Fluor Pockets $1.16B Contract Extension For Navy Nuclear Propulsion Work

Fluor Corp FLR stated that the subsidiary Fluor Marine Propulsion, LLC's Department of the Navy contract has been extended through the fiscal year 2022. The one-year, cost-plus-fixed-fee option is valued at $1.16 billion.
The contract is part of a joint program, Naval Reactors, overseen by the Department of Energy's National Nuclear Security Administration and the Department of the Navy.
Fluor won the initial base Navy contract in a joint Department of Energy and Department of Navy competition in July 2018. The two contracts have an original potential value of $30 billion over 10 years if all options are exercised.
The contract includes Naval Nuclear Propulsion work at the Navy Nuclear Laboratory (NNL) sites in New York, Pennsylvania, and Idaho.
Price Action: FLR shares closed higher by 3.09% at $20.04 on Monday.

Overview Rating:

Speculative

100

0100