8-K

                                 UNITED STATES
                       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)             December 22, 2008
_______________________________________________________________________________

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


   Delaware                           1-8729                    38-0387840
_______________________________________________________________________________
(State or Other              (Commission File Number)         (IRS Employer
Jurisdiction of                                             Identification No.)
Incorporation)


                                  Unisys Way,
                         Blue Bell, Pennsylvania  19424
_______________________________________________________________________________
              (Address of Principal Executive Offices)  (Zip Code)

                                 (215) 986-4011
_______________________________________________________________________________
              (Registrant's telephone number, including area code)


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 (see General Instruction A.2. below):

[ ]  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 240.14a-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 8.01.  Other Events

On December 22, 2008, Unisys Corporation announced that the company was taking
actions expected to reduce its annual cost structure by more than $225 million.
Initial cost-reduction actions are focused on reducing SG&A expenses and
controlling or reducing labor costs.  These actions to reduce costs include
reductions in third-party expenses, facility consolidations, headcount
reductions of approximately 1,300 positions worldwide and a suspension of
company matching contributions to the U.S. 401(k) plan, which had been costing
about $50 million annually.  The headcount reductions have begun and will
continue into 2009.  Along with the above items, the company also plans to
forgo 2009 salary increases in most of the company's markets.

The company also announced that it expects to take a fourth-quarter 2008
restructuring charge in the $80 to $85 million range.  The total cash
requirements related to the charge are expected to be about $70 to $75 million.
The charge will not require an acceleration of cash requirements, as severance
and facility charges will be paid out over severance and lease periods.

The company's press release is attached as Exhibit 99 hereto.

Item 9.01.  Financial Statements and Exhibits

(c) Exhibits

99    Press release dated December 22, 2008



                                   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 hereunto duly authorized.


                                                     UNISYS CORPORATION


Date: December 23, 2008                           By: /s/ Janet B. Haugen
                                                      -------------------------
                                                      Janet B. Haugen
                                                      Senior Vice President, and
                                                      Chief Financial Officer





                                EXHIBIT INDEX


Exhibit No.               Description
- -----------               -----------
99                        Press release dated December 22, 2008

EX-99

News Release


Investor Contact:

Jack McHale, 215-986-6050
Jack.McHale@unisys.com


Media Contacts:

Jim Kerr, 215-986-5795
Jim.Kerr@unisys.com



UNISYS ANNOUNCES ACTIONS TO REDUCE COST BASE BY MORE THAN $225 MILLION ANNUALLY

BLUE BELL, Pa., December 22, 2008 - Unisys Corporation announced today that it
was taking aggressive actions to reduce its costs.  Unisys said that it is
exploring a wide range of cost-reduction options and that actions currently
underway are expected to reduce its annual cost structure by more than $225
million.  The cost-reduction actions are part of an overall program, led by new
Unisys Chairman and CEO Ed Coleman, to simplify the company's business
structure, concentrate its resources more effectively, and drive improved market
success and profitability.

Unisys said its initial cost-reduction actions are focused on reducing SG&A
expenses and controlling or reducing labor costs across the board.  These
actions to reduce costs include reductions in third-party expenses, facility
consolidations, headcount reductions of approximately 1,300 positions
worldwide, and a suspension of company matching contributions to the U.S.
401(k) plan, which had been costing about $50 million annually.  The headcount
reductions have begun and will continue into 2009.

Along with the items above, the company also plans to forgo 2009 salary
increases in most of the company's markets.

Unisys said it expects to take a fourth-quarter 2008 restructuring charge in
the $80 to $85 million range.  The total cash requirements related to the
charge are expected to be about $70 to $75 million.  The charge will not
require an acceleration of cash requirements, as severance and facility charges
will be paid out over severance and lease periods.

ABOUT UNISYS
Unisys is a worldwide information technology services and solutions company.
We provide consulting, systems integration, outsourcing and infrastructure
services, combined with powerful enterprise server technology.  We specialize
in helping clients use information to create efficient, secure business
operations that allow them to achieve their business goals.  Our consultants
and industry experts work with clients to understand their business challenges
and create greater visibility into critical linkages throughout their
operations.  For more information, visit www.unisys.com .

FORWARD-LOOKING STATEMENTS
Any statements contained in this release that are not historical facts are
forward-looking statements as defined in the Private Securities Litigation
Reform Act of 1995.  Forward-looking statements include, but are not limited
to, any projections of earnings, revenues, or other financial items; any
statements of the company's plans, strategies or objectives for future
operations; statements regarding future economic conditions or performance; and
any statements of belief or expectation.  All forward-looking statements rely
on assumptions and are subject to various risks and uncertainties that could
cause actual results to differ materially from expectations.   In particular,
statements concerning anticipated reductions in the company's cost structure
assume that the company will fully and successfully implement the associated
cost reduction actions.  The anticipated amount of anticipated cost savings is
also subject to currency exchange rate fluctuations with regard to actions
taken outside the U.S.   Other risks and uncertainties that could affect the
company's future results include general economic and business conditions; the
effects of aggressive competition in the information services and technology
markets on the company's revenues, pricing and margins and on the
competitiveness of its product and services offerings; the level of demand for
the company's products and services and the company's ability to anticipate and
respond to changes in technology and customer preferences; the company's
ability to retain significant clients; the company's ability to grow
outsourcing and its ability to effectively and timely complete the related
solutions implementations, client transitions to the new environment and work
force and facilities rationalizations; the company's ability to continue to
effectively address its challenging outsourcing operations through negotiations
or operationally and to fully recover the associated outsourcing assets; the
company's ability to drive profitable growth in consulting and systems
integration; the level of demand for the company's high-end enterprise servers
and maintenance on those servers; the risk that the company's contracts may not
be as profitable as expected or provide the expected level of revenues and that
contracts with U.S. governmental agencies may be subject to audits, criminal
penalties, sanctions and other expenses and fines; the risk that the company
may face damage to its reputation or legal liability if its clients are not
satisfied with its services or products; the performance and capabilities of
third parties with whom the company has commercial relationships; the risks of
doing business internationally; the potential business and financial risk in
implementing future acquisitions or dispositions; the potential for
infringement claims to be asserted against the company or its clients and the
possibility that pending litigation could affect the company's results of
operations or cash flow.  Additional discussion of these and other factors that
could affect Unisys future results is contained in its periodic filings with
the Securities and Exchange Commission.  Unisys assumes no obligation to update
any forward-looking statements.

#

RELEASE NO.: 1222/8944
http://www.unisys.com/about__unisys/news_a_events/12228944.htm

Unisys is a registered trademark of Unisys Corporation.  All other brands and
products referenced herein are acknowledged to be trademarks or registered
trademarks of their respective holders.