LONDON--Xerox Corporation has handed its UK and Ireland PR business to Waggener-Edstrom, ending its four-year relationship with Grayling.

Grayling has handled the business since 2007. Xerox head of international communications Jennifer Wasmer confirmed the appointment to the Holmes Report.

The pitch was revealed by the Holmes Report earlier this year, and saw an initial group of 13 agencies whittled down to four pitching contenders.

Xerox evaluated the agencies on a number of criteria, including business capability, team composition, media knowledge, innovation and creativity, chemistry, pricing and procurement concerns.

Best known for its printers and photo copiers, Xerox is hoping to shift perceptions towards its higher-margin services offering. “Effective from 5 September, Waggener Edstrom will work with Xerox to change legacy perceptions about the company and communicate about today’s Xerox,” said Wasmer.

Xerox reported a profit of $319 million in the second quarter of 2011, up from $227 million one year ago. While technology revenues were flat, earnings from services rose by six percent.

According to the Wall Street Journal, Xerox's results have improved as demand for lower-cost products recovers from the global recession. Last year, the company made its biggest-ever acquisition, buying outsourcing company Affiliated Computer Services to add a significant services component to its core printing and document-management operations.

In its full-year 2010 financial results, Xerox reported that its technology and services offerings contribute nearly equal amounts of revenue.