PAE Awarded $74.2M Base Operating Support Services Contract by NAVFAC Far East for Services at Marine Corps Air Station Iwakuni, Japan

Rhea-AI Summary

PAE (NASDAQ: PAE, PAEWW) announced a significant contract award from Naval Facilities Engineering Systems Command Far East for base operating support services at Marine Corps Air Station Iwakuni, Japan. Valued at up to ¥8.18 billion (approximately $74.2 million), the contract includes a 12-month base period with potential extensions to June 2026. PAE aims to leverage its expertise and established presence in Japan to support Marine Corps missions effectively. This award aligns with PAE's strategy to enhance service delivery in the Asia Pacific region.

Positive

• Awarded a contract valued at up to ¥8.18 billion (~$74.2 million) for base support services.
• Potential contract extension until June 2026, offering long-term revenue opportunities.
• Strengthens PAE's established presence and expertise in Japan.

Negative

• None.

FALLS CHURCH, Va., July 22, 2021 (GLOBE NEWSWIRE) -- PAE (NASDAQ: PAE, PAEWW), a global leader merging technology with advanced business practices, delivering innovative and efficient managed solutions to the U.S. government and its allies, was awarded an indefinite delivery, indefinite quantity contract by Naval Facilities Engineering Systems Command Far East for base operating support services at Marine Corps Air Station Iwakuni, Japan. The single-award contract is currently valued at up to ¥8.18 billion (approximately $74.2 million) if all options are exercised. 

PAE Interim President and CEO Charlie Peiffer said PAE has a respected history supporting U.S. projects in Japan, and this award builds on the company’s strategy to expand delivery of innovative solutions in the Asia Pacific Region.

“We’re excited for this opportunity to continue supporting the critical missions of the Marine Corps at Iwakuni,” Peiffer said. “Our specialized expertise and established presence in Japan are ideal for us to deliver the most effective solutions on this contract.”

This is a new contract that has a 12-month base period that may be extended to June 2026 through four one-year options with an additional 60-day demobilization period. On the contract, PAE will provide maintenance and repair of facilities, including family housing, custodial services, grounds maintenance, wastewater operations and maintenance and environmental services.

About PAE

For more than 65 years, PAE has tackled the world’s toughest challenges to deliver agile and steadfast solutions to the U.S. government and its allies. With a global workforce of about 20,000 on all seven continents and in approximately 60 countries, PAE delivers a broad range of operational support services to meet the critical needs of our clients. Our headquarters is in Falls Church, Virginia. Find us online at pae.com, on Facebook, Twitter and LinkedIn.

Forward-Looking Statements

This press release may contain a number of “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about PAE’s possible or assumed future results of operations, financial results, backlog, estimation of resources for contracts, strategy for and management of growth, needs for additional capital, risks related to U.S. government contracting generally, including congressional approval of appropriations, bid protests, ad risks related to IDIQ contracts, and risks related to operating internationally. These forward-looking statements are based on PAE’s management’s current expectations, estimates, projections and beliefs, as well as a number of assumptions concerning future events.

These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside PAE’s management’s control, that could cause actual results to differ materially from the results discussed in the forward-looking statements.

Forward-looking statements included in this release speak only as of the date of this release. PAE does not undertake any obligation to update its forward-looking statements to reflect events or circumstances after the date of this release except as may be required by the federal securities laws.

For media inquiries regarding PAE, contact:
Terrence Nowlin
Senior Communications Manager
PAE
703-656-7423
terrence.nowlin@pae.com

For investor inquiries regarding PAE, contact:
Mark Zindler
Vice President, Investor Relations
PAE
703-717-6017
mark.zindler@pae.com

FAQ

What is the value of the new contract awarded to PAE?

The new contract awarded to PAE is valued at up to ¥8.18 billion, approximately $74.2 million.

How long is the contract period for PAE's new award?

The contract has a 12-month base period, which may be extended to June 2026.

What services will PAE provide under the new contract?

PAE will provide maintenance and repair of facilities, custodial services, and wastewater operations, among others.

What is PAE's strategy in the Asia Pacific region?

PAE aims to expand its delivery of innovative solutions in the Asia Pacific region.

When was the contract awarded to PAE?

The contract was announced on July 22, 2021.