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What: SIGA Technologies
So what: SIGA may lose a $2.8 billion contract with the government because the Small Business Administration doesn't think it is a small business. The contract, for a strategic national stockpile of its smallpox drug, was supposed to go to a small business.
Now what: Rival Chimerix is the company bringing up the complaint, but I have to wonder how small can a business be to fill a $500 million base contract that could be worth as much as $2.8 billion? The contract may be amended, but I think shares will recover later in the day because SIGA will likely not lose the entire contract. I'm buying today's drop and think shares will recover once this storm blows over.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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