Compaq in contract with Raytheon worth up to $250 million
NEW YORK, Dec 19 (Reuters) - Computer firm Compaq Computer Corp. (NYSE:CPQ - news) on Thursday said it signed two contracts, including a three-year accord worth at least $200 million with Raytheon Co. (NYSE:RTN - news), under which it will provide computers and data storage equipment.
The agreement, which Compaq said is worth up to $250 million, comes at a time when the company is being scrutinized for its ability to keep or win customers amid the uncertainty over its proposed $22 billion merger with competitor Hewlett-Packard Co. (NYSE:HWP - news).
Compaq also said that it had extended an information technology pact with telecom company Ericsson for $125 million a year over five years.
Compaq had beat out competitors for both contracts, said Peter Blackmore, Compaq executive vice president of sales.
``They would not have selected us if they had any doubts either way,'' Blackmore said. ``I think it demonstrates our ability to do large roll-outs of these projects.''
Under the agreement with Raytheon, Compaq will provide desktop computers, notebook computers, servers and workstations to 196 Raytheon locations worldwide. |
