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KBR Awarded Contract to Deliver Facilities Management Services in the Middle East for UK MOD

10/09/2017

HOUSTON, Oct. 9, 2017 /PRNewswire/ -- KBR, Inc. (NYSE: KBR) announced today it has been awarded the Facilities Management Services Operations (FMSO) contract by the UK Ministry of Defence (MOD).

Under a major exercise by the MOD to rationalize contracts across its operational estate, KBR will now be the sole supplier delivering FM services to the UK MOD on deployed operations.

Under the terms of the contract KBR will deliver a vast range of hard and soft FM services across the UK MOD's operational estate in the Middle East to include:

  • Operate and maintain existing infrastructure assets and optimize the use of assets across the operational estates
  • Provide cost effective delivery for real life support services including catering, cleaning, laundry, waste management and pest control services
  • Provide services including grounds maintenance, reprographics, office machinery and government furnished equipment servicing and maintenance

The wide range of services delivered under the contract will see KBR teams working alongside the MOD in locations such as Afghanistan, Iraq, Oman, Bahrain and the UAE and will require KBR to deliver flexibility, responsiveness and agility to meet any changes in the operational estate.

The contract also provides the potential to support both operational deployments and exercises undertaken by the MOD on a call off basis going forward, particularly in the Middle East Region.

KBR's Government Services business provides deployed operational support to the highest standards across the world.

"We are proud to have supported the British military on deployed operations over many years and are pleased to have been chosen as their support partner across the Middle East," said Jay Ibrahim, KBR President, EMEA. "This award is a testament to the hard work of our many staff who ensure that military bases function seamlessly day in, day out, in some of the most austere locations in the world, enabling military personnel to focus on their operational duties effectively."

The initial period of this contract is three years, with associated revenue of $48million, with the option to extend by up to two years for a total maximum value of $80 million.

Revenue associated with this project will be booked into backlog of unfilled orders for KBR's Government Services Business Segment in Q3 of 2017.

About KBR, Inc.

KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Government Services and Hydrocarbons sectors. KBR employs over 34,000 people worldwide (including our joint ventures), with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses:

  • Government Services, serving government customers globally, including capabilities that cover the full life-cycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
  • Technology & Consulting, including proprietary technology focused on the monetization of hydrocarbons (especially natural gas and natural gas liquids) in ethylene and petrochemicals; ammonia, nitric acid and fertilizers; oil refining; gasification; oil and gas consulting; integrity management; naval architecture and proprietary hulls; and downstream consulting
  • Engineering & Construction, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU) and program management

KBR is proud to work with its customers across the globe to provide technology, value-added services, integrated EPC delivery and long term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Visit www.kbr.com

Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

For further information, please contact:

Investors 
Nelson Rowe 
Senior Vice President, Investor Relations 
713-753-5082 
Investors@kbr.com

Media 
Brenna Hapes 
Global External Communications 
713-753-3800 
Mediarelations@kbr.co

UK Media
Andrea Newman
Director External Affairs
01372 864655 / 07880 400260