EDS Corp has sold off part of its European business to a German firm, the outsourcing giant disclosed in an SEC filing.
According to the filing, EDS on November 15 sold its European field services unit to A&O Systems and Service GmbH, which provides IT and telecom support. Terms of the divestiture, which was effective immediately, were not disclosed. EDS has also agreed to buy future services from A&O, but details of this agreement were also undisclosed.
EDS said the sale should result in a fourth-quarter net income charge of $50m, or $0.10 per share. But the transaction shouldn’t affect its Q4 guidance, which excludes such items.