InTechnology has continued to play down the implications of losing its BT service contract, as revealed by CRN last week.
The loss of the contract is the latest in a string of blows including the loss of its Integralis business, redundancies and the firm reporting an operating loss of £13m in the six months ended 30 September 2005.
Steve Pearce, chief operating officer at InTechnology, confirmed to CRN that its BT contract had been re-allocated, but he said: “There will not be much loss on the margin front.”
Peter Wilkinson, chief executive of InTechnology, added in a statement: “We are less and less interested in high volume, low margin, high maintenance supply contracts. It is actually loss making when we take into account all the support costs.
“In this case we are reviewing our network suppliers on the managed services side, and in two working weeks we have a potential network saving well in excess of the lost margin of the BT contract.”
However, BT said in a statement: “BT still intends to have an ongoing relationship with InTechnology and will explore the scope and size of such a relationship going forward.”
Eddie Pacey, director of credit at distributor Bell Microproducts, said: “The loss of any client is not welcome and I suspect it will prove relevant.”
According to sources, firms up for the BT contract include Computacenter and Unipalm, which claimed it was “not in a position to comment”.
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