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By: Wayne Heilman, The Gazette, March 17, 2017-Vectrus Inc. announced Friday it kept a key contract for work at Maxwell-Gunter Air Force Base in Alabama and won a one-year extension of its largest contract, which was set to expire March 28, with options to add up to another year.
The Colorado Springs-based defense contractor said the federal government "published a Notice of Intent" to award a modification to the Kuwait Base Operation and Security Support Services contract, know as K-BOSSS, to extend the agreement until March 28, 2018, with two options for up to another year of work.
Vectrus said the extension has not been negotiated and finalized, but would allow Vectrus continue providing forms, publications, reproductive services, Army postal operations, general operations, logistics, information management, public works, environmental services, medical administration support, installation, fire and emergency services.
The Kuwait contract generated 37 percent of the company's revenue last year, or $438 million. Vectrus said earlier this month it expected the agreement to be extended "well into the third quarter" and included revenue from the work in its revenue and profit forecast for this year.
Vectrus announced March 8 that the Department of Defense had canceled bidding on the K-BOSSS contract, citing "substantial" changes in mission requirements that will require a new bidding process. The Army had started seeking new bids after Vectrus protested the Sept. 30 award of the contract to KBR-Triple Canopy.
The company also announced Friday it received a $37.3 million, one-year contract to provide operations support at Maxwell-Gunter Air Force Base in Alabama. The contract has options to extend the work for another six years. Vectrus has held the contract since 2009 and had won a three-month extension in November.