Discover extends IBM IT service contract

IBM (NYSE: IBM) announced today it will provide information technology (IT) services to Discover Financial Services (NYSE: DFS) through 2015 as a result of an extended outsourcing agreement between the two companies.

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As part of the agreement, IBM will continue providing management and support for some of Discover's most critical IT operations. IBM will make investments in software, processing, and storage technologies that will result in improved operations, efficiency, reporting and compliance.

"IBM has had a long history working closely with Discover to provide high quality, highly efficient IT operations. The new agreement provides them with the flexibility to meet the challenges present in the card business today while taking our relationship well into the next decade," said Scott Morin, IBM vice president of Financial Services Sector, Strategic Outsourcing.

"Technology plays a key role in all aspects of Discover's business. Through the work performed under this agreement, we expect to further enhance our customer experience while realizing increased efficiencies in our operations," said Glenn Schneider, Senior Vice President and Chief Information Officer, Discover Financial Services.

The contract was signed in November 2009.

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