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2016-11-02

Stockmann Oyj Abp: Stockmann to transfer part of its ICT activities to Tech Mahindra

The purpose of the long-term partnership is to increase efficiency in
developing innovative ICT solutions to Stockmann's customers, to
lower costs, and to harmonise and centralise ICT services.

STOCKMANN plc, Company Announcement 2.11.2016 at 9:00 EET

Stockmann has signed a five-year cooperation agreement with Tech
Mahindra to produce part of Stockmann's ICT services. As a
consequence, Stockmann will consolidate the maintenance and
development of business applications and infrastructure offered by
more than 20 current service providers and delivered from several
countries to one dedicated supplier. At the same time, 33 of
Stockmann's current ICT employees are planned to transfer to Tech
Mahindra on 1 January 2017 under a business transfer agreement. The
target of the planned changes is to reduce Stockmann's ICT costs by
about EUR 4 million annually from 2018 onwards.

"This partnership is the start of a new phase in developing ICT
services at Stockmann. It will allow us to ensure efficient
production of up-to-date services to our customers in the stores as
well as online. Tech Mahindra has deep knowledge of offering digital
services to well-known retail companies worldwide, and we are glad to
gain this expertise for the benefit of our customers," says Petteri
Naulapää, CIO at Stockmann.

Stockmann will maintain an ICT organisation with about 40 employees
responsible for IT portfolio management and development of business
processes, applications and digital services for Stockmann's
customers.

Tech Mahindra is a specialist in digital transformation, consulting
and business reengineering, offering innovative and customer-centric
information technology services and solutions to over 825 customers
globally. Tech Mahindra is part of the $17.8 billion Mahindra Group
that has offices in over 100 countries, and it has been providing IT
services in the Nordic countries for about 10 years. The company has
over 2000 employees working for customers in the Nordic region.

Further information:
Petteri Naulapää, CIO, tel. +358 9 121 5377
Nora Malin, Director, Corporate Communications, tel. +358 9 121 3558

www.stockmanngroup.com

STOCKMANN plc

Lauri Veijalainen
CEO

Distribution:
Nasdaq Helsinki
Principal media

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