ING announced today that it has reached a final agreement with LogicaCMG on the outsourcing of application management, IT maintenance and testing activities mainly related to ING's banking operations in the Netherlands. More than 300 employees will be transferred to LogicaCMG, as announced on 26 April 2006 at the signing of the Memorandum of Understanding. The respective works councils have given a positive advice. The six-year contract has a value of over EUR 200 million and will take effect on the first of January 2007.

ING attaches great importance to carefully managing the interests of those affected by outsourcing and it is pleased that final agreement on the social plan was reached with the labour unions on 2 November 2006. This social plan outlines the conditions of employment in the event of restructuring and outsourcing.

The agreement is the first outsourcing contract to be finalised within the Operations and IT efficiency programme that was announced on November 2, 2005. The ING Group efficiency programme is on track and is expected to generate annual cost savings of EUR 460 million, including EUR 230 million for the streamlining and outsourcing of the Operations & IT organisation as of 2008.