U.S. information technology company Unisys has signed a $127 million deal with Sberbank, the former Russian national bank, to supply it with a central clearing system, a Unisys official said Tuesday.


David Holmberg, communications manager for Unisys, said in a telephone interview from London that the system, which will take three years to complete, will be the first of its kind in Russia.


Unisys has already installed similar systems in the Czech Republic, Romania, and other Eastern European countries, Holmberg said. He added that Unisys is in the process of negotiating a separate contract with the Russian Central Bank.


Holmberg said that work on the clearing system is due to start "as soon as possible," but did not give an exact date.


Sberbank is one of the world's largest financial institutions with 2,300 branches and 43,000 bank offices. It has assets of about $4.25 billio.


Vacheslav Kornev, vice president of Sberbank, said Unisys beat out Digital and International Business Machines in the competition for the project, according to a Unisys press release.


The project, which Unisys said was the largest single bank automation project in Russia, will help the bank clear accounts with its regional offices.


"The new automation will be instrumental in the consolidation of our financial resources and improved services to businesses and individuals,'' Kornev said.


Unisys will also provide Sberbank with training.


HOLIDAY