Press Release

HOUSTON

- August 27, 2015 -

KBR, Inc. (NYSE: KBR) has been awarded a cost plus fixed fee task order in the Arabian Peninsula under the Logistics Civil Augmentation Program (LOGCAP) IV contract.

For this task order, KBR will provide logistics, operations, and maintenance support for the U.S. Army across eight sites in Kuwait. Upon the direction of the U.S. Government, services can be expanded to other countries in the Arabian Peninsula region. This work is expected to be performed over one base year with three option years. Requirements will focus on facilities management, theatre transportation and movement control, waste and sewage management, and airfield operations services.
KBR is also currently executing LOGCAP IV task orders in United Arab Emirates and Iraq. "We are excited to be a part of this significant program and to continue to grow and maintain a substantial presence in the Middle East Region," said Andrew Pringle, President of KBR's Government Services Segment.

KBR's LOGCAP IV transition team for this assignment is already on the ground in Kuwait and has begun coordination for a seamless start-up.

The contract value was not disclosed. Revenue associated with this contact will be booked into backlog of KBR's Government Services Business Segment in the third quarter of 2015. Work execution on this contract began on August 12, 2015, with completion expected in the last quarter of 2019.

About KBR, Inc.
KBR, Inc. is a global technology, engineering, procurement and construction company serving the hydrocarbons and government services industries, employing approximately 25,000 people worldwide with customers in more than 70 countries and operations in 40 countries across three distinct global businesses:Technology & Consulting, including proprietary technology in refining, ethylene, ammonia and fertilizers, and gasification; and niche consulting and know-how through subsidiaries Granherne, Energo and GVAEngineering & Construction, including Offshore Oil & Gas; Onshore Oil & Gas; LNG/GTL; Refining; Petrochemicals; Chemicals; differentiated EPC, and Industrial ServicesGovernment Services, including program management and long term annuity contracts

KBR is proud to work with its customers across the globe to provide technology, value-added consulting services, integrated EPC delivery and Long Term Industrial Services to ensure consistent project 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 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
Zac Nagle
Vice President, Investor Relations
713-753-5082
Investors@kbr.com

Media
Marit Babin
Director, Global Communications & Government Relations
713-753-3800
Mediarelations@kbr.com