Cubic Defense Contract Is Potentially Worth $500 MillionThursday, July 24, 2014
The Pentagon said on July 23 that the Defense Threat Reduction Agency awarded Cubic Corp. a contract that could be worth up to $500 million over 10 years. The indefinite delivery, indefinite quantity contract calls for Cubic (NYSE: CUB) to provide services to the agency, which works to counter weapons of mass destruction — including chemical, biological, radiological, nuclear and high-yield explosives. Cubic will now wait for task orders under the contract.
In unrelated news, Cubic said on July 24 that it received a $4.1 million task order from the U.S. Army. Under the deal, Cubic will equip Army vehicles with laser-based training gear for use in war games. Cubic said that it has been awarded almost $65 million under the indefinite delivery, indefinite quantity Army contract that it received in 2010.