CH2M HILL Joint Venture Selected for Work in Iraq and Other Areas of Southwest Asia.

Business Editors

DENVER--(BUSINESS WIRE)--Jan. 14, 2004

On January 13, the U.S. Army Corps of Engineers' Transatlantic Programs Center announced it has selected a CH2M HILL-led international joint venture for design and construction services within Central Command's Southwest Asia area of responsibility. The area encompasses 25 countries from Kazakhstan to the Horn of Africa, including Iraq.

The CH2M HILL joint venture will provide a wide range of construction, renovation and design services associated with establishing temporary bases, base operations and maintenance, as well as other infrastructure requirements as needed. The joint venture and its subcontractors include companies from the U.S., Spain, England, Jordan, and Italy. Two Iraqi firms will also be supporting the team.

"This opportunity to support the U.S. Army Corps of Engineers and its efforts to meet a variety of infrastructure needs in Southwest Asia, fits perfectly with CH2M HILL's mission of building a better world. CH2M HILL has worked on challenging projects in Southwest Asia, including the Middle East, and we are proud to once again bring our project delivery expertise to bear on this important mission," said Dr. James Ferris, President and Group Chief Executive.

The contract is a task-order-based delivery vehicle, so specific task orders will be awarded defining the work. The contract could yield up to $500 million in task orders the first year and has four one-year options; each option year having a cap of $250 million. This contract is one of ten competitively awarded contracts to construction and engineering organizations. The total amount in task orders that could be issued under all 10 contracts has a ceiling of $15 billion over a five-year period, assuming all the contracts are maximized each year.

As a long-term contractor to the U.S. Federal Government, CH2M HILL has successfully delivered engineering and construction services to government and military installations. The firm currently is involved in a host of U.S.-funded major projects worldwide, ranging from U.S. Department of Defense infrastructure design and construction management, anti-terrorism services, environmental and remediation services, and base operations and maintenance, amongst others.

CH2M HILL is an employee-owned, global firm providing engineering, construction, operations, major project management and related technical services to public and private clients worldwide. The firm is recognized for its work in the areas of energy, power, environment, nuclear services, water, transportation, and communications infrastructure, and industrial facilities. With expected 2003 unconsolidated revenues of $2.6 billion, CH2M HILL has more than 13,500 employees working in more than 200 offices worldwide. For more information on CH2M HILL, visit www.ch2mhill.com.