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Originally Posted by wordsmythe Yeah Halliburton could do it. |
Yeah Halliburton
could do it,
if the need ever arises.
In order to understand what Halliburton/Kellogg, Brown & Root is today, you really should learn just how President Johnson's early House & Senate years (after his school teaching ended) were spent handing government contracts their way; with very little oversight. Along comes WWII, the Cold War, Korea, VietNam AND the huge increase in worldwide oil demand...
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Brown & Root, though, was riding higher than ever thanks to its old political fixer, LBJ, now Kennedy's vice president. At the time of the merger, Brown & Root had just been handed one of its biggest federal contracts, the multi-billion dollar deal to build NASA's Manned Space Center outside Houston-a complex that would later be renamed the Johnson Space Center.
But the most majestic profits, as always, were to be made during wartime and LBJ gave them a big one. During World War II and Korea, Brown & Root made billions building bases and ships in the US. But Johnson's Vietnam War forever changed the role of Pentagon contractors, and Halliburton's Brown & Root subsidiary lead the way.
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Halliburton/KBR were available to tackle the needs that couldn't be met by this Nation's Bureaucracies.
It was discovered that a private company
could handle much of the Military's logistics and an attempt to discover how to get that done was launched by George the Elder.
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In 1992, Halliburton won a $3.9 million contract from the Pentagon in the waning days of the George H.W. Bush administration to a develop a scheme for outsourcing to private corporations much of the logistics and construction work previously handled by the US Army Corps of Engineers. The plan came to be known as LOGCAP and Halliburton soon got an additional $5 million to flesh out the details.
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The additional $5 million came at the beginning of the Clinton's years and Bill found it very useful to use Halliburton to reduce the number of troops required to fight Bill's Wars. Halliburton's CEO, Dick Cheney, found it very profitable helping him with his fights.
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First stop Somalia, where Halliburton set up shop providing fuel, food, laundry services and even morticians for US troops.
Then in 1995, at the same time Cheney was taking over the reins at Halliburton, the Pentagon handed the company a $550 million contract to provide logistical support for US and NATO's IFOR forces in Bosnia, Croatia and Hungry. Halliburton won another $6.3 million contract to service US troops stationed at the air base in Aviano, Italy, from which US jets launched bombing raids on Yugoslavia.
The contract was another of the notorious cost-plus deals, where Halliburton simply faxed over receipts to the Pentagon and got fully reimbursed, along with a guaranteed 1 percent profit and performance bonuses that went as high as 8 percent of the total costs. It's the contract that keeps on giving.
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And Give and Give and Give he did.
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it was politically expedient since it allowed civilian officials in the Pentagon to steer billions into the coffers of favored contractors, such as Halliburton, Lockheed and DynCorp. Far from being the path toward a leaner military, the General Accounting Office pegged the LOGCAP program as an adventure in "high risk government spending."
In 1997, the renewal of the LOGCAP contract was finally put up for competitive bid and, lo and behold, DynCorp snatched the golden egg of Pentagon contracts away from Halliburton. But even the Clinton administration showed mercy to the Republican firm. It cushioned the blow by awarding Halliburton a $405 million no bid deal to provide support for US troops in Bosnia. Two years later, Halliburton won the 5-year renewal of this deal, valued at $180 million.
Then in 1999 Halliburton struck gold once again in the Balkans when Clinton went to war against Serbia over Kosovo. Halliburton got a $200 million cost/plus contract to work in Kosovo. But before the year had ended that contract, covering everything from road construction, vehicle maintenance and power generation to food services, latrines and mail delivery, had generated nearly a billion dollars in revenues for Halliburton.
Of course, the deal had sublime benefits for the Clinton administration as well. By outsourcing most of the logistics work in Kosovo, the Pentagon was able to reduce its deployment by around 8,000 troops, helping Clinton and Albright to sell an unpopular war at home.
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http://www.counterpunch.org/stclair07142005.html lurker bows and wows....