8-K

                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                            CURRENT REPORT PURSUANT
                         TO SECTION 13 OR 15(d) OF THE
                        SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported):        June 1, 2006

                              COVANSYS CORPORATION
             (Exact Name of Registrant as Specified in its Charter)

                                    MICHIGAN
                 (State or Other Jurisdiction of Incorporation)





                                            
          0-22141                                              38-2606945
(Commission File Number)                       (I.R.S. Employee Identification Number)


       32605 WEST TWELVE MILE ROAD, SUITE 250, FARMINGTON HILLS, MI 48334
               (Address of Principal Executive Office)  (Zip Code)

                                 (248) 488-2088
              (Registrant's Telephone Number, Including Area Code)

                                      None

         (Former Name and Former Address, if Change Since Last Report)


Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:

[ ]     Written communications pursuant to Rule 425 under the Securities Act
        (17 CFR 230.425)

[ ]     Soliciting material pursuant to Rule 14a-12 under the Exchange Act
        (17 CFR 140.14a.12)

[ ]     Pre-commencement communications pursuant to Rule 14d-2(b) under the
        Exchange Act  (17 CFR 240.14d-2(b))

[ ]     Pre-commencement communications pursuant to Rule 13e-4(c) under the
        Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.01 COMPLETION OF ACQUISITION OR DISPOSITION OF ASSETS

On June 1, 2006, Covansys Corporation announced it had completed the previously
announced sale of the assets and certain liabilities of its state and local
consulting practice to Saber Solutions, Inc. Saber Solutions, Inc. is a
portfolio company of Accel-KKR, a leading technology-focused private equity
firm. Proceeds from the sale were $33.8 million subject to normal post closing
adjustments. A copy of the press release is attached as Exhibit 99.1.

                                   SIGNATURE

          Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned duly authorized.

                                                  Covansys Corporation

Dated: June 5, 2006

                                                  By: /s/ James S. Trouba
                                                  Vice President and
                                                  Chief Financial Officer

EXHIBIT INDEX





EXHIBIT NO.         DESCRIPTION

                 
99.1                Press Release Dated June 1, 2006

EX-99.1

                                                                    EXHIBIT 99.1


               COVANSYS ANNOUNCES THE SALE OF ITS STATE AND LOCAL
                       GOVERNMENT PRACTICE TO SABER CORP.

       COVANSYS FOCUSES ON HIGHER-GROWTH, HIGHER-MARGIN GLOBAL OUTSOURCING

FARMINGTON HILLS, MICH. (JUNE 1, 2006) - Covansys Corporation (NASDAQ: CVNS), a
global consulting and technology services company, today announced that it has
completed the previously announced sale of its State and Local Government
practice to Saber Corp., a privately-held, leading provider of software and
services to state and local governments. Saber is a portfolio company of
Accel-KKR, a leading technology-focused private equity firm.

Raj Vattikuti, Covansys' President and Chief Executive Officer, said, "We are
pleased to announce the completion of this sale because it allows Covansys to
fully focus on its global outsourcing business. We look forward to delivering
improved IT services and creating additional value for our shareholders."

The State and Local Government practice had revenue and income (loss) from
operations of $75.7 million and $2.8 million for the year ended December 31,
2005 and $12.4 million and ($2.3 million) for the three months ended March 31,
2006, respectively.

Pro-forma revenue and income from operations of Covansys without the State and
Local Government practice were $358.4 million and $43.1 million for the year
ended December 31, 2005 and $97.0 million and $7.8 million for the three months
ended March 31, 2006, respectively.

The agreement does not include Covansys' business process outsourcing (BPO)
business or any of the assets or contracts that Covansys acquired with its
acquisition of PDA Software Services in 2002.

ABOUT SABER

Saber, founded in 1997, is headquartered in Portland, OR. The privately held
company has deep customer relationships with state and local government entities
across the country, providing software and services that underpin essential
functions such as voter registration, election management, public retirement
programs, human services, public health services, motor vehicles, unemployment
insurance, and forms and document processing. For more information, please visit
www.sabercorp.com.

ABOUT ACCEL-KKR

Accel-KKR is a technology-focused private equity firm that invests primarily in
technology businesses with $15 million to $150 million in revenue that are well
positioned for top-line and bottom-line growth. At the core of Accel-KKR's
investment strategy is a commitment to developing strong partnerships with the
management teams




of its portfolio companies and a focus on building value through the
contribution of unique financial, strategic, technical, and operational
resources. Accel-KKR has a particular focus on the following transactions:
Recapitalizations of family-owned or closely-held private companies, divisional
buyouts of larger companies, and going-private transactions. For more
information, please visit www.accel-kkr.com.

ABOUT COVANSYS

Headquartered in Michigan, Covansys Corporation (NASDAQ: CVNS) is a global
consulting and technology services company specializing in industry-specific
solutions, strategic outsourcing and integration services. Clients gain
competitive advantage by leveraging our unique global delivery capability to
achieve rapid deployment, world-class quality and reduced costs. Covansys is
known for strategic outsourcing and technology solutions in the healthcare,
financial services, retail and distribution, manufacturing, telecommunications
and high-tech industries. Founded in 1985, Covansys now has more than 8,000
consultants and employees worldwide. Covansys was one of the first U.S.-based IT
services companies to establish offshore facilities in India, and is a pioneer
in seamlessly integrating offshore capabilities into its offerings. Two of the
company's three wholly owned development centers in India are assessed at Level
5 in SEI CMM(R). All three are ISO 9001:2000 certified and assessed at Level 5
in PCMM(R), and five global facilities are BS7799-2:2002 certified. For more
information, please visit: www.covansys.com.

CONTACTS:

FOR ACCEL-KKR:
Joseph Kuo / Andrea Calise
Kekst and Company
212-521-4800

FOR SABER:

Bob Patterson
MKTX, Inc.
503-646-6589
bobp@mktx.com

FOR COVANSYS CORPORATION:

INVESTORS:

James S. Trouba
(248) 848-2267
jtrouba@covansys.com

MEDIA:

Dorothy Chisholm
(248) 848-2283
dchisholm@covansys.com