The Defense Logistics Agency, which provides logistics, acquisition and technical services for the U.S. military, has exercised an option on a Siemens Medical Solutions contract for military radiology systems worth up to $1.9 billion.
Siemens will deliver subsystems and associated parts to the U.S. Army, Navy, Air Force, Marine Corps and other federal civilian agencies, according to the defense department.
The decision exercises the third option year on the contract. Contract funds are appropriated through the defense working capital funds for fiscal years 2012 and 2013. Work will be performed at Siemens headquarters in Malvern, Pa., and the Pentagon expects work to finish on March 30, 2013.