Perot Systems Chalks Up $1B Harvard Pilgrim Extension

April 11, 2008

Perot Systems and Harvard Pilgrim Health Care have extended their IT and Business Process Services Relationship through 2021.

Under this new 13-year, $1 billion contract, Harvard Pilgrim will realize approximately $150 million of administrative cost savings over the life of the agreement through the consolidation and leveraging of technology, administrative functions and redesign of administrative operations. Perot Systems will operate and support Harvard Pilgrim's information technology infrastructure, business applications, and administrative business operations.

"We are committed to helping Harvard Pilgrim to continue building upon their distinguished record of success," said Peter Altabef, president and CEO for Perot Systems. "Their dedication to the consumers of Healthcare reinforces the reasons why they are our nation's top health plan. We are pleased to have this opportunity to work with Harvard Pilgrim on this important and mutually beneficial initiative."

For three years in a row, Harvard Pilgrim has been ranked as the #1 health care plan in America, according to a joint ranking by U.S. News & World Report and the National Committee for Quality Assurance (NCQA). In addition to this accolade, J.D. Power and Associates' 2007 National health Insurance Plan Satisfaction Study recognized Harvard Pilgrim with the "Highest Member Satisfaction with Commercial Health Plans in the Northeast."

"Over eight years ago, Harvard Pilgrim turned to Perot Systems because of their reputation for being the leading Healthcare IT service provider. Since that time, we have relied on Perot Systems to help us successfully improve our level of customer service and increase operational efficiencies," said Charles D. Baker, CEO of Harvard Pilgrim. "They have earned our trust and because of their hard work, awarding this contract extension was an easy decision."