KBR, Inc.
Type	Public
Founded	1998
Headquarters	Houston, Texas
Key people	Bill Utt Jerry L. A public company usually refers to a company that is permitted to offer its registered securities ( Stock, bonds, etc Winchester
Industry	Engineering Construction Private military contractor
Website	http://www.kbr.com/

KBR, Inc. For other uses of this term see Industry (disambiguation An industry (from Latin industrius, "diligent industrious" Engineering is the Discipline and Profession of applying technical and scientific Knowledge and In the fields of Architecture and Civil engineering, construction is a process that consists of the Building or assembling of Infrastructure A private military company ( PMC) provides specialized expertise or services of a military nature sometimes called or classified as Mercenary ("soldiers for hire" A website (alternatively web site or Web site, a back-construction from the Proper noun World Wide Web) is a collection of Web pages (formerly Kellogg Brown & Root) NYSE: KBR is an American engineering and construction company, formerly a subsidiary of Halliburton, based in Houston. The New York Stock Exchange ( NYSE) is a Stock exchange based in New York City. The United States of America —commonly referred to as the Halliburton Energy Services ( is a US -based Multinational corporation with operations in more than 70 countries After Halliburton acquired Dresser Industries in 1998, Dresser's engineering subsidiary, The M. Dresser Industries was a Multinational corporation headquartered in Dallas, Texas, which provided a wide range of technology products and services used W. Kellogg Co. , was merged with Halliburton's construction subsidiary, Brown & Root, to form Kellogg Brown & Root. KBR and its predecessors have won many contracts with the U.S. military during the 2003 invasion of Iraq, as well as during World War II and the Vietnam War. The United States Armed Forces are the overall unified military forces of the United States The 2003 invasion of Iraq, from March 20 to May 1 2003 was spearheaded by the United States, backed by British forces and smaller contingents from Australia World War II, or the Second World War, (often abbreviated WWII) was a global military conflict which involved a majority of the world's nations, including The Vietnam War, also known as the Second Indochina War, or the Vietnam Conflict, occurred in Vietnam, Laos and Cambodia

KBR is the largest ^[1] non-union construction company in the United States. In terms of United States labor relations an open shop is a place of employment at which one is not required to join or financially support a labor union

On April 15, 2006, Halliburton filed a registration statement with the United States Securities and Exchange Commission to sell up to 20 percent of its KBR stock on the New York Stock Exchange (NYSE). Events 1450 - Battle of Formigny: Toward the end of the Hundred Years' War, the French attack and nearly annihilate English Year 2006 ( MMVI) was a Common year starting on Sunday of the Gregorian calendar. The US Securities and Exchange Commission (commonly known as the SEC) is an independent agency of the United States government which holds primary responsibility The New York Stock Exchange ( NYSE) is a Stock exchange based in New York City. On November 16, 2006, KBR shares were offered for the public in an Initial Public Offering with shares priced at $17. Events 534 - A second and final revision of the Codex Justinianus is published Year 2006 ( MMVI) was a Common year starting on Sunday of the Gregorian calendar. Initial public offering (IPO, also referred to simply as a "public offering" is when a company issues Common stock or shares to the public for the first The shares closed on the first day up more than 22 percent to $20. 75 a share. ^[2] Halliburton announced on April 5, 2007 that it had finally broken ties with KBR, which has been its contracting, engineering and construction unit as a part of the company for 44 years. Events 456 - St Patrick returns to Ireland as a missionary bishop Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. ^[3]

Contents 1 History 1.1 M.W. Kellogg 1.2 Brown & Root 2 Kosovo 3 Activities in Afghanistan 4 Activities in Iraq 4.1 Employee safety 5 Political connections and controversy 5.1 Shell companies in Cayman Islands 6 Legacy in Houston 7 References 8 External links

History

M. W. Kellogg

In 1901 Morris Kellogg founded The M. W. Kellogg Company in New York City. The City of New York The company was incorporated in 1905 and its headquarters was moved to Jersey City, New Jersey. Jersey City is a city in Hudson County, New Jersey, United States. Initially Kellogg’s main business was power plant construction and fabrication of power plant components, but the development of hammer forge welding techniques helped ready the company to move into refining as the petroleum industry developed. Forge welding is a Welding process of heating two or more pieces of Metal and then hammering them together

Kellogg’s entry into process engineering initially focused on the Fleming cracking process, but in the 1920s Kellogg partnered with The Texas Company (Texaco) and Standard Oil of Indiana to purchase the Cross thermal cracking process. Texaco is the name of an American oil retail brand Its flagship product is its fuel "Texaco with Techron" The American Oil Company, or Amoco, also known as Standard Oil of Indiana, was a global Chemical and oil company founded in Baltimore in In Petroleum geology and Chemistry, cracking is the process whereby complex organic Molecules such as Kerogens or heavy Hydrocarbons Kellogg set up one of the first petroleum laboratories in the country in 1926 to commercialize and then license the technology. This led to Kellogg building some 130 units in the US and abroad.

In the 1930s and '40s Kellogg worked with leading refiners on various technologies. For the war effort, these developments led to the construction of six hydroreformer units twenty fluid catalytic cracking units and the only complete refinery built during World War II. Fluid catalytic cracking (FCC is the most important conversion process used in petroleum refineries. A refinery is composed of a group of Chemical engineering unit processes and Unit operations used for Refining certain materials or converting Even bigger than the refining work was the gaseous diffusion plant at Oak Ridge, Tennessee built as part of the Manhattan project. Gaseous diffusion is a technology used to produce Enriched uranium by forcing gaseous Uranium hexafluoride, UF6 through semi-permeable membranes Oak Ridge is an incorporated City in Anderson and Roane Counties in East Tennessee, USA, about 25 miles northwest of The World War II Manhattan Project developed the first Nuclear weapon (atomic bomb This period also included the development of the Benedict-Webb-Rubin (BWR) equation of state which has since become an industry mainstay and provided the basis for Kellogg’s lead in cryogenics. The Benedict-Webb-Rubin equation ( BWR) is an Equation of state used in Fluid dynamics. Cryogenics is often used incorrectly to refer to Cryonics, cryopreserving humans or animals

The 1950s Kellogg technology expanded into steam pyrolysis, Orthoflow fluid catalytic cracking, phenol-from-cumene and coal-to-synthetic fuels technologies and the '60s saw the growth in helium recovery, ethylene and the development of Kellogg’s ammonia process. Pyrolysis is the Chemical decomposition of organic materials by heating in the absence of Oxygen or any other reagents except possibly Steam Fluid catalytic cracking (FCC is the most important conversion process used in petroleum refineries. Phenol, is a toxic colourless Crystalline Solid with a sweet tarry odor commonly referred to as a "hospital smell" Cumene is the common name for isopropylbenzene, an Organic compound that is an Aromatic Hydrocarbon. Helium ( He) is a colorless odorless tasteless non-toxic Inert Monatomic Chemical Structure This Hydrocarbon has four Hydrogen Atoms bound to a pair of Carbon atoms that are connected by a Double bond. Ammonia is a compound with the formula N[[hydrogen H3]] It is normally encountered as a Gas with a characteristic pungent Odor

In 1970 Kellogg moved from New York City to Houston, Texas and in 1975, they completed the move by relocating the research and development lab as well. The City of New York The '70s saw Kellogg become the first American contractor to receive contracts from the People’s Republic of China. Talk People's Republic of China) PEOPLE'S REPUBLIC OF CHINA ARTICLE GUIDELINES Kellogg’s international work expanded with the major ammonia complexes in China, Indonesia and Mexico as well as LNG liquefaction plant in Algeria and 2 receiving terminals in the U.S., the world’s largest LPG plant in Kuwait and four fluid catalytic cracking units in Mexico. China ( Wade-Giles ( Mandarin) Chung¹kuo² is a cultural region, an ancient Civilization, and depending on perspective a National The Republic of Indonesia ( (Republik Indonesia is a Country in Southeast Asia. The United Mexican States ( or commonly Mexico (ˈmɛksɪkoʊ () is a federal constitutional Republic in North America. Not to be confused with Natural Gas Liquids (NGL Liquefied natural gas or LNG is Natural gas (primarily Methane, CH4 Algeria ( ar [[Arabic]] الجزائر, Al Jaza'ir ælʤæˈzæːʔir Amazigh: ⴷⵥⴰⵢⴻⵔ Dzayer) officially the People's The United States of America —commonly referred to as the The State of Kuwait ( دولة الكويت IPA [dawlatt̪ alkuwajt̪]) is a sovereign Arab Emirate on the coast of the Persian Gulf, enclosed Fluid catalytic cracking (FCC is the most important conversion process used in petroleum refineries. The '80s saw continuation of global activity in LNG and ethylene with millisecond furnaces starting up in the U.S.

Brown & Root

Brown & Root and Habakkuk & Augustine & Edward Fomabah was founded in Texas in 1919 by two brothers, George R. Not to be confused with Natural Gas Liquids (NGL Liquefied natural gas or LNG is Natural gas (primarily Methane, CH4 Structure This Hydrocarbon has four Hydrogen Atoms bound to a pair of Carbon atoms that are connected by a Double bond. The United States of America —commonly referred to as the Texas ( is a state geographically located in the South Central United States and is also known as the Lone Star State. Brown and Herman Brown with money from their brother-in-law, Dan Root. The company began its operations by supervising the building of warships for the United States Navy.

One of its first large-scale projects, according to the book Cadillac Desert, was to build a dam on the Texas Colorado River near Austin during the Depression years. For the documentary see Cadillac Desert (film (1997 Cadillac Desert by Marc Reisner is a 1986 Texas ( is a state geographically located in the South Central United States and is also known as the Lone Star State. The Colorado River is the 18th longest river in the United States. For assistance in federal payments, the company turned to the local Congressman, Lyndon B. Johnson. The United States Congress is the bicameral Legislature of the federal government of the United States of America, consisting of two houses Brown & Root was the principal source of campaign funds for Johnson's initial run for Congress in 1937 in return for persuading the Bureau of Reclamation to change its rules against paying for a dam on land the federal government did not own, a decision that had to go all the way to President Franklin Delano Roosevelt, according to Robert A. Caro's book The Path to Power. Robert Allan Caro (born October 30, 1935) is a Biographer most noted for his studies of United States political figures Robert Moses Dragon Ball The Path to Power, known in Japan as, is the fourth theatrical Dragon Ball movie based on the original series and the seventeenth in the After other very profitable construction projects for the federal government, such as building the Corpus Christi Naval Station, Brown & Root gave massive sums of cash for Johnson's first run for the U. S. Senate in 1941. Brown and Root violated IRS rules over campaign contributions, largely in charging off its donations as deductible company expenses, again according to Robert Caro. The A subsequent IRS investigation threatened to bring criminal charges of illegal campaign donations against Brown & Root as well as Johnson and others. It was not quashed until Roosevelt himself told the IRS to back off and allowed Brown and Root to settle for pennies on the dollar.

During World War II, Brown & Root built the Naval Air Station Corpus Christi and its subsidiary Brown Shipbuilding produced a series of warships for the U.S. Government. Naval Air Station Corpus Christi, also known as Truax Field, is a naval base located six miles (10 km) southeast of the Central business district The Brown Shipbuilding Company was founded in Houston, Texas in 1942 as a subsidiary of Brown and Root (now KBR) by brothers Herman and George A warship is a Ship that is built and primarily intended for Combat. The federal government of the United States is the central United States Governmental body established by the United States Constitution.

In 1947, Brown & Root built one of the world's first offshore oil platforms. An oil platform or oil rig is a large structure used to house workers and machinery needed to drill and/or extract oil and Natural gas through wells

According to Tracy Kidder's Pulitzer Prize-winning book Mountains Beyond Mountains, Brown & Root was a contractor in the Péligre Dam project. Tracy Kidder (born November 12, 1945, in New York City) is an American author and Vietnam War veteran The Pulitzer Prize, ˈpʊlɨtsɚ PULL-it-sər is an American award regarded as the highest national honor in Newspaper journalism, Mountains Beyond Mountains The Quest of Dr Paul Farmer A Man Who Would Cure the World is a Non-fiction, Biographical work by American writer The project was designed by the U.S. Army Corps of Engineers and financed by the Export-Import Bank of the United States. The United States Army Corps of Engineers ( USACE) is a federal agency and a major Army command made up of some 34600 Civilian and 650 Military personnel The Export-Import Bank of the United States ( Ex-Im Bank) is the official Export credit agency of the United States federal government.

Following the death of Herman Brown, Halliburton Energy Services acquired Brown & Root in December 1962. Halliburton Energy Services ( is a US -based Multinational corporation with operations in more than 70 countries According to Dan Briody, who wrote a book on the subject, the company became part of a consortium of four companies that built about 85 percent of the infrastructure needed by the Army during the Vietnam War. Infrastructure typically refers to the technical structures that support a society such as Roads Water supply, Wastewater, Power grids At the height of the anti-war movement of the 1960s, Brown & Root was derided as "Burn & Loot" by protesters. The term anti-war usually refers to the opposition to a particular nation's decision to start or carry on an armed conflict unconditional of a maybe-existing just cause.

The extent of their services included a vast array of logistical operations, historically under the jurisdiction of the military. Such operations included laundry services, meal services (Burger King, Subway, Papa John's Pizza), entertainment (Internet and cable access), and recreation (basketball courts and gym equipment). Burger King ( often abbreviated to Subway Restaurants, commonly known as Subway, is a Fast food restaurant franchise that primarily sells Sandwiches and Salads called Papa John's Pizza ( is the third largest Take-out and delivery Pizza restaurant chain in the United States, behind Pizza Hut The Internet is a global system of interconnected Computer networks

From 1995-2002, Halliburton KBR has been awarded at least $2. 5 billion to construct and run military bases, some in secret locations, as part of the Army's Logistics Civil Augmentation Program (LOGCAP). ^[4]

In September 2005, under a competitive bid contract it won in July 2005 to provide debris removal and other emergency work associated with natural disasters, KBR started assessment of the cleanup and reconstruction of Gulf Coast Marine and Navy facilities damaged in the aftermath of Hurricane Katrina. The Gulf Coast region of the United States comprises the coasts of states which border the Gulf of Mexico. Hurricane Katrina of the 2005 Atlantic hurricane season was the costliest hurricane, as well as one of the five deadliest in the history of the United States The facilities include: Naval Station Pascagoula, Naval Station Gulfport, the John C. Stennis Space Center in Mississippi, two smaller U. Naval Station Pascagoula was a base of the United States Navy, in Pascagoula, Mississippi. The John C Stennis Space Center (or SSC) located in Hancock County Mississippi at the Mississippi / Louisiana border is NASA 's largest Mississippi ( is a state located in the Deep South of the United States S. Navy facilities in New Orleans, Louisiana and others in the Gulf Coast region. New Orleans (nʲuːˈɔrliənz nʲuːˈɔrlənz French: La Nouvelle-Orléans) is a major United States port city and the largest city in Louisiana KBR has had similar contracts for more than 15 years.

On May 7, 2008 the company announced that it would acquire Birmingham, Alabama-based engineering and construction firm BE&K for $550 million. Events 558 - In Constantinople, the dome of the Hagia Sophia collapses 2008 ( MMVIII) is the current year in accordance with the Gregorian calendar, a Leap year that started on Tuesday of the Common Birmingham (ˈbɝmɪŋhæm is the largest City in the US state of Alabama and is the County seat of Jefferson County. BE&K plans to remain headquartered in Birmingham. ^[5]

Kosovo

In 1996, President Bill Clinton awarded Brown & Root a contract to support U. William Jefferson "Bill" Clinton (born William Jefferson Blythe III, August 19 1946 served as the forty-second President of the United States S. and North Atlantic Treaty Organization (NATO) troops as part of the SFOR operation in the Balkan region. The North Atlantic Treaty The Stabilisation Force (SFOR was a NATO -led multinational force in Bosnia and Herzegovina which was tasked with upholding the Dayton Agreement. This contract was extended to also include KFOR operations in Kosovo starting in 1999. The Kosovo Force ( KFOR) is a NATO -led international force responsible for establishing a safe and secure environment in Kosovo, the self-proclaimed independent Camp Bondsteel in Kosovo was constructed by the 94th Engineer Construction Battalion together with the private Kellogg Brown & Root (KBR) under the direction of the Army Corps of Engineers. Camp Bondsteel is the main base of the United States Army under KFOR command in Kosovo. KBR is also the prime contractor for the operation of the camp. The camp is built mainly of wooden, semi permanent SEA (South East Asia) huts and is surrounded by a 2. 5 meter high earthen wall. To construct the base two hills were lopped off and the valley between them was filled with the resulting material.

Activities in Afghanistan

KBR was awarded a $100 million contract in 2002 to build a new U. S. embassy in Kabul, Afghanistan, from the State Department. } Kābul ( Persian and Pashto: کابل, IPA:) is the Capital and largest city of Afghanistan, with Afghanistan /æfˈgænɪstæn/ officially the Islamic Republic of Afghanistan ( Pashto: د افغانستان اسلامي جمهوریت,

KBR has also been awarded 15 Logistics Civil Augmentation Program (LOGCAP) task orders worth more than $216 million for work under Operation Enduring Freedom, the military name for operations in Afghanistan. Operation Enduring Freedom (OEF is the official name used by the U Afghanistan /æfˈgænɪstæn/ officially the Islamic Republic of Afghanistan ( Pashto: د افغانستان اسلامي جمهوریت, These include establishing base camps at Kandahar and Bagram Air Base and training foreign troops from the Republic of Georgia. For the 2001 film see Kandahar (film; for the Kandahar meteorite of 1959 see Meteorite falls; for the places in Azerbaijan see Cəndəhar and Bagram Air Base is a militarized Airport and housing complex that is located next to the ancient city of Bagram, southeast of Charikar in Parwan Georgia ( საქართველო, Sakartvelo) is a Transcontinental country in the Caucasus region situated at the dividing line between

Activities in Iraq

KBR employs more American private contractors and holds a larger contract with the U.S. government than does any other firm in Iraq. The federal government of the United States is the central United States Governmental body established by the United States Constitution. For a topic outline on this subject see List of basic Iraq topics. The company's roughly 14,000 U. S. employees in Iraq provide logistical support to the U.S. armed forces. Logistics is the management of the flow of Goods, Information and other resources including Energy and people between the point of origin and the point The United States Armed Forces are the overall unified military forces of the United States ^[6]

The United States Army hired KBR to provide housing for approximately 100,000 soldiers in Iraq in a contract worth $200 million, based on a long-term contract signed in December 2001 under the Logistics Civil Augmentation Program (LOGCAP). Other LOGCAP orders have included a pre-invasion order to repair oil facilities in Iraq; $28. 2 million to build POW camps; and $40. A prisoner-of-war camp is a site for the containment of enemy combatants captured by the enemy in time of war and is similar to an Internment camp which is used for civilian 8 million to accommodate the Iraqi Survey Group, which was deployed after the invasion to find weapons of mass destruction. A weapon of mass destruction ( WMD) is a weapon which can kill large numbers of humans and/or cause great damage to man-made structures (e

The Army's actions came under fire from California Congressman Henry Waxman, who, along with Michigan Congressman John Dingell, asked the General Accounting Office to investigate whether the U.S. Agency for International Development and The Pentagon were circumventing government contracting procedures and favoring companies with ties to the Bush administration. California ( is a US state on the West Coast of the United States, along the Pacific Ocean. Henry Arnold Waxman (born September 12, 1939 in Los Angeles California) is an American politician. Michigan ( is a Midwestern state of the United States of America. John David Dingell Jr (born in Colorado Springs Colorado, July 8, 1926) is a Democratic United States Representative from The Government Accountability Office ( GAO) is the Audit, Evaluation, and investigative arm of the United States Congress. The United States Agency for International Development (or USAID) is the United States federal government organization responsible for most non- military The Pentagon is the Headquarters of the United States Department of Defense, located in Arlington County, Virginia. The Presidency of George W Bush began on his inauguration on January 20, 2001 as the 43rd and current President of the United States of America They also accused KBR of inflating prices for importing gasoline into Iraq. ^[7][8] In June 2003, the Army announced that it would replace KBR's oil-infrastructure contract with two public-bid contracts worth a maximum total of $1 billion, to be awarded in October. Infrastructure typically refers to the technical structures that support a society such as Roads Water supply, Wastewater, Power grids However, the Army announced in October it would expand the contract ceiling to $2 billion and the solicitation period to December. As of October 16, 2003, KBR had performed nearly $1. Events 456 - Magister militum Ricimer defeats the Emperor Avitus at Piacenza and becomes master of the western Year 2003 ( MMIII) was a Common year starting on Wednesday of the Gregorian calendar. 6 billion worth of work. In the meantime, KBR has subcontracted with two companies to work on the project: Boots & Coots, an oil field emergency response firm that Halliburton works in partnership with (CEO Jerry L. Winchester was a former Halliburton manager) and Wild Well Control. Both firms are based in Texas. ^[9]

KBR's maintenance work in Iraq has been criticized after reports of soldiers electrocuted from faulty wiring. ^[10] Specifically, KBR has been charged by the Army for improper installation of electrial units (Not Grounded)in bathrooms throughout US bases. CNN reported that Green Beret and Staff Sgt. Ryan Maseth died by electrocution in his shower stall on January 2, 2008. Army documents showed that KBR inspected the building and found serious electrical problems a full 11 months before his death. KBR noted "several safety issues concerning the improper grounding of electrical devices. " But KBR's contract did not cover "fixing potential hazards;" It covered repairing items only after they broke down. ^[11]

Employee safety

As of February 9, 2007, 98 American KBR employees and subcontractors have been killed, and more than 430 have been wounded by hostile action while performing services under the company's government contracts in Iraq, Afghanistan and Kuwait. Events 474 - Zeno crowned as co-emperor of the Byzantine Empire. Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. The State of Kuwait ( دولة الكويت IPA [dawlatt̪ alkuwajt̪]) is a sovereign Arab Emirate on the coast of the Persian Gulf, enclosed ^[12]

KBR is currently alleged to have covered up a gang rape of Jamie Leigh Jones, one of its contractors, by several other KBR employees in Iraq in July, 2005. See also Rape Rape can be categorized in different ways for example by reference to the situation in which it occurs by the identity or characteristics Jamie Leigh Jones (born 1985 is a former KBR employee who claims that seven KBR employees drugged and gang-raped her on July 28, 2005 at Jones was allegedly drugged and raped by her coworkers, then confined to a security container without food, water, or medical treatment for a full day before a guard allowed her to call her father. Jones' father then contacted Representative Ted Poe, who approached the State Department regarding the matter. Lloyd "Ted" Poe (born September 10, 1948) is a Republican Politician currently representing Texas's 2nd congressional district Because of contractual restrictions, Jones is barred from suing her employer. ^[13]

Recently, KBR has come under the spotlight when several female employees in Iraq purportedly have been raped by co-workers. One of the women, identified by the pseudonym “Lisa Smith,” says two colleagues raped her at a southern Iraqi military base in January. She says a supervisor told her to “keep quiet” or face danger. Karen Houppert broke the story of Lisa Smith’s rape allegations for The Nation magazine. This article is about the US Publication. For other newspapers magazines and alternate uses by the same name see The Nation (disambiguation. The article is called “Another KBR Rape Case. "

Political connections and controversy

Brown and Root had a well-documented relationship with U. S. President Lyndon Johnson, which began when he used his position as a Texas congressman to assist them in landing a lucrative dam contract. In return they gave him the funds for his 1948 Senate race against Coke R. Stevenson. Coke Robert Stevenson ( March 20, 1888 June 28, 1975) was Governor of Texas from 1941 to 1947 ^[14] The relationship continued for years, with Johnson awarding military construction contracts to B&R.

Following the end of the first Gulf War, the Pentagon, led by then Defense Secretary Dick Cheney, paid Halliburton subsidiary Brown & Root Services over $8. Richard Bruce "Dick" Cheney (born January 30 1941 is the forty-sixth and current Vice President of the United States. 5 million to study the use of private military forces with American soldiers in combat zones. ^[4]

Cheney was chairman and chief executive officer of Halliburton from 1995 to 2000. A chief executive officer ( CEO) or chief executive is typically the highest-ranking corporate officer ( executive) or administrator He has been accused of providing work to KBR under contingency contracts to financially benefit himself and his business associates.

However, the Army contract which has been so controversial — LOGCAP — has, since its inception, been issued under competitive solicitations; of the three LOGCAP contracts, KBR won the first, DynCorp the second, KBR the third, and also the current one, dubbed "LOGCAP IV". DynCorp International is a United States -based Private military contractor (PMC and aircraft maintenance company LOGCAP is a contingency-based contract which is invoked at the convenience of the US Army as needed; the Task Orders under the contract are not competitively bid as the overall contract is.

Although DynCorp had won LOGCAP II in 1994,^[15] Clinton instead chose KBR, and thus the Balkans Support Contract was created for and awarded to KBR in February 1999. ^[16] Even though the LOGCAP program is specifically for contingency operations such as the Balkans, there was little media coverage about KBR picking up that contract; the Balkans work is sometimes mistakenly mentioned as being part of LOGCAP, however.

Most media controversy involves the LOGCAP III contract which KBR successfully, and competitively, bid for and won in 2001. While it is by far the most profitable of their contracts, the functions of that contract are often mixed with the RIO contract in which KBR was given in a no-bid process. RIO, or Restore Iraqi Oil, was awarded to KBR when the United States Department of Defense determined that KBR was "the only contractor that could satisfy the requirement for immediate execution of the plan". The United States Department of Defense ( DOD or DoD) is the federal department charged with coordinating and supervising all agencies and functions of the government ^[17] As of September 2006, hearings are still being conducted into the RIO project over possible billing, management, and procurement violations.

One common theme is to use the term LOGCAP while using the dollar amounts from RIO, which was using LOGCAP funding for the initial staging and startup, (see reference #4).

Jamie Leigh Jones, a 23-year-old former employee of KBR, testified at a Congressional hearing in December that she had been gang-raped by up to as many as seven co-workers in Iraq in 2005. http://www.nytimes.com/2008/02/13/world/middleeast/13contractors.html?_r=1&bl&ex=1203051600&en=bf8812ecc5524a95&ei=5087%0A&oref=slogin

Another prime topic of interest is the Defense Contract Audit Agency (DCAA) report on billing-methods for meals. The Defense Contract Audit Agency (DCAA under the authority direction and control of the United States Under Secretary of Defense (Comptroller is responsible for performing The auditors knew about, but disregarded, the Army's requirement, whereas KBR was directed to have varying amounts of meals prepared at certain locations regardless of how many people actually used the service. Although KBR was paying for the food, the DCAA did not believe they should be able to charge the DoD for meals prepared but not served. ^[18]

Shell companies in Cayman Islands

In March 2008, the Boston Globe reported that KBR had avoided paying hundreds of millions of dollars in federal Medicare and Social Security taxes by hiring workers through shell companies based in the tax haven of the Cayman Islands. This article refers to Medicare, a United States health insurance program Social Security, in the United States currently refers to the federal Old-Age Survivors and Disability Insurance ( OASDI) program A shell Corporation is defined in Barron's Finance & Investment Handbook as "a company that is incorporated but has no significant assets or operations A tax haven is a place where certain Taxes are levied at a low rate or not at all The Cayman Islands are a British overseas territory located in the western Caribbean Sea, comprising the islands of Grand Cayman, Cayman Brac More than 21,000 people working for KBR in Iraq - including about 10,500 Americans - are listed as employees of two companies, Service Employers International Inc. , and Overseas Administrative Services, which exist on the island only in computer files in an office. A computer file is a block of Arbitrary Information, or resource for storing information which is available to a Computer program and is usually KBR acknowledged that the companies were set up "in order to allow us to reduce certain tax obligations of the company and its employees. " But KBR does claim the workers as its own with regards to the legal immunity extended to employers working in Iraq. ^[19] A new piece of legislation may halt KBR's use of the Cayman subsidiaries^[20]

Legacy in Houston

Houston's convention center was named after company founder and namesake George R. The George R Brown Convention Center opened on September 26, 1987 on the east side of Downtown Brown. Rice University's Brown College is also named for members of Brown's family, who have made significant monetary contributions to Rice and other Houston schools. William Marsh Rice University (commonly called Rice University and opened in 1912 as The William Marsh Rice Institute for the Advancement of Letters Science and Art

References

External links

• Company website

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