Pentagon Announces $730 Million in New Contracts Wednesday

The U.S. Department of Defense awarded 13 new contracts Wednesday, worth more than $730 million in aggregate. The largest of these awards, a $230 million contract to upgrade the U.S. Air Force's Digital Video Laboratory III, went to privately owned SRI International of Menlo Park, Calif. But publicly traded companies weren't entirely left out in the cold.

  • Johnson Controls' (NYSE: JCI  ) Federal Systems unit, along with six private companies, all claimed the right to participate in a firm-fixed-price, option-filled, multiple-award, task-order contract worth up to $95 million. Under this contract, the seven winners will compete to complete task orders for providing "construction and equipment installation services" worldwide for the U.S. Army Corps of Engineers.
  • Verizon (NYSE: VZ  ) Business Network Services won an $11.9 million modification of a contract to supply "managed network services" to the U.S. Army.
  • And Northrop Grumman (NYSE: NOC  ) won a $10.4 million contract modification to support unspecified "critical components" for U.S. and Coalition Partners in Afghanistan. The Pentagon noted in its announcement that the cumulative value of this latter contract is now approaching $198 million.

Editor's note: A previous version of this article incorrectly mentioned Smith & Wesson Holding Corp. (NASDAQ: SWHC) as securing a contract. That is not the case. The Fool regrets the error.

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  • Report this Comment On July 11, 2013, at 8:43 AM, rgarde wrote:

    This article mentions Smith and Wesson Security Solutions, but has the ticker symbol for S&W holding company? These are two separate companies.

  • Report this Comment On July 11, 2013, at 12:23 PM, TMFKris wrote:

    @rgarde: Thank you for the sharp eye. That error has been corrected.

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