Lumen wins spots on two Veterans Affairs network services contracts

Rhea-AI Summary

Lumen (NYSE: LUMN) has secured positions as an authorized service provider on two significant contracts with the U.S. Department of Veterans Affairs (VA). The company will provide essential communications services under a $721 million contract for local exchange carrier services and a $195 million contract for data and wide area network services. Both contracts support IT modernization for the VA, enhancing services for veterans over the next 12 to 15 years.

Positive

• Secured $721 million contract for local exchange carrier services over 15 years.
• Awarded $195 million contract for data and wide area network services over 12 years.
• Strengthens position in the federal government market as ranked No. 29 on Washington Technology's Top 100 list.

Negative

• None.

DENVER, Nov. 10, 2020 /PRNewswire/ -- Lumen (NYSE: LUMN) announced that it recently won a place as an authorized service provider on the U.S. Department of Veterans Affairs' $721 million National Local Exchange Carrier Next Generation contract vehicle. The company also won a spot on VA's $195 million Data and Wide Area Network Carrier contract vehicle.

Lumen's amazing platform for data and applications is positioned to help the VA achieve its IT modernization goals.

"Veterans Affairs awarded Lumen coveted spots on two next-generation network services contract vehicles that will help the agency carry out its mission to provide Veterans with the world-class benefits and services they've earned," said David Young, Lumen senior vice president for the public sector and the company's global hyperscaler business. "As we honor Veterans for their service, Lumen's amazing platform for data and applications is ideally positioned to help government agencies like the VA achieve their IT modernization goals."

As an authorized service provider on VA's National Local Exchange Carrier Next Generation  services contract, Lumen—which is currently doing business as CenturyLink in the federal government market—can bid on task orders for a variety of voice, video and data network services that support essential communications at VA medical centers and clinics. This is a multiple-award, indefinite-delivery, indefinite-quantity (IDIQ) contract with a $721 million ceiling for all task orders over a 15-year period.

In addition, Lumen was one of two vendors awarded a spot on VA's Data and Wide Area Network services contract for modernizing the entire agency's IT infrastructure and moving toward secure managed network and ethernet services. This contract has a potential value of $195 million for service orders placed over a 12-year period and was awarded under the General Services Administration's 15-year, $50 billion Enterprise Infrastructure Solutions (EIS) program.

Lumen was the first supplier to receive authority to operate under GSA's EIS contract last year. EIS is a multiple-award contract vehicle for federal government agencies to purchase information technology and telecommunications infrastructure services. It gives federal agencies the flexibility and agility to migrate to modern communications and IT services that meet strict government security standards.

By supplying cloud connectivity, collaboration, cybersecurity and managed IT services over its carrier-class fiber network, Lumen provides government agencies with the security and reliability they need to carry out their important missions.

Lumen is ranked No. 29 on Washington Technology's 2020 Top 100 list of federal government IT contractors.

Additional resources

• Learn more about CenturyLink's transformation to Lumen here:
  https://news.lumen.com/2020-09-14-CenturyLink-Transforms-Rebrands-as-Lumen-R
• Learn more about Lumen's public sector business here: 
  https://www.lumen.com/public-sector.html

About Lumen

Lumen is guided by our belief that humanity is at its best when technology advances the way we live and work. With approximately 450,000 route fiber miles and serving customers in more than 60 countries, we deliver the fastest, most secure platform for applications and data to help businesses, government and communities deliver amazing experiences.

Learn more about the Lumen network, edge cloud, security, communication and collaboration solutions and our purpose to further human progress through technology at news.lumen.com, LinkedIn: /lumentechnologies, Twitter: @lumentechco, Facebook: /lumentechnologies, Instagram: @lumentechnologies and YouTube: /lumentechnologies.

Lumen and Lumen Technologies are registered trademarks of Lumen Technologies, LLC in the United States. Lumen Technologies, LLC is a wholly owned affiliate of CenturyLink, Inc. 

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SOURCE Lumen Technologies

FAQ

What are the details of the $721 million contract LUMN won with the VA?

Lumen secured a $721 million contract for local exchange carrier services with the VA, allowing them to bid on essential communications task orders over 15 years.

What is the $195 million contract awarded to LUMN by the VA?

The $195 million contract awarded to Lumen is for data and wide area network services aimed at modernizing the VA's IT infrastructure over a 12-year period.

How does LUMN's new contract impact its stock performance?

Winning these contracts could positively impact Lumen's stock performance by enhancing revenue streams and strengthening its position in government services.

How long are the contracts LUMN secured with the VA?

The local exchange carrier services contract lasts for 15 years, while the data and wide area network services contract spans 12 years.

What does LUMN provide under the VA contracts?

Lumen will provide voice, video, and data network services under the contracts to support essential communications at VA medical centers and clinics.