For Immediate Release


Keith Rutter
Phone: 202-347-1122

Army Considers Continuing KBR Monopoly in Iraq

WASHINGTON - In a letter
sent today to Army Secretary John McHugh, the Project On Government
Oversight (POGO) urged the Army to end KBR's monopoly in Iraq and
reconsider the continued use of the LOGCAP III program.

POGO was recently informed that the Army is considering awarding KBR,
additional work in Iraq under the Logistics Civil Augmentation Program
(LOGCAP) III contract. That action would continue KBR's monopoly on
LOGCAP work in Iraq rather using the competitive procurement procedures
created under LOGCAP IV.


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"The Army has a competitive vehicle -- why not let KBR, Fluor, and
Dyncorp compete for the Iraq work and at least make an effort to get a
fair deal for taxpayers?" stated POGO's General Counsel Scott Amey.

"The Army never ceases
to amaze with its treatment of KBR as the favorite son. To further
delay the transition from the monopolistic contract to the competitive
contract for support services in Iraq defies common sense," said POGO's


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