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U.S. to extend Agility contract for 6 months- paper

Dubai-based Anham, inked a $2.2 billion contract to supply US troops in Iraq, Kuwait and Jordan with supplies.

August 12, 2010 8:54 by

The U.S. army has decided to extend Agility’s prime vendor contract for six months starting in September, after the current contract ends, Kuwaiti daily al-Jarida said on Thursday.

Agility, formerly Public Warehousing Co, K.S.C. (PWC) was dropped from supplying food to the U.S. Army in Iraq, Kuwait and Jordan after being accused of overcharging the military. The company held contracts worth $8.5 billion spanning more than three years.

Officials at Agility could not be reached for comment.

The U.S. government has replaced Agility as the main supplier to its troops in Kuwait, Iraq and Jordan with Dubai-based Anham, awarding it a $2.2 billion contract in April.

The Kuwaiti logistics firm said in April that it would continue to supply the U.S. military for six months “to guarantee continuity of supplies” to the army before Anham takes over.

OPEC-member Kuwait has become a major logistics base for the American military since the U.S. invasion of Iraq in 2003.

(Reporting by Eman Goma; Editing by Dinesh Nair)

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