IPFS News Link • Government Debt & Financing
Defense News Roundup: U.S. Special Forces Award a $10 Billion Contract
• Rich Smith, Motley FoolSomething to do with "special operations" -- but it's all very hush-hush
The biggest contract awarded last week, bar none, accounted for nearly
two out of every three dollars' worth of contracts awarded -- and it
happened just Friday. That was when the Pentagon announced that five
previously little-known private military contractors -- ADS, Federal
Resources Supply, Source One Distributors, Tactical & Survival
Specialties, and W.S. Darley & Co. -- will share in a $10 billion
firm-fixed-price, indefinite-delivery/indefinite-quantity contract for
"support of special operational equipment tailored logistics support
program."
Other than the fact that the contract will run through March 6, 2016, and will benefit the U.S. "Army, Navy, Air Force, Marine Corps, and federal civilian agencies," no further details were revealed about the contract.
A new aircraft carrier for the Navy
Second place in dollar value for contracts last week was a $1.3 billion contract modification won by military shipbuilder Huntington Ingalls (NYSE: HII ) . Ingalls, currently busy getting the new nuclear aircraft carrier USS Gerald R. Ford (CVN-78) ship-shape and ready for service, has been instructed to begin
collecting materials necessary to build the second ship in the Ford class, the USS John F. Kennedy (CVN-79). With an anticipated build-cost of $13 billion or thereabouts,
this contract modification should cover about 10% of the ship's
construction cost.