Unisys Corp announced that the U.S. Department of Defense (DoD) awarded the company a follow-on contract to enhance visibility in the worldwide military logistics supply chain. The contract term is one base year and three one-year options, exercisable at the discretion of the government.

The contract, which includes firm fixed-price and time and materials work, is worth approximately $28 million in the first year, if the government continues to order time and materials work at the current level. The total value of the contract could be approximately $112 million if the government exercises all options and continues to order time and materials work at the current level. In addition, the contract provides for the award of additional fees if performance metrics are exceeded and the imposition of penalties if the metrics are not met.

Award of this contract allows Unisys to continue its efforts on the RFID program that began 13 years ago. Unisys has been working with DoD to develop, maintain and enhance an in-transit visibility system utilizing radio frequency identification technology. Providing visibility almost instantaneously into the location of supplies and shipments enables the military to increase its agility to supply units and soldiers with critical supplies in a timely manner, focus on mission-critical activities and respond quickly to mission changes.