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FOR IMMEDIATE RELEASE
- The
Navy today awarded a contract worth over $100 million to Southwest
Marine (SWM). This five-year, phased-maintenance contract is the
follow-on to the ships SWM has been repairing since 1985. The
ships in this contract include USS DENVER (LPD-9), USS MT. VERNON
(LSD-39), USS ANCHORAGE (LSD-36), USS DULUTH (LPD-6), USS DUBUQUE
(LPD-8), USS CLEVELAND (LPD-7) and USS CORONADO (AGF-11). SWM
won the first LPD/LSD contract in 1985, the second contract in
1990 and the third contract in 1995.
The current and fourth consecutive contract has a total of 16
availabilities. The first scheduled nine-week availability includes
the dry-docking of the USS DENVER in September of 2000. Approximately
400 to 500 workers per day will be assigned to the USS DENVER.
The USS CORONADO, the last availability of the contract, is scheduled
for work in the year 2005.
According to Monty Dickinson, SWM's president and general manager,
"Given the severe shortfalls in Navy funding for ship depot
maintenance and the cancellation or de-scoping of scheduled work,
this award is a much-welcomed addition to our decreased workload.
We'll be able to bring back many of the workers who were laid
off during this summer's downturn." Dickinson also added,
"Once again, I am very proud of our entire work force, as
this is the fourth consecutive contract awarded to SWM for work
on this class of vessels. We all look forward to continuing to
serve the U.S. Navy and appreciate the confidence shown by the
government in our excellent track record and highly skilled employees."
It is expected that President Clinton will sign the FY 01 $8.6
billion military-construction bill, by mid-July 2000. Emergency
supplemental funding for ship depot maintenance for FY 00 is included
in this bill. Work on USS DENVER, the first availability, currently
remains unfunded. When the bill is signed, funds will become available
for needed work on the ship and for emergent work on USS CORONADO.
Approximately 200 workers per day will be assigned to USS CORONADO
over the summer, potentially easing the effects of the drastic
decline in work SWM has been experiencing.
San Diego's congressional delegation (Reps. Hunter, Cunningham,
Packard and Bilbray) and Calif. Sen. Dianne Feinstein have been
extremely instrumental in making sure the emergency supplemental
funding for FY 00 was included in the military construction bill.
"Because of maintenance deferrals and the diversion of ship
repair funds, our naval fleet is in dangerous disrepair, and our
ship repair industry has been diminished. The award of this contract
to Southwest Marine is an important step toward revitalizing this
important industry base, restoring our fleet and military readiness
and bringing San Diegans back to work," said Rep. Randy "Duke"
Cunningham (R-San Diego).
SWM is a member of the United States Marine Repair (USMR) family
of shipyards, America's largest non- nuclear ship repair, conversion,
modernization and overhaul company. In addition to the San Diego
facility, USMR yards are located in San Pedro and San Francisco,
Calif. (San Francisco Drydock, Inc.); Ingleside, Texas; and Norfolk,
Virginia (NORSHIPCO, the company's corporate headquarters). The
Carlyle Group, a Washington, D.C.-based investment firm, owns
USMR.
Bob Kilpatrick/Pete Henning (619) 238-1000
Jackie Kreisler (619) 557-4289
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