The Babcock & Wilcox Company (B&W) was notified today that our team was not selected to lead the National Nuclear Security Administration's (NNSA) combined Management and Operating (M&O) contract for the Y-12 National Security Complex (Y-12) and Pantex Plant.

We are disappointed, as we believe our proposal was a very strong choice for moving closer to NNSA's vision of a consolidated Nuclear Security Enterprise. We will carefully evaluate information received during NNSA's debriefing process and consider the options available to us within the procurement process. We will continue to manage both facilities at the highest level of performance through the transition period. Any transition is expected to take four months once it is initiated.

Over the past 12 years, with the support of NNSA, workers, community and public leaders, B&W Y-12 and B&W Pantex have made great accomplishments at the production sites. As the Y-12 M&O contractor, B&W Y-12's history of success includes increasing dismantlements and the site's production capacity, while at the same time executing complex projects, including the removal of 1.3 million square feet of aging facilities. B&W Pantex has met or exceeded all dismantlement and production goals over the last five years while maintaining an impressive safety record. In 2012, B&W Pantex achieved the lowest recordable case rate in the Nuclear Security Enterprise. Both Y-12 and Pantex have earned U.S. Department of Energy (DOE) Voluntary Protection Program (VPP) Star Status, a significant health and safety validation.

B&W TSG sees numerous opportunities to grow our business in the United States and abroad. Our company possesses highly skilled individuals with expertise in nuclear operations, nuclear waste management, security, precision manufacturing and environmental remediation. Fee earnings for Y-12 and Pantex were in line with our projected results for 2012.

B&W and our partners provide valuable services to NNSA across the entire Nuclear Security Enterprise. We are committed to ensuring national security and providing exceptional service to the DOE and NNSA.

About B&W

Headquartered in Charlotte, N.C., The Babcock & Wilcox Company is a leader in clean energy technology and services, primarily for the nuclear, fossil and renewable power markets, as well as a premier advanced technology and mission critical defense contractor. B&W has locations worldwide and employs approximately 12,700 people, in addition to approximately 10,400 joint venture employees. Learn more at www.babcock.com.

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B&W Media Contact:
Aimee Mills
Communications Manager
980.365.4583 
aemills@babcock.com

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Jenny Apker 
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The Babcock & Wilcox Company
704.625.4937 
investors@babcock.com