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Contract Awards/News
Invictus JV, Joint Venture of Perspecta & Knight Point, Secures Spot on $13.4B SBEAS Program to Support AFMC; Mac Curtis, Tony Johnson Quoted
by Sarah Sybert
Published on April 29, 2020
Invictus JV, Joint Venture of Perspecta & Knight Point, Secures Spot on $13.4B SBEAS Program to Support AFMC; Mac Curtis, Tony Johnson Quoted

Invictus JV, Joint Venture of Perspecta & Knight Point, Secures Spot on $13.4B SBEAS Program to Support AFMC; Mac Curtis, Tony Johnson Quoted

Perspecta has announced that Invictus JV, a joint venture of Perspecta subsidiary Knight Point Systems, has been awarded a prime position on the five-year, $13.4 billion Small Business Enterprise Applications Solutions (SBEAS) program from the United States Air Force Materiel Command (AFMC), Perspecta reported on Wednesday.

“The complementary capabilities of Knight Point Systems and Oasys International Corporation were brought together to provide the deepest breadth of capability possible to the Air Force,” said Mac Curtis, president and CEO of Perspecta and six-time Wash100 Award recipient. “We are excited about the work ahead and look forward to providing game-changing IT services and solutions to, and building a strong partnership with, our Air Force customer.”

The indefinite delivery/indefinite quantity (IDIQ), multiple-award program will include a five-year base plus five one-year options. The joint venture represents a qualified small business, eligible based on criteria for mentor-protégé relationships as set forth by the U.S. Small Business Administration (SBA).

The company has provided systems engineering and integration services, cloud computing, cybersecurity, infrastructure and data center services, program management and service desk support to customers across defense, intelligence and federal agencies. Knight Point Systems became a subsidiary of Perspecta in Aug. 2019.

The SBEAS program will provide Air Force organizations and other supporting government agencies with a platform to procure a comprehensive suite of IT systems and software development in a variety of environments and infrastructures.

Invictus JV will help develop technology upgrades, cybersecurity, commercial off-the-shelf product management, training, documentation, information display and business analysis services. The company will compete for task orders to provide systems engineering, system architecture and design, cloud migration and advisory services, cybersecurity and risk management and agile software development services.

“We are honored to be chosen to provide next-generation cyber, digital services and technology transformation solutions for the Air Force enterprise,” said Tony Johnson, CEO of Oasys International Corporation. “As Invictus, we look forward to putting our combined proven best practices and innovation to the test to address the Air Force’s technology challenges.”

About Perspecta Inc.

At Perspecta (NYSE: PRSP), we question, we seek and we solve. Perspecta brings a diverse set of capabilities to our U.S. government customers in defense, intelligence, civilian, health care and state and local markets. Our 270+ issued, licensed and pending patents are more than just pieces of paper, they tell the story of our innovation.

With offerings in mission services, digital transformation and enterprise operations, our team of 14,000 engineers, analysts, investigators and architects work tirelessly to not only execute the mission, but build and support the backbone that enables it. Perspecta was formed to take on big challenges. We are an engine for growth and success and we enable our customers to build a better nation.

News/Press Releases
VT Halter Marine Secures $1.7M Grant by MARAD to Modernize Shipyards; Ron Baczkowski Quoted
by Sarah Sybert
Published on April 29, 2020
VT Halter Marine Secures $1.7M Grant by MARAD to Modernize Shipyards; Ron Baczkowski Quoted

VT Halter Marine Secures $1.7M Grant by MARAD to Modernize Shipyards; Ron Baczkowski Quoted

VT Halter Marine, a company of ST Engineering North America, has been awarded a grant of nearly $1.7 million for a 1,250‐ton press brake by the U.S. Department of Transportation’s Maritime Administration (MARAD), the company reported on Wednesday.

“We appreciate MARAD for its continued support of VT Halter Marine and our employees,” said Ron Baczkowski, President and CEO. “This grant enables us to replace and modernize our equipment and processes to fuel future growth along the Mississippi Gulf Coast. The new machinery will replace the existing 750-ton press brake, which is 45 years old and has exceeded its useful life. While it has served us well, the existing machinery frequently requires repair and is no longer supported by spare parts.”

The grant was part of a discretionary grant to 24 U.S. shipyards through the Small Shipyard Grant Program, totaling $19.6 million. The grant will fund the modernization of shipyards, improving efficiency in constructing vessels. VT Halter Marine will purchase, install and train personnel to operate the new press brake.

The modernized press brake will accommodate the increased thicknesses and higher grades of materials used in VT Halter Marine’s ongoing and future programs. VT Halter Marine will also utilize a larger capacity unit to expedite work.

With VT Halter Marine’s work, the press brake will double the bending force capacity and will be capable of computer numerically controlled operations using data taken directly from engineering drawings to increase efficiency and productivity.

The company will use the braking unit to create flanged plate girders, flanged brackets, bilge keel plates, simple curvature hull plates and conical shapes such as anchor bolsters from flat sheets of steel or aluminum plate.

VT Halter Marine will continue to bolster its employee base as design and planning continues in the U.S. Coast Guard’s Polar Security Cutter. The company has projected to cut the first plate of steel a year from now, and a new press brake is vital to the vessel’s construction.

Obtaining this new, modern equipment enables VT Halter Marine to continue to leverage information technology and to modernize our shipyard as we build America’s first heavy icebreaker (the Polar Security Cutter) in 40 years and other U.S. government and commercial new construction programs,” Baczkowski said.

About VT Halter Marine/ ST Engineering

VT Halter Marine, the marine operations of ST Engineering North America, is based in Pascagoula, Miss., and is a leader in the design and construction of medium-sized ships in the United States. VT Halter Marine designs, builds and repairs a wide variety of ocean-going vessels such as patrol vessels, oil recovery vessels, oil cargo vessels, ferries, logistic support vessels, auxiliaries, and research and survey vessels. Please visit www.vthaltermarine.com.

ST Engineering North America is the U.S. headquarters of ST Engineering, a global technology and engineering group, providing integrated solutions to the commercial and government markets in the aerospace, electronics, land systems, and marine sectors. Within the U.S., we have major operations in 17 cities across 13 states and more than 5,000 employees, providing innovative products and services across these diverse market segments.

Financial Reports/News
KBR Reports First Quarter 2020 Financial Results; Stuart Bradie Quoted
by Sarah Sybert
Published on April 29, 2020
KBR Reports First Quarter 2020 Financial Results; Stuart Bradie Quoted

KBR Reports First Quarter 2020 Financial Results; Stuart Bradie Quoted

KBR has announced its first quarter 2020 financial results, noting strong business continuity, safe and effective transition to teleworking amidst COVID-19, healthy liquidity profile and operating Cash Flow $41 million, Adjusted Operating Cash Flow $65 million, the company reported on Wednesday.

“I am pleased to announce the company’s first quarter 2020 financial results,” said Stuart Bradie, President and CEO of KBR. “With more than 85% of our portfolio supporting mission critical government services and delivering proprietary technology solutions, our business continues to be resilient amidst the COVID-19 pandemic and energy market downturn,” KBR CEO Stuart Bradie said.

KBR has maintained a healthy liquidity profile and produced strong free cash flow in the first quarter 2020.  The company’s $500 million revolving credit facility is essentially untapped, and based on expected free cash flow for the year, KBR does not plan to draw on this source of funds for operating purposes in 2020.

The company’s Government Solutions division has delivered 1.3x book-to-bill (BTB), excluding the workoff of PFIs, defending its largest recompete of 2020 and achieving BTB of greater than 1x in each of its three major service lines.

In February, the company acquired contracts from SMA in Australia under which we will deliver technical training, curriculum development, technical documentation and data analysis to the Royal Australian Navy. Government Solutions Australia team has leveraged the company’s specialized, technology-enabled capabilities as the Australian Department of Defence modernizes and renews its platforms.

The Technology division will continue to benefit from a strong 2019 backlog. Bookings in the first quarter were lower due to COVID-19 and have been further impacted with the disruptions in the energy market.

Within KBR’s Energy Solutions, COVID-19 has adversely impacted the division by the energy market. Management will continue to monitor capital investment and spending modifications across its client base and has taken the following proactive measures to immediately reduce costs and increase resilience for the future.

The company recorded a pretax charge of $178 million during the first quarter 2020, of which almost 90 percent was non-cash to impair goodwill, equity investments, real estate and other assets. The charge had a minimal impact on financial liquidity.

Government Solutions Adjusted EBITDA of $106 million, an increase of $17 million compared to Q1 2019, from strong operational performance in the U.S. and internationally. Revenue of $955 million was down slightly compared to 2019 due to the completion of the Tyndall disaster recovery work in mid-2019 and slightly lower volume on overseas contingency programs.

The growth in Adjusted EBITDA resulted from excellent margins in the current quarter associated with continued strong execution on the Aspire Capital Works program as well as successful resolution of certain legacy claims with the U.S. government.

Technology Solutions (TS) Adjusted EBITDA of $23 million, an increase of $1 million or 5% compared to Q1 2019 due to a change in mix, primarily increased license and engineering services. Revenues were down slightly due to higher volumes of proprietary equipment deliveries in 2019.

Energy Solutions Adjusted EBITDA of $11 million, a decrease of $17 million or 61% compared to Q1 2019. While revenue grew significantly associated primarily with reimbursable EPC projects commenced in 2019 along the U.S. Gulf Coast and expanded services globally, margins were compressed by higher volumes of low risk, reimbursable construction services. Margins benefited in 2019 from favorable project completion and close-outs that did not recur in 2020.

The company has expanded its Government Solutions Systems Engineering portfolio through multiple recompete and new business expansions supporting next generation technologies, including $139 million in NAVAIR engineering contracts and several new task orders to provide avionics product and life cycle analysis for the U.S. Air Force.

KBR successfully defended the company’s largest Government Solutions recompete of the year, NASA Ames ISRDS, strengthening the company’s NASA franchise. Under the contract, KBR will perform research and development within artificial intelligence, knowledge discovery, and nanotechnology information processing and sensors.

The company also won seats on two important Government Solutions IDIQ contracts: an 8-year IDIQ contract to provide integrated technology solutions to secure U.S. Air Force bases globally, and an 11-year IDIQ contract for the U.S. Air Force to support contingency and humanitarian operations.

“We produced excellent cash flow in the quarter and core operating results were in line with our expectations. Strong liquidity combined with our ability to generate healthy free cash flow in the current environment is an indicator of the long-term sustainability and durability of our company,” Bradie noted.

About KBR, Inc.

KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Government Services and Hydrocarbons sectors. KBR employs approximately 37,000 people worldwide (including our joint ventures), with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses: Government Solutions, Technology Solutions, Energy Solutions.

News/Press Releases
Honeywell Produces Hand Sanitizer for Government Agencies to Combat COVID-19; Rajeev Gautam, Darius Adamczyk Quoted
by Sarah Sybert
Published on April 29, 2020
Honeywell Produces Hand Sanitizer for Government Agencies to Combat COVID-19; Rajeev Gautam, Darius Adamczyk Quoted

Honeywell Produces Hand Sanitizer for Government Agencies to Combat COVID-19; Rajeev Gautam, Darius Adamczyk Quoted

Honeywell has announced that the company will temporarily shift manufacturing operations at two chemical manufacturing facilities to produce and donate hand sanitizer to government agencies in response to shortages created by the COVID-19 pandemic, Honeywell reported on Wednesday.

“When called upon to help, our team rushed to transform production lines to produce hand sanitizer for areas where it is most urgently needed. I am proud to work with such innovative and dedicated employees who not only care enough to make a difference but have the spirit to make it happen,” said Rajeev Gautam, president and CEO of Honeywell Performance Materials and Technologies.

Honeywell’s sanitation operations will occur at its sites in Muskegon, Michigan, and Seelze, Germany, and will produce hand sanitizer over the next two months for government agencies. The company will then distribute the product to institutions in need. Both sites are part of Honeywell’s Performance Materials and Technologies (PMT) business group.

The Muskegon plant has manufactured high-purity solvents and blends with more than 1,500 products used in high-end applications such as DNA and RNA synthesis, environmental analysis, precision cleaning, pharmaceutical testing and various other laboratory applications. The plant has begun production of hand sanitizer that it will donate to the Federal Emergency Management Agency (FEMA).

The Seelze plant has produced more than 500 products, including high-purity solutions for laboratory research and testing applications, inorganic fine chemicals for agriculture and automotive industries, electronic chemicals used in semiconductors.

The plant has also developed microchips and authentication technologies used in high security and brand protection applications, including personal protection equipment authentication. The plant has already fulfilled and delivered an emergency donation of industrial hand sanitizer to the Saxony Ministry of Health, Social Affairs and Equality.

The Seelze plant has projected to expedite production to enable Honeywell to donate additional hand sanitizer. The Saxony Ministry of Health, Social Affairs and Equality announced its intent to distribute this product to local hospitals and factories.

In addition to Honeywell’s sanitizer production, the company has continued to develop responses to combat COVID-19. Most recently, Honeywell announced manufacturing investments that will enable the production of more than 20 million N95 disposable masks monthly. The company announced its additional manufacturing capabilities in Phoenix to produce N95 face masks in support of the U.S. government’s response to COVID-19 in March 2020.

“We have moved quickly to expand our production capacity for N95 masks globally and are pleased to announce our second new U.S. manufacturing line to supply the Strategic National Stockpile,” said Darius Adamczyk, Honeywell chairman and chief executive officer.

Honeywell has projected that the new mask production line in Phoenix will create more than 500 new jobs in Arizona. The company has already begun recruiting, hiring and training manufacturing workers on the site. The announcement has brought the total number of U.S. jobs created by Honeywell’s new mask manufacturing capabilities to more than 1,000.

The N95 face masks will be delivered to the U.S. Department of Health and Human Services (HHS) to contribute to support health, safety and emergency response workers. The Phoenix facility will prioritize fulfilling the U.S. government’s procurement, but it will also have the capacity to produce face masks for U.S. states and American healthcare and emergency response organizations.

Honeywell’s production expansion will also support additional American businesses, including industrial equipment providers and raw materials suppliers. The company has collaborated with state and local officials to ramp up production efforts and support hiring and training.

“As global citizens, we are honored to be able to answer the call for help in hopes of minimizing the spread of this pandemic,” added Gautam.

About Honeywell

Honeywell is a Fortune 100 technology company that delivers industry-specific solutions that include aerospace products and services; control technologies for buildings and industry; and performance materials globally. Our technologies help aircraft, buildings, manufacturing plants, supply chains, and workers become more connected to make our world smarter, safer, and more sustainable.

Contract Awards/News
Jacobs Secures $243M Contract Extension from DOE-EM for Deactivation, Demolition, Removal Services; Karen Wiemelt, Quoted
by Sarah Sybert
Published on April 29, 2020
Jacobs Secures $243M Contract Extension from DOE-EM for Deactivation, Demolition, Removal Services; Karen Wiemelt, Quoted

Jacobs Secures $243M Contract Extension from DOE-EM for Deactivation, Demolition, Removal Services; Karen Wiemelt, Quoted

Jacobs, as part of CH2M Hill BWXT West Valley (CHBWV), a Jacobs-led joint venture, was awarded a potential 39-month, $243 million contract extension from the U.S. Department of Energy, Office of Environmental Management (DOE-EM) at the West Valley Demonstration Project, the company announced on Wednesday.

“The Jacobs team has performed impressive and impactful work at the site and around the West Valley, New York community for the past 10 years,” said Jacobs Critical Mission Solutions North American Nuclear Senior Vice President and General Manager Karen Wiemelt. “I’m confident in our ability to continue to perform and exceed expectations throughout the contract extension.”

With the extension,  the new contract value has totaled $836 million. The CHBWV team will complete the deactivation, demolition and removal of the last major facility remaining at the site, the Main Plant Processing Building (MPPB), as well as other facility disposition activities.

The CHBWV team has completed 98 percent of the deactivation work required before the MPPB can be demolished. The team also has demolished 44 of 47 site facilities to date as well as improved infrastructure to support the cleanup efforts at the site, both current and future.

In late 2018, Jacobs crews completed the demolition of the 10,000-square-foot vitrification plant and disposition of legacy waste, the largest and most complex environmental cleanup at the site. The West Valley Demonstration Project is an environmental remediation project at the site of a former commercial nuclear fuel reprocessing center located about 40 miles south of Buffalo, New York.

Since Jacobs’ control of the site to carry out the first phase of decommissioning activities that began in August 2011, the team has conducted cleanup and facility demolition activities and is actively engaged in removing radioactive waste, contaminated equipment and obsolete structures from the 200-acre site.

About Jacobs

At Jacobs, we’re challenging today to reinvent tomorrow by solving the world’s most critical problems for thriving cities, resilient environments, mission-critical outcomes, operational advancement, scientific discovery and cutting-edge manufacturing, turning abstract ideas into realities that transform the world for good.

With $13 billion in revenue and a talent force of more than 55,000, Jacobs provides a full spectrum of professional services including consulting, technical, scientific and project delivery for the government and private sector.

DoD/News/Press Releases
Mark Esper Issues Memo on Funding Shift in DoD’s Construction Budget
by Jane Edwards
Published on April 29, 2020
Mark Esper Issues Memo on Funding Shift in DoD’s Construction Budget
Mark Esper
Mark Esper

The Department of Defense plans to shift $545.5 million in military construction funds to facilitate the execution of projects scheduled for awards this year and ensure the availability of adequate funding for the Trump administration’s border wall project, Defense News reported Tuesday.

Defense Secretary and 2020 Wash100 Award recipient Mark Esper asked Elaine McCusker, DoD’s acting comptroller, to carry out the funding shift through a memo issued Monday.

According to the report, the order would allow the department to restart 22 construction projects in the U.S. that were deferred to free up funds for the border wall. The funding reshuffle would also affect $274 million worth of projects in Europe that seek to deter Russian aggression, including infrastructure for munitions storage and military aircraft as part of the European Deterrence Initiative.

About The Wash100

This year represents our sixth annual Wash100 Award selection. The Wash100 is the premier group of private and public sector leaders selected by Executive Mosaic’s organizational and editorial leadership as the most influential leaders in the GovCon sector. These leaders demonstrate skills in leadership, innovation, achievement, and vision.

Visit the Wash100 site to learn about the other 99 winners of the 2020 Wash100 Award. On the site, you can submit your 10 votes for the GovCon executives of consequence that you believe will have the most significant impact in 2020.

Executive Moves/News
Gregory Slavonic Performs Duties of Navy Undersecretary
by Jane Edwards
Published on April 29, 2020
Gregory Slavonic Performs Duties of Navy Undersecretary
Gregory Slavonic
Gregory Slavonic

Gregory Slavonic, assistant secretary of the Navy for manpower and reserve affairs, is carrying out the responsibilities and duties of the service’s undersecretary in addition to his current role, USNI News reported Tuesday.

The undersecretary role is a Senate-confirmed post vacated by Thomas Modly, who also served as acting secretary of the Navy, after he stepped down in early April.

Slavonic is a retired Navy Reserve rear admiral who assumed the role of ASN for manpower in June 2018. He previously served as chief of staff for Sen. James Lankford (R-Okla.) and held senior leadership positions in the communications sector as well as in print and broadcasting organizations.

His Navy career included time as director of public affairs program and special assistant to chief of information as well as service in combat deployments.

News/Press Releases
House Armed Services Committee Leaders Vow to Pass FY 2021 NDAA
by Jane Edwards
Published on April 29, 2020
House Armed Services Committee Leaders Vow to Pass FY 2021 NDAA

House Armed Services Committee Leaders Vow to Pass FY 2021 NDAA

House Armed Services Committee Chairman Adam Smith (D-Wash.) and Mac Thornberry (R-Texas), the House panel’s ranking member, on Tuesday pledged to pass this year the fiscal 2021 National Defense Authorization Act amid the coronavirus pandemic, The Hill reported Tuesday.

The two lawmakers said they think the COVID-19 pandemic will affect how the House panel marks up the defense policy bill and are now in discussions with the leadership of both parties to address the issue.

“At the same time, we remain committed to the principles that have guided the bill in the past — regular order through the committee, transparency and bipartisanship,” Smith and Thornberry said in a joint statement.

The two House committee leaders said they hoped to have a bill ready for consideration by Friday, May 1, so the panel can mark up the measure as soon as the lower chamber reconvenes.

Government Technology/News
NSA Issues Guidance for Deploying Commercial Telework Tools
by Brenda Marie Rivers
Published on April 28, 2020
NSA Issues Guidance for Deploying Commercial Telework Tools

NSA Issues Guidance for Deploying Commercial Telework Tools

The National Security Agency has released a guidance for government and military organizations seeking to implement commercial telework technologies amid concerns over the COVID-19 pandemic.

NSA said the document serves as a guide for best practices developed with the Department of Homeland Security to ensure that government workers continue secure operations despite having limited access to government-furnished equipment.

According to NSA’s guidance, organizations must ensure that collaborative tools have features such as end-to-end encryption, multifactor authentication and legitimate privacy policies.

The agency noted that the guide does not cover government devices “designed specifically for secure communications” and that organizations should first consider the use of such services before implementing commercial tools.

In addition, the document is “not meant to be exhaustive or based on formal testing” and serves as NSA’s response to the federal government’s demands for telework operations through personal devices. Recommendations are subject to change as collaborative technologies and cyber threats evolve, the document states.

News/Press Releases
NNSA Taps University of Illinois at Chicago to Manage Center of Excellence
by Matthew Nelson
Published on April 28, 2020
NNSA Taps University of Illinois at Chicago to Manage Center of Excellence

NNSA Taps University of Illinois at Chicago to Manage Center of Excellence

The University of Illinois at Chicago has received $8M in funds from the National Nuclear Security Administration through the Stewardship Science Academic Alliances program to manage a Center of Excellence that will focus on the properties of materials under austere conditions.

UIC will oversee the Chicago/Department of Energy Alliance Center for four years under the SSAA program, DOE said Monday.

The facility will establish interactions between academic groups and NNSA laboratory scientists and train graduate students in stewardship science. The center will also perform high pressure-temperature studies on the properties of materials.

“This work will expand the boundaries of knowledge in materials and high-pressure science, while also developing the next generation of scientists to support the stockpile stewardship mission,” said Mark Anderson, assistant deputy administrator for research, development, test and evaluation at NNSA’s Office of Defense Programs.

The SSAA initiative seeks to recruit engineers and scientists for the Nuclear Security Enterprise in a move to support NNSA’s stockpile stewardship efforts.

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