SAIC Awarded it Services Contract to Support Alyeska Pipeline Service Company

SAN DIEGO and MCLEAN, Va., May 21  /PRNewswire-FirstCall/ -- Science Applications International Corporation [NYSE: SAI] announced today that it won a recompete contract to continue to provide information technology (IT) outsourcing services to Alyeska Pipeline Service Company.  SAIC has provided these services since 2002.

The single award, five-year fixed-unit-price contract is valued at $35 million.  The contract contains two one-year options for recurring services for an estimated value of $14 million.  If all options are exercised, the total value of the contract could reach $49 million.

"Alyeska has had a productive business relationship with SAIC over the past five years.  At the termination of the original contract, SAIC participated in a recompete for Alyeska's future services contract," said Erv Barnes, chief information officer for Alyeska.  "They were challenged to provide even better service and support with cost efficiencies.  This competitive process resulted in Alyeska and SAIC entering into a new contract for the next five years."

Under the terms of the agreement, SAIC will provide IT services including local and wide area network support, security, application maintenance and enhancement, and cross functional services.  SAIC also will support approximately 1,800 desktops and approximately 100 servers and multiple storage area networks.

"SAIC is pleased to continue our long-term commitment to Alyeska to deliver high-quality IT outsourcing and technical services," said Doug Charles, SAIC senior vice president and manager of the Commercial Services Business Unit.  "We have developed a strong relationship over the last five years, and we look forward to leveraging SAIC's upstream oil and gas industry knowledge and capabilities to help drive further value to their business."

Services in Alaska will be performed in Anchorage, Fairbanks, Valdez, and along the 800 miles of the Trans-Alaskan Pipeline.

SAIC is a leading provider of scientific, engineering, systems integration and technical services and solutions to all branches of the U.S. military, agencies of the Department of Defense, the intelligence community, the U.S. Department of Homeland Security and other U.S. Government civil agencies, as well as to customers in selected commercial markets.  With more than 44,000 employees in over 150 cities worldwide, SAIC engineers and scientists solve complex technical challenges requiring innovative solutions for customers' mission-critical functions.  SAIC had annual revenues of $8.3 billion for its fiscal year ended January 31, 2007.

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Statements in this announcement other than historical data and information constitute forward-looking statements that involve risks and uncertainties.  A number of factors could cause our actual results, performance, achievements or industry results to be very different from the results, performance or achievements expressed or implied by such forward-looking statements.  Some of these factors include, but are not limited to, the risk factors set forth in SAIC's Annual Report on Form 10-K for the period ended January 31, 2007, and such other filings that SAIC makes with the SEC from time to time.  Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. 

DATASOURCE: SAIC



CONTACT:  Ron Zollars, San Diego, [phone], , or

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