You can guess how this will be played.
Halliburton's Iraq Contract Split Up
By Alan Brain - Command post blog
From the Wall Street Journal via the BBC : The Pentagon plans to end a contract given to Halliburton to provide US troops in Iraq with logistical support, the Wall Street Journal reports.The army will put the work out to bid, the newspaper says, quoting an army memorandum which estimates the contract to be worth $13bn (Pds 7.3bn). […] US defence officials say the intention to break up the contract with Halliburton was not intended to penalise its Kellogg Brown & Root (KBR) unit which handles the Iraq operation, the Wall Street Journal reports. KBR provides troops in Kuwait and Iraq with housing, dining halls, transportation and laundry. Rather, the intention was to find greater efficiency by parcelling the work out to a greater number of firms. Halliburton spokeswoman Wendy Hall told the newspaper that the move was expected but that KBR would consider bidding for parts of the work. In the memo dated 25 August, the newspaper says, the army’s chief of procurement policy, Tina Balard, directed top officials to “immediately begin the transition to competitively awarded sustainment contracts for support of US military forces in Iraq”. Halliburton/KBR went in as sole supplier during the initial emergency: the situation is now ‘sustainment’ of support, where there’s no hurry, and you can afford to subcontract. |
