Halliburton's KBR awarded half billion dollar repair contract for Gulf Coast Navy facilities

September 8, 2005

Halliburton Co.'s subsidiary Kellogg, Brown and Root (KBR) has been awarded a half billion dollar repair contract for U.S. Navy facilities damaged by natural disasters, including Hurricane Katrina. KBR won the competitive-bidding in July 2005.

The Bush administration has been criticized for awarding KBR a five-year, no-bid contract to restore Iraqi oil fields, shortly before the U.S. invaded Iraq in 2003. Congressional Democrats have asked Secretary of Defense Donald Rumsfeld to investigate last month's demotion of Bunnatine Greenhouse after she testified to improprieties in the no-bid procedure and other KBR improprieties. Bunnatine Greenhouse was Chief Contracting Officer of the U.S. Army Corps of Engineers since 1997.

Halliburton reported being paid $10.7 billion for Iraq-related government work during 2003 and 2004. Pentagon auditors have questioned tens of millions of dollars of Halliburton charges.