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NSB Retail - Converts UK business into reseller

January 2004

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

To cap off the restructuring of last year,  NSB has announced a move which will radically change its structure and convert its UK subsidiary into a distributor by handing over the reins to BT, a move to save costs. BT is paying NSB £17m for the business and 148 NSB employees will transfer to it. As part of the deal, BT is appointed NSB's exclusive distributor in the UK and Ireland and a non-exclusive distributor in other territories excluding North America.NSB's UK business derives its revenues from the sale of new systems, upgrades, maintenance and annual support contracts.  Following the deal NSB will continue to develop and launch common solutions with its North American side and BT will pay NSB fees based on sa ...

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