Sysco Subsidiaries Win $38.2 Million in Pentagon Contracts

By Rich Smith – Jul 26, 2013 at 5:40PM

NYSE: SYY

Sysco

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Like Napoleon said, "An army marches on its stomach."

A pair of Sysco Corporation (SYY 0.43%) units claimed two out of only five Defense Department contracts awarded on Friday, promising $38.2 million in new revenues to the company in total. Specifically:

Sysco Eastern Maryland was awarded a maximum $20.05 million sole-source contract to provide food and beverage support to Army, Navy, Air Force, and Marine Corps customers in Maryland.
Meanwhile, Sysco Foodservice Alabama was awarded a similar sole-source, $18.15 million contract to provide vendor food and beverage support to Army and Air Force locations in Alabama and Florida.

Both contracts are said to run through March 29, 2014, and benefit the U.S. Defense Logistics Agency.

Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool recommends Sysco. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.