing agreement is valuable confirmation of its strategic change of direction from a mere systems provider to a partner for all-round processes within bank branches and retail outlets. Another important factor is that an increasing proportion of Wincor Nixdorf’s business is dedicated to services, a share that is expected to make up half of its total net sales in the medium term. As part of this trend, its outsourcing activities are set to continue growing, with more and more banks delegating parts of their information technology requirements to external partners.

Wincor Nixdorf Portavis

Wincor Nixdorf Portavis is based in Hamburg and specializes in the provision and operation of technical infrastructures and solutions for the banking industry, with a particular focus on the banks that make up the Sparkasse financial group. The joint venture was established as a result of a merger in 2005 of the IT operations of the Hamburg Sparkasse with those of the Bremen Sparkasse under the management of a single IT service provider and is based on the joint expertise of all the parties involved. Wincor Nixdorf Portavis has a workforce of around 190. As a global solution partner, the company offers its customers a comprehensive service portfolio to meet their IT outsourcing requirements.

Wincor Nixdorf

Wincor Nixdorf is one of the world’s leading providers of IT solutions for the retail banking industry and the retail trade. Its comprehensive portfolio includes hardware, software, consultancy and services and is designed to optimize the business processes of banks and major retailers with an extensive branch network, as well as reduce costs and complexity and improve service to the end customer. The company employs over 7,700 staff and generated net sales of €1.95 billion in its last fiscal year. Wincor Nixdorf is represented in more than 90 countries, 32 of which are home to its own subsidiaries. In the field of ATMs and EPOS systems, the company leads the German market and occupies third place at international level. Its main production facilities are located at its base in Paderborn and in Singapore.

HSH Nordbank

HSH Nordbank AG is a strong regional bank in Northern Europe with total assets of € 190 billion. Some 4,400 of the bank’s employees provide corporate and high net-worth clients around the globe with premium bank products and services. In its core region of Hamburg and Schleswig-Holstein, it is the market leader in the corporate customer segment. HSH Nordbank is an acknowledged partner of the capital markets and international sector specialist. Its main focus is on transportation and real estate. In fact, HSH Nordbank is the world’s largest provider of ship finance and covers the entire value chain in the transportation segment. In the area of real estate, HSH Nordbank is one of the strongest banks in Germany, acting as a provider of services relating to all aspects of real estate.