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Hydrant Equipment Monitoring Interface Program

Press Release | January 2018

Varec Earned 14 Contract Awards for the Hydrant Equipment Monitoring Interface Program in 2017

Varec Continues to Expand HEMI Program with the Defense Logistics Agency through New Site Integration

January 03, 2018 – Atlanta, GA - Varec, a wholly-owned subsidiary of FORTUNE 500 ® information technology, engineering and science company Leidos, and leading innovator in the petroleum sector for government and commercial entities, ended 2017 with 14 new contract awards as the systems integrator for the Defense Logistics Agency (DLA) Hydrant Equipment Monitoring Interface (HEMI) program. With a total value of approximately $3.1M, the new sites deployed under the contracts in 2017 were located in the United States, Spain, Korea, Italy, Azores (Portugal), the United Kingdom, and Diego Garcia (Indian Ocean). In addition to the integration of the HEMI systems at these new sites, Varec was also awarded sustainment tasking for 70 previously installed systems.

The HEMI program falls under the Defense Energy Support Center for the DLA with SPAWAR Systems Center Atlantic as the executing authority. Varec performs the integration of electronic sensors and systems for remote monitoring of hydrant systems in fuels operations control centers at DLA capitalized airfield facilities worldwide. The integration provides a standardized approach to remote monitoring of all process conditions at hydrant pump houses, ensuring rapid response to system malfunctions during times when the pump houses are unmanned.

These hydrant systems are also integrated with Varec’s FuelsManager® Defense (FMD) solution, DLA’s global defense fuel logistics and supply operations inventory and accounting system installed in over 600 bases. Since 2013, Varec has successfully integrated 70 HEMI systems into FMD at 36 sites for DLA. In addition to inventory data, leak status data is also sent to FMD from each hydrant system’s pump house.

“Over the past four years, we have compiled a successful track record of past performance, including completing projects ahead of schedule and under budget,” states Ed Dashnaw, HEMI Program Manager for Varec. “We are already working on planning for future sites and anticipate another busy year in 2018.”

The HEMI program organization includes support for the Air Force Petroleum Agency, Army Petroleum center, NAVSUP Energy, as well as fuel facilities for the Air Force, Army, Navy and Marine Corps. To learn more about Varec’s solutions for defense logistics, please visit www.varec.com or www.FuelsManager.com.



Statements in this announcement, other than historical data and information, constitute forward-looking statements that involve risks and uncertainties. A number of factors could cause our actual results, performance, achievements, or industry results to be very different from the results, performance, or achievements expressed or implied by such forward-looking statements. Some of these factors include, but are not limited to, the risk factors set forth in the company’s Annual Report on Form 10-K for the period ended December 30, 2016, and other such filings that Leidos makes with the SEC from time to time. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof.

Contact:
Melissa Koskovich
(571) 526-6850
Koskovichm@Leidos.com
Jennifer Moffett
(571) 526-6852
Jennifer.a.moffett@leidos.com

About Varec, Inc.

Varec, Inc., a wholly owned subsidiary of Leidos, is considered the pioneer of inventory tank gauging instrumentation nearly 90 years ago. Today, Varec is a worldwide leader in fuels management systems for total asset visibility and control, supplying integrated hardware and software solutions to oil and gas, defense and aviation markets. The Varec FuelsManager suite of product solutions has been a longtime standard of major oil companies and the U.S. Department of Defense, as well as aviation tank farm operators and service providers. With its headquarters and manufacturing facility outside of Atlanta, Georgia, Varec also has offices in Virginia, Australia and the United Kingdom. For more information, visit www.varec.com.

About Leidos

Leidos is a global science and technology solutions and services leader working to solve the world's toughest challenges in the defense, intelligence, homeland security, civil and health markets. The company's 32,000 employees support vital missions for government and commercial customers. Headquartered in Reston, Virginia, Leidos reported annual revenues of approximately $7.04 billion for the fiscal year ended December 30, 2016. For more information, visit www.Leidos.com.

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