U.S. Customs and Border Protection Awards Leidos Over $200 Million to Provide Screening Portals to Protect U.S. Borders

Rhea-AI Summary

Leidos (NYSE:LDOS) has secured a prime contract with U.S. Customs and Border Protection (CBP) for Low-Energy Portal systems, aimed at enhancing non-intrusive vehicle inspections at U.S.-Mexico border crossings. The contract has a ceiling value of $390 million, with an initial order worth $107 million. This project complements the previously awarded Multi-Energy Portal program, valued at $480 million, further expanding CBP's capabilities in securing borders against smuggling and illegal activities.

Positive

• Awarded a prime contract with a ceiling value of $390 million from CBP.
• Initial delivery order valued at $107 million received.
• Enhances capabilities to detect and prevent illegal activities at borders.

Negative

• None.

RESTON, Va., Sept. 30, 2021 /PRNewswire/ -- Leidos (NYSE:LDOS), a FORTUNE^® 500 science and technology leader, was awarded a new prime contract by U.S. Customs and Border Protection (CBP) to provide Low-Energy Portal (LEP) systems for non-intrusive inspection (NII) of passenger vehicles at U.S.-Mexico land border crossings. The multiple-award LEP indefinite delivery/indefinite quantity contract has a total ceiling value of $390 million. Under this award, Leidos has received an initial delivery order with a value of $107 million, including options. The LEP systems will be integrated in Vista, California, and deployed to existing vehicle inspection sites across the U.S. southern border with Mexico.

The LEP contract is a companion to the Multi-Energy Portal (MEP) program awarded to Leidos in April 2021.  CBP also recently awarded Leidos a second delivery order with a value of $95 million, including options, under this existing MEP multiple-award indefinite delivery/indefinite contract. It has a total ceiling value of $480 million.

"We are excited to provide the latest, non-intrusive scanning technology to support CBP's essential mission," said Jim Moos, Leidos Civil Group president. "Safeguarding our nations' ports and borders is a critical priority, and we're proud to support CBP Field Operations as they expand their capabilities and secure the southwest border."

CBP's core mission includes facilitating legitimate international trade by inspecting cars, trucks, railcars and sea containers, along with personal luggage, packages, parcels and flat mail. This work is performed utilizing NII systems. These screenings help CBP efficiently detect and prevent inadmissible persons, contraband, illicit narcotics, unreported currency, guns, ammunition and other illegal merchandise from being smuggled into the country.

Under these contracts, Leidos will integrate, deploy and train CBP staff to use its VACIS^® LEP and MEP systems. The systems incorporate Viken Detection's OSPREY™ scanning technology. Leidos' systems offer the latest in material discrimination capability and image resolution providing enhanced ability to interdict terrorism, human trafficking and imported contraband. 

VACIS^® is one of several Leidos Security Detection & Automation solutions for aviation, ports, borders and critical infrastructure. Learn more about the company's 24,000 security detection and automation products deployed in 120 countries, at www.leidos.com.

About Leidos
Leidos is a Fortune 500® technology, engineering, and science solutions and services leader working to solve the world's toughest challenges in the defense, intelligence, homeland security, civil, and health markets. The company's 43,000 employees support vital missions for government and commercial customers. Headquartered in Reston, Va., Leidos reported annual revenues of approximately $12.30 billion for the fiscal year ended January 1, 2021. For more information, visit www.Leidos.com.

Statements in this announcement, other than historical data and information, constitute forward-looking statements that involve risks and uncertainties. A number of factors could cause our actual results, performance, achievements, or industry results to be very different from the results, performance, or achievements expressed or implied by such forward-looking statements. Some of these factors include, but are not limited to, the risk factors set forth in the company's Annual Report on Form 10-K for the period ended January 1, 2021, and other such filings that Leidos makes with the SEC from time to time. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.

Contact:
Melissa Dueñas
(571) 526-6850
Melissa.L.Duenas@leidos.com 

Thomas Doheny
(571) 474-4735
Dohenyt@leidos.com

Alyssa Pettus
(571) 992-5499
Alyssa.T.Pettus@leidos.com 

 

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SOURCE Leidos Holdings, Inc.

FAQ

What contract did Leidos (LDOS) receive from U.S. Customs and Border Protection?

Leidos was awarded a prime contract for Low-Energy Portal systems valued at $390 million.

What is the initial value of the contract awarded to Leidos (LDOS) for border security?

The initial delivery order is worth $107 million.

How does the new contract impact Leidos (LDOS) operations?

It allows Leidos to integrate and deploy new scanning technology for non-intrusive inspections at border crossings.

What is the significance of the Low-Energy Portal systems for Leidos (LDOS)?

These systems enhance CBP's capabilities to prevent illegal smuggling and improve security at the U.S.-Mexico border.