Cognizant inks deal with California Auto

Cognizant Technology Solutions has inked a multi-year relationship agreement with California State Automobile Association (CSAA) to provide a full suite of IT services, including business consulting, specialised software and service implementation, besides support services.

The Chennai-based IT vendor will service the contract from multiple locations, including San Francisco, Glendale and Arizona. Cognizant executives declined to divulge the duration or financial scope of the CSAA contract.

CSAA offers a wide array of automotive, travel, insurance, financial services and consumer discounts to more than four million members in Northern California, Nevada and Utah.

Cognizant has played a key role in many of CSAA's technology transformation programmes, including membership, policy management, internet sales channels, payment and vacation systems.

It has also delivered consulting work in legacy application portfolio analysis, claims system review and recommendations, process improvement and change management for the software development life cycle.

Cognizant attracted repeat business in CY06 from 96 per cent of the customers, who have been with it for at least a year. The repeat business in the September quarter is estimated at over 90 per cent.

Cognizant reported revenues of $558.8 million in its third quarter ended September 30. The top-five customers in the third quarter represented 24 per cent of the total revenues ($134.1 million), while the top-ten customers accounted for 34 per cent ($190 million).

The revenues from the key BFSI vertical constituted 47 per cent of Cognizant's turnover, growing 43 per cent year-on-year.