Parsons Continues Delivering Engineering Support for the Missile Defense Agency’s Modern, Sustainable Infrastructure Under $104 Million Contract

Rhea-AI Summary

Parsons Corporation (NYSE: PSN) has been awarded a $104 million contract by the Missile Defense Agency (MDA) to support engineering, management, and lifecycle services over a three-year period, with two optional extensions. This contract emphasizes Parsons' long-standing expertise in modernizing military infrastructure since 1975. The company will assist MDA in maintaining sustainable systems across multiple U.S. military sites, enhancing facility conditions and property management.

Positive

• Secured a $104 million contract from the Missile Defense Agency, reinforcing revenue stream.
• Contract spans three years with potential for two additional years, ensuring ongoing business.
• Parsons' extensive experience with MDA since 1975 positions it favorably for future projects.

Negative

• Dependence on government contracts could pose risks if budget priorities shift.
• Potential issues with retaining necessary security clearances for employees may arise.

CENTREVILLE, Va., Sept. 28, 2022 (GLOBE NEWSWIRE) -- The Missile Defense Agency (MDA) has selected Parsons Corporation (NYSE: PSN) to continue engineering advisory and assistance support for planning, design, and construction through a $104 million ceiling-value cost plus fixed fee (CPFF) Technical, Engineering, Advisory, and Management Support (TEAMS)- Next Facilities Lifecycle Management contract. The contract contains a three-year base period with two option period years, and one six-month option.

“For nearly a half century, Parsons has sourced and dedicated industry-leading expertise to protect our nation’s warfighters in the ever-evolving all domain battlespace,” said Kurt Tripp, Parsons’ senior vice president of integrated air and missile defense. “We are proud to continue modernizing and improving the sustainability of MDA’s infrastructure that started in 1975 with the U.S. Army Missile Command Safeguard Center.”

Under this contract, Parsons will provide advisory and assistance support to MDA’s mission of building sustainable infrastructure systems, updating aging or damaged military facilities, and managing leases under the MDA Real Property Program at U.S. military installations in Virginia, Alaska, Alabama, and California.

Parsons has a long legacy of support to the MDA, which includes system of systems engineering and integration; modeling and simulation; command, control, communications, and battle management; operations, sustainment and logistical support; and facility life-cycle management services.

To learn more about Parsons’ federal infrastructure and national security solutions, visit parsons.com/markets/federal-infrastructure/.

About Parsons:

Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and critical infrastructure markets, with capabilities across cybersecurity, missile defense, space, C5ISR, transportation, environmental remediation, and water/wastewater treatment. Please visit Parsons.com and follow us on LinkedIn and Facebook to learn how we’re making an impact.

Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Registration Statement on Form S-1 and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this presentation that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so in connection with our ongoing requirements under federal securities laws.

Media Contact:
Angie Benfield
+1 803.334.5277
Angela.Benfield@parsons.com

Investor Relations Contact:
Dave Spille
+ 1 703.775.6191
Dave.Spille@parsons.com

FAQ

What is the purpose of the new contract awarded to Parsons Corporation?

The new contract is for engineering advisory and management support for the Missile Defense Agency's infrastructure projects.

How much is the contract awarded to Parsons Corporation worth?

The contract is valued at $104 million.

What is the duration of the contract awarded to PSN?

The contract has a three-year base period and includes two option years.

Which military installations will benefit from Parsons Corporation's services?

Parsons will provide services at military installations in Virginia, Alaska, Alabama, and California.

What capabilities does Parsons Corporation offer under this contract?

Parsons will provide support in system integration, facility lifecycle management, and property management.