Please ensure Javascript is enabled for purposes of website accessibility

Pentagon Awards $1.23 Billion in Defense Contracts Tuesday

By Rich Smith – Feb 4, 2014 at 6:30PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Boeing, SAIC, Booz Allen, and Sagent Pharma all win contracts.

The Department of Defense awarded only seven defense contracts Tuesday, yet still managed to hand out $1.23 billion worth of work.

More than half the funds awarded went to a single recipient, privately held government contractor KS International LLC, which has been hired via a foreign military sales contract to perform various operational and security services for the Iraqi government at Balad Air Base, Iraq, through January 2017. Meanwhile, publicly traded companies winning contracts included:

  • Sagent Pharmaceuticals (NASDAQ: SGNT), which was awarded $28.4 million for the second of seven possible option-year extensions on a contract to supply the U.S. Army, Navy, Air Force, and Marine Corps with "various pharmaceutical products" through Feb. 7, 2015.
  • Boeing (BA 4.03%), which was awarded a $21.7 million option exercise to supply instructional system design courseware and training support for the U.S. Navy's P-8A Poseidon aircraft program. This contract will run through December 2016.
  • A series of government contractors including Booz Allen Hamilton (BAH 1.46%) and SAIC (NYSE: SAI), all of which won places on a $10 million firm-fixed-price contract to perform as-needed R&D work for the U.S. Army's Systems Engineering Directorate, Picatinny Arsenal through Feb. 3, 2017.

Rich Smith and The Motley Fool have no position in any of the stocks mentioned. We Fools don't 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.

Stocks Mentioned

Boeing Stock Quote
Boeing
BA
$182.87 (4.03%) $7.09
Booz Allen Hamilton Stock Quote
Booz Allen Hamilton
BAH
$108.44 (1.46%) $1.56

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.