XCH.L Regulatory News (XCH)

1 August 2011

XCHANGING PLC WINS L'ORÉAL PROCUREMENT CONTRACT

Xchanging plc ('Xchanging'), the business process and technology services provider and integrator, has won a three-and-a-half year procurement services contract with L'Oréal. The contract commences on 1 August 2011 and runs to 31 December 2014. It is expected to generate revenues in excess of €25 million (c. £22 million) over the life of the contract.

The contract reinforces Xchanging's established position in the global procurement services market where the Company manages over £4 billion of indirect procurement spend on behalf of a broad range of customers. Xchanging helps optimise the value their customers receive from the money they spend and simplifies the administration involved in the purchasing process.

On behalf of L'Oréal Xchanging will manage a significant indirect procurement budget across five countries - France, UK, Germany, Italy and Spain. Xchanging will work alongside L'Oreal's purchasing team to help streamline their purchasing processes across various categories of spend and improve overall costs and quality of supply.

The categories include: Information Technology and Telecommunications, Facilities Management, Human Resources, Light Transport and Logistics Supplies, Travel, Industrial Supplies & Services, Utilities and Laboratory Supplies. Xchanging will also provide procurement management activities including reporting, supplier and contract management.

Ken Lever, Chief Executive Officer of Xchanging, said: "I am delighted to announce the contract with L'Oréal. It is a prestigious win for Xchanging, underscoring our ability to work with the world's largest companies internationally, and bolstering our position in the procurement services market."

ENQUIRIES:

About Xchanging

Xchanging is a business process and technology service provider and integrator specializing in Financial Services, Insurance Services, Technology and Procurement, with pervasive processing skills and capabilities applicable to other vertical industry and market sectors.

www.xchanging.com 

Cautionary Statement: 

This announcement contains forward-looking statements that are based on current expectations or beliefs, as well as assumptions about future events. These forward-looking statements can be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements often use words such as anticipate, target, expect, estimate, intend, plan, goal, believe, will, may, should, would, could, is confident, or other words of similar meaning. Undue reliance should not be placed on any such statements because they speak only as at the date of this document and, by their very nature, they are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results, and Xchanging's plans and objectives, to differ materially from those expressed or implied in the forward-looking statements.

There are a number of factors which could cause actual results to differ materially from those expressed or implied in forward-looking statements. Among the factors that could cause actual results to differ materially from those described in the forward-looking statements are; increased competition, the loss of or damage to one or more key customer relationships, changes to customer ordering patterns, delays in obtaining customer approval or price level changes, the failure of one or more key suppliers, the outcome of business or industry restructuring, the outcome of any litigation, changes in economic conditions, currency fluctuations, changes in interest and tax rates, changes in raw material or energy market prices, changes in laws, regulations or regulatory policies, developments in legal or public policy doctrines, technological developments, the failure to retain key management, or the key timing and success of future acquisition opportunities or major investment projects.