Parsons Wins Seat on $245M U.S. Army Corps of Engineers Contract for Environmental Remediation

Rhea-AI Summary

Parsons Corporation (PSN) secures a $245 million contract from the US Army Corps of Engineers for environmental remediation projects funded by the Infrastructure Investment and Jobs Act. The five-year contract aims to address hazardous waste cleanup and protect public health, showcasing Parsons' expertise in environmental solutions.

Financial Analyst

Parsons Corporation's acquisition of a seat on the $245 million USACE contract could potentially enhance their revenue streams and diversify their business portfolio. Considering the five-year duration, this contract provides a stable, long-term revenue source. The funding from the Infrastructure Investment and Jobs Act indicates a governmental commitment to infrastructure and environmental projects, which could lead to further opportunities for Parsons. Investors should monitor the company's ability to secure task orders under this contract, as it will directly influence the financial impact of the deal. The emphasis on serving marginalized communities could also align with growing investor interest in companies with strong Environmental, Social and Governance (ESG) profiles.

Environmental Policy Expert

The involvement of Parsons in HTRW remediation projects under the USACE contract aligns with a broader federal push towards infrastructure and environmental cleanup, particularly as funded by the Infrastructure Investment and Jobs Act. The focus on minority, low-income, tribal and other vulnerable communities indicates a policy shift towards environmental justice. This can potentially lead to increased regulatory support for companies like Parsons that are involved in these initiatives. The long-term benefits include not only environmental improvements but also potential boosts in public health outcomes, which could be a point of interest for stakeholders concerned with sustainable development and ethical investments.

Market Research Analyst

Parsons Corporation's readiness to compete for task orders in environmental remediation is indicative of the company's strategic positioning within the market. The environmental sector is seeing a rise in demand, driven by federal investments and growing public awareness of environmental issues. The company's history of partnering with USACE and their claim of a 'full spectrum of environmental solutions' suggests a competitive edge in securing future contracts. However, it is essential to evaluate how Parsons' capabilities compare to other market players also vying for these task orders. Success in these competitive bids could enhance their market share and solidify their reputation as a leader in the environmental remediation industry.

CHANTILLY, Va., Feb. 26, 2024 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) announced today that the company was awarded a seat on a $245 million indefinite-delivery, indefinite-quantity multiple award task order contract by the United States Army Corps of Engineers (USACE) Kansas City District. The contract for environmental remediation activities has a five-year basic ordering period and represents new work for the company. The contract will consist of projects funded by the Infrastructure Investment and Jobs Act related to the United States Environmental Protection Agency (USEPA) cleanup projects that protect public health and safety.

Under this contract, Parsons will compete for task orders to advance work assigned to USACE Northwestern Division and USEPA Region 2 for hazardous, toxic, and radioactive waste (HTRW) remediation projects for both civilian and military agencies of the federal government.

“Parsons delivers the full spectrum of environmental solutions using the latest technologies to deliver a cleaner, safer planet for our customers and future generations,” said Jon Moretta, president, Engineered Systems for Parsons. “With our proven expertise and broad range of capabilities, we stand ready to support USACE and USEPA remediation actions to safeguard public health and protect the environment in minority, low-income, tribal, and other vulnerable and marginalized communities.”

Parsons has partnered with USACE for decades, leveraging the company’s expertise and providing technology-driven solutions to meet environmental remediation, critical infrastructure protection, complex infrastructure, engineering and planning, and program and construction management needs. The company is a leader in environmental remediation efforts with capabilities to meet challenges for air, land, and water.

To learn more about Parsons’ environmental solutions, visit Parsons.com/environmental.

About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and intelligence, space and missile defense, transportation, environmental remediation, urban development, and critical infrastructure protection. Please visit parsons.com and follow us on LinkedIn and Facebook to learn how we're making an impact.

Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Registration Statement on Form S-1 and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this presentation that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so in connection with our ongoing requirements under federal securities laws.

Media Contact:
Jonathan Larry
+1 706.832.7330
jonathan.larry@parsons.com

Investor Relations Contact:
Dave Spille
+1 703.775.6191
Dave.Spille@parsons.com

What contract did Parsons Corporation (PSN) secure recently?

Parsons Corporation (PSN) secured a $245 million indefinite-delivery, indefinite-quantity multiple award task order contract from the United States Army Corps of Engineers (USACE) Kansas City District for environmental remediation activities.

What is the duration of the contract awarded to Parsons Corporation (PSN)?

The contract awarded to Parsons Corporation (PSN) has a five-year basic ordering period.

What type of projects will Parsons Corporation (PSN) be working on under this contract?

Parsons Corporation (PSN) will be working on hazardous, toxic, and radioactive waste (HTRW) remediation projects for both civilian and military agencies of the federal government.

How does Parsons Corporation (PSN) aim to contribute to environmental remediation efforts?

Parsons Corporation (PSN) aims to deliver environmental solutions using the latest technologies to ensure a cleaner and safer planet for customers and future generations.