Exhibit 99.1
KBR
601 Jefferson St. • Houston, Texas 77002
Phone 713.753.3011 • Fax 713.753.5353
FOR IMMEDIATE RELEASE Contact: Rob Kukla, Jr.
May 12, 2010 Director, Investor Relations
713-753-5082
Heather Browne
Director, Communications
713-753-3775
KBR receives Logcap III award fee
HOUSTON, Texas - KBR (NYSE:KBR) announced today that it received a $60 million award fee related to its LogCAP III work in Iraq, Afghanistan, and Kuwait. On May 10, 2010, KBR was notified by the U.S. Army’s LogCAP Program Award Fee Government Determining Official of the completion and final decision related to the review of award fees for Task Orders 139, 147, 151, and 159 for the period May 1, 2008 through August, 31 2009. For this period, the Award Fee Determining Official rated KBR’s performance as Good, Very Good, and Excellent on multiple award fee pools.
As of December 31, 2009, KBR had written off the full amount of $112 million in accrued award fees for the period May 1, 2008 through December 31, 2009, of which $92 million was related to the recent performance review period May 1, 2008 through August 31, 2009. The aggregate of this award will result in an increase in our after tax income by approximately $39 million, or $0.24 of earnings per diluted share. The next award fee board is tentatively scheduled for the second quarter of 2010.
KBR is a global engineering, construction and services company supporting the energy, hydrocarbon, government services, minerals, civil infrastructure, power and industrial markets. For more information, visit www.kbr.com.
####
