Press Release

HOUSTON (September 24, 2018) KBR, Inc. (NYSE: KBR) announced today that its global government services business, KBRwyle, has won a seat on the $28 billion Department of Defense Information Analysis Center Multiple Award Contract (IAC MAC).

KBRwyle was one of 15 prime contractors selected by the Air Force Installation Contracting Agency (AFICA) for the Unrestricted/Full and Open Competition pool (pool 1) on this nine-year indefinite-delivery, indefinite-quantity (IDIQ) contract.

Under this contract, KBRwyle will offer its research, development, test, and evaluation (RDT&E) expertise to meet urgent U.S. defense needs. KBRwyle will have the opportunity to bid on task orders focused on a wide breadth of technical areas, including weapons systems, military sensing, cybersecurity, C4ISR, sustainment and systems engineering, autonomous systems, modeling and simulation, biometrics, and critical infrastructure protection.

"This contract is a strategic win for both KBRwyle and our customers", said Stuart Bradie, KBR President and CEO. "For over 13 years, we have used IAC contracts to quickly deploy solutions to government customers that optimize their systems' performance and ensure mission success."

"IAC MAC will allow us to continue this important work and bring rapidly deployable solutions to new federal government customers," Bradie continued.

KBRwyle has supported the mission of the DoD research and development community through various predecessor DoD IAC contracts since 2005. Most recently, these include the Defense Systems Technical Area Task, Cyber Security and Information Systems Technical Area Task, and Homeland Defense and Security Technical Area Task Contracts. KBRwyle is one of DoD IAC's leading IAC prime contractors, having successfully provided over $3 billion in solutions to a variety of DoD customers.

Estimated revenue associated with task orders awarded under this contract will be booked into backlog of unfilled orders for KBR's Government Services business segment as they are awarded.

About DoD IAC Program<

Established in 1946, the IACs have served as an essential resource to affordably access technical data and analysis in support of current operations. IACs are research and analysis organizations chartered by the DoD to provide Research and Analysis services and Agile and Scalable Contracting services through integrated Scientific and Technical Information (STI) development and dissemination, studies and analyses, and other unique scientific and technical activities. Today, the DoD IAC helps researchers, engineers, scientists, and program managers utilize existing STI and drive innovation across DoD with technical analysis and development of material solutions to advance DoD's warfighting capabilities. Through its unparalleled services, the DoD IAC has helped accelerate the acquisition lifecycle and enable IAC users to meet their needs in a cost-effective, efficient, and compliant manner.

Preferred Use of DoD IAC Contracts

The Preferred Use of DoD IAC Contracts memo, signed by Mr. Shay Assad, Director, Defense Pricing and Contracting (DPAC) and co-signed by Ms. Mary Miller, Performing the Duties of the Assistant Secretary of Defense for Research and Engineering ASD(R&E) on 27 July 2018, recognizes the DoD IAC program as a model for rapid and user-friendly acquisition of advanced Research and Development services.Ê Furthermore, DPAC and ASD(R&E) encourage Requiring Officers and Contracting Officers to use the IACs as best value vehicles to acquire services that fall within the applicable scope areas and to consider the DoD IAC contracts as vehicles of first choice.

About KBR, Inc.

KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Government Services and Hydrocarbons sectors. KBR employs approximately 34,000 people worldwide (including our joint ventures), with customers in more than 75 countries, and operations in 40 countries, across three synergistic global businesses:

• Government Services, serving government customers globally, including capabilities that cover the full life-cycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
• Technology, including proprietary technology focused on the monetization of hydrocarbons (especially natural gas and natural gas liquids) in ethylene and petrochemicals; ammonia, nitric acid and fertilizers; oil refining and gasification
• Hydrocarbons Services, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU); program management and consulting services

KBR is proud to work with its customers across the globe to provide technology, value-added services, integrated EPC delivery and long term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

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Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other U.S. Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.For further information, please contact:

Investors
Alison Vasquez
Vice President, Investor Relations
713-753-5082
Investors@kbr.com

Media
Brenna Hapes
External Global Communications
713-753-3800
Mediarelations@kbr.com