In a message dated 00-07-25 00:56:47 EDT, you write: << http://www.newsmakingnews.com/ DICK CHENEY'S FIRM, HALLIBURTON, OPERATES BROWN & ROOT, INC., WHICH MADE A MILLIONS FROM THE BOSNIA WAR! TOP 100 DEFENSE CONTRACTORS: NO. 10 - Brown & Root Inc. P.O. Box 3 Houston, Texas 77001 http://www.halliburton.com/ $582,314,000 http://206.144.247.87/archive/98-06-24/top100/10.html Defense cuts can be good for Brown & Root Inc., a company that has grown to 40,000 employees by expanding its work from energy-related services into government outsourcing. An example of the latter is the company's lucrative, multiyear, logistics support effort for U.S. troops in Bosnia. This effort covers a wide array of services, including the transport of fuel and food, and construction of housing. In Bosnia, the company does "almost everything that the [military] does not want to do ... allowing them to focus on their military mission," said Chuck Fiala, vice president and director of operations for Brown & Root Services Corp. in Houston. In 1996, the Bosnia operation contributed roughly $400 million to Brown & Root's revenues, which totaled $3.1 billion in 1995. The logistics support contract from the Department of Defense catapulted Brown & Root to the No. 10 slot on Washington Technology's Top 100 list. However, U.S. forces are slated to withdraw from Bosnia in the summer of 1998, putting an end to the firm's lucrative operation there. With the growing number of commercial and federal infotech outsourcing opportunities, Brown & Root executives are now trying to decide whether to pursue more of these contracts, said Fiala. "[We] have to decide which strategy [offers] the best financial return," he said. Of the company's total revenues, $582 million was earned performing outsourcing work for the U.S. government. Brown & Root Services Corp. is one of two major components of Brown & Root Inc., a subsidiary of Halliburton Co. of Dallas. The latter earned 80 percent of its $5.7 billion revenue in 1995 by selling high-technology services and products to the oil and gas industries. Halliburton's president and CEO is Dick Cheney, who served as defense secretary under President George Bush. Cheney joined the company in October 1995. Halliburton's 1995 revenues show a decline from 1993's $6.01 billion, partly because the company sold its insurance unit. The other component of Brown & Root Inc. is Brown & Root Engineering and Construction, also based in Houston. The fastest-growing portion of Brown & Root Inc. is Brown & Root Services Corp., which is run by Randy Harl. The unit's revenue passed $1 billion in 1995, up from $200 million in 1986, largely because of federal contracts. Despite the company's gains in the federal marketplace, Brown & Root Inc.'s overall revenue has remained flat since 1993's total of $3.14 billion. Revenue in 1994 was $2.99 billion. But new opportunities for the company may arise as U.S. defense officials try to save money by outsourcing support activities, including the operation and maintenance of computer systems. Already, U.S. Navy officials have outlined plans to replace 80,000 Navy employees with contract workers, which would be supplied by outsourcing companies such as Brown & Root. Navy officials have tagged Navy bases at El Centro in California and in Pensacola, Fla., as likely candidates for outsourcing. Government and industry officials say the industry could take over many of these operations and cut costs by 10 percent to 30 percent. However, the outsourcing plan will likely run into stiff opposition from local senators, representatives and community groups. This opposition, driven by fear that local jobs will be lost, has stymied many previous Pentagon efforts to outsource work at many military bases. If the Navy's outsourcing plan goes ahead, contractors may be asked to take over the operations of entire facilities, including operating computer systems, communications networks and training devices, as well as providing food, light and heat, said Fiala. To win an infotech-intensive outsourcing contract, Fiala said, Brown & Root may team with such companies as Computer Sciences Corp. in El Segundo, Calif., or Litton-PRC in McLean, Va. "You either get them on your team, or use them as subcontractors," he said. Currently, Brown & Root operates high-tech facilities for NASA, the Department of Energy and the Defense Department. For NASA, Brown & Root holds a contract for launch operation services at Cape Canaveral, Fla., under which the company schedules, maintains and operates the facility that is used to perform final checks on space satellites before they are mounted on rockets for launch into space. This contract is worth $10 million per year. Another NASA contract has the company operating and maintaining Johnson Space Center facilities in Houston from which NASA monitors and controls its numerous satellites. This contract is worth $40 million per year. BROWN & ROOT INC. REVENUES AND NET EARNINGS 1996 Revenues ........ $5.7 billion Net earnings ..... $168 million 1995 Revenues ......... $5.5 billion Net earnings ... $178 million 1994 Revenues ........ $6.1 billion Net earnings ... $161 million* * indicates a loss Source: Halliburton Co. The company also holds a number of state contracts, including a contract to help the city of Houston manage its $1.2 billion waste-water program. Under that contract, Brown & Root has integrated aerial photographs with a digital map of a 500-square-mile area and a database of 400 construction projects operated by 14 city agencies. The system has helped identify 1,438 potential scheduling and regulatory conflicts, helping agencies avoid digging up city streets more than once - as happened in the late 1980s when one of the city's main avenues was renovated and later dug up at the taxpayer's expense. Outside the government sector, Brown & Root is trying to lift its sights beyond project management, technology and logistics. Executives are trying to work with energy- related customers to help craft their corporate planning and strategy. To aid this effort, Brown & Root has established alliances with energy companies working off Scotland, Australia and Qatar in the Middle East. Roughly 44 percent of Brown & Root's revenue comes from overseas, mostly from energy-related contracts, but some come from outsourcing deals. The company operates much of the U.S. Air Force's base in Incirlik, Turkey, and also provides support services to 10 boroughs of London. - Neil Munro © 1998 ------------------------------------------------------------------------ Free Worldwide Calling with Firetalk! Click Here: <A HREF="http://click.egroups.com/1/5481/12/_/815724/_/964500932/">Click Here!</A> ------------------------------------------------------------------------ SURFING THE APOCALYPSE http://www.surfingtheapocalypse.com >> _________ EcoNews Service - Alternative News: Ecology, Consciousness & Universe Politics mailto:[EMAIL PROTECTED] USA http://www.ecologynews.com/index2.html CZECH http://mujweb.cz/www/ecologynews/ UK http://members.tripod.co.uk/ecologynews/ Canada http://www.ecologynews.com/index2.html <A HREF="http://www.ctrl.org/">www.ctrl.org</A> DECLARATION & DISCLAIMER ========== CTRL is a discussion & informational exchange list. Proselytizing propagandic screeds are unwelcomed. 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