VSE Corporation’s (Nasdaq GS: VSEC) GLOBAL Division has retained a one-year $277 million cost-plus-award-fee, indefinite-delivery, indefinite-quantity contract by the U.S. Naval Sea Systems Command as a result of the U.S. Government Accountability Office (GAO) having denied a protest to the award of the contract to VSE. VSE originally announced the award on October 3rd, 2011 prior to the protest. VSE’s performance of the awarded contract can now proceed.
The five-year maximum potential $1.5 billion contract is for continuous lifecycle support of naval vessels bought, sold, or otherwise transferred to Foreign Military Sales customers through the International Fleet Support Program.
VSE will lead its Naval Ship Transfer and Repair (N*STAR) team with services to foreign customers and allies to include design, configuration management, field engineering, maintenance planning, maintenance, spare parts support, training, casualty, and depot-level repair. The VSE N*STAR team will also provide engineering, technical, procurement, logistics, test, inspection, calibration, repair, maintenance, equipment upgrade installation, and overhaul support services, including reactivation to safe-to-sail status.
"We are pleased that we can now commence our N*STAR team’s services under the new contract to NAVSEA,” said VSE CEO/President/COO Maurice “Mo” Gauthier. “VSE’s N*STAR team is poised to leverage our experience and past performance to ensure NAVSEA and its international clients will continue to receive exceptional service.”
Source: VSE Corp.
Date: Jan 30, 2012