VSE Corporation reported that its Fleet Maintenance Division has been
awarded a new multiple award, indefinite delivery, indefinite quantity
contract by the U.S. Navy. Under the contract, VSE will provide engineering
and technical services to support Naval Sea Systems Command maintenance,
overhaul, repair, and alteration of ship systems aboard ships.
VSE understands that the Navy awarded similar contracts to six other
contractors. The contract is a multiple award, indefinite delivery,
indefinite quantity contract, and accordingly, actual VSE revenue estimates
for the contract cannot be predicted.
Depending on U.S. Navy work requirements and funding availability, the
cost-plus-fixed-fee contract includes a base year ceiling amount of $195
million and a total contract ceiling amount of $1.022 billion over a five-year
period if all option periods are exercised.
VSE Chairman of the Board, President, and CEO/COO Don Ervine said, "We are
very pleased to have been selected to support the Navy under
contract, and we look forward to continuing our support to the fleet under
this important program."
VSE provides diversified services to the engineering, energy and
environment, homeland security and defense services markets from more than 15
locations across the United States and around the world. VSE reported
consolidated revenues of $96.7 million and earnings of $1.6 million ($.70 per
share basic, $.68 per share diluted) for the six-month period ending June 30,