KBR Awarded Seat on U.S. Air Force's Worldwide Engineering & Construction Contract

HOUSTON, TX--(Marketwired - March 09, 2017) - KBR, Inc. (NYSE: KBR) announced today that its Government Services business, KBRwyle, has been notified it was one of eleven awardees of a multi-award task order contract by the U.S. Air Force's Civil Engineer Center for engineering and construction services in support of U.S. military operations worldwide.

Under the Worldwide Engineering & Construction (WE&C) contract, KBRwyle will have the opportunity to compete on task orders to provide a range of design, construction and engineering services for the U.S. Air Force. The contract has a five-year base period and three one-year options with a maximum ceiling value of $950 million.

"This new contract award will provide opportunity to create synergies resulting from the combination of KBR's ability to successfully execute urgent and compelling tasks in remote and austere environments around the globe and KBRwyle's long-standing service of delivering specialized solutions for U.S. government customers," said Stuart Bradie, KBR President and CEO. "Utilizing our global reach capabilities and our ability to uniquely integrate self-sustaining logistics and construction, our portfolio of capabilities has consistently delivered the right results for our U.S. government customers."

Bradie notes that for more than 50 years, KBR has designed or constructed projects across the globe for hydrocarbons and government customers and that KBRwyle has provided mission-critical support to the U.S. Air Force for over 60 years. "This contract is a great example of our ability to leverage our corporate expertise in program management with our strong customer relationships in the U.S. Government. Our ability to collaborate, and quickly allocate resources around the world demonstrates our unique value to our customers," Bradie continued.

This is an indefinite quantity/indefinite delivery (IDIQ) contract and expected revenue will be booked into backlog of unfilled orders for KBR's Government Services Business Segment as task orders are awarded throughout the contract period.

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 over 37,000 people worldwide, with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses:

• Government Services, serving government customers globally, including capabilities that cover the full life-cycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
• Technology & Consulting, including proprietary technology focused on the monetization of hydrocarbons (especially natural gas and natural gas liquids) in ethylene and petrochemicals; ammonia, nitric acid and fertilizers; oil refining; gasification; oil and gas consulting; integrity management; naval architecture and proprietary hulls; and downstream consulting
• Engineering & Construction, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU) and program management

KBR is proud to work with its customers across the globe to provide technology, value-added services, integrated EPC delivery and long term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

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Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.