April 23, 2005

VSE Corp. gets $543.8 million Navy FMS contract

VSE Corp., Alexandria, Va., is being awarded a $543,869,725 cost-plus-award-fee, indefinite-delivery/indefinite-quantity contract to provide foreign navy continuous life-cycle support services for naval vessels bought, sold or otherwise transferred through the Foreign Military Sales (FMS) program to FMS customers.

Services provided under this contract include design, configuration management, field engineering, maintenance planning, maintenance, spare parts support, training, casualty and depot level repair. The contractor provides engineering, technical, procurement, logistics, test, inspection, calibration, repair, maintenance, equipment upgrade installation, and overhaul support services including reactivation to safe-to-sail status. Work will be performed in Alexandria, Va. and in various locations throughout the world as required by FMS customers.

Work is expected to be completed by April 2010. Contract funds will not expire at the end of the current fiscal year. The contract was competitively procured and advertised on the Internet, with one proposal received. This contract supports the Government of Egypt and other countries under the Foreign Military Sales program. The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (N00024-05-D-4204).

According to a profile on hoovers.com, VSE "brings military hand-me-downs back into fashion." It provides engineering, testing, and logistics services for the U.S. Navy (about 70% of sales) and other government agencies on a contract basis. "Its BAV division (formed in cooperation Booz Allen Hamilton) helps reactivate old Navy ships and transfer them to other countries," notes Hoovers


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