InBev, the world’s largest brewer by volume, has extended an application management outsourcing deal to central and Eastern European locations.

Under the terms of the five-and-a-half-year contract, outsourcer LogicaCMG will manage all the InBev business systems in its European and global headquarters’ across 17 countries including Russia. The contract, covering InBev’s existing application environment in these territories, will streamline InBev’s end-to-end application management processes.

Claudio Garcia, InBev chief people and technology officer said a successful transition of the company’s application services earlier this year paved the way for the wider deal. “[It] will enable us to have a consistent approach to our application services across Europe and reduce costs while maintaining strong service levels,” he said.

The deal extends the original €70 million (£47m) contract the outsourcer won in June 2006 to manage InBev’s applications across eight countries in Western Europe into Central and Eastern Europe. Other countries included in the deal extension are Ukraine, Hungary, Czech Republic, Croatia, Serbia, Montenegro, Romania and Bulgaria. All affected staff have been offered full employment by LogicaCMG across the areas in which InBev operates.