UPDATED May 15, 2017, with comment from J&J.
The U.S. Defense Dept. yesterday awarded a Johnson & Johnson (NYSE:JNJ) unit a contract for orthopedic products worth nearly $260.5 million.
The 1-year contract with Piscataway, N.J.-based Johnson & Johnson Healthcare System includes 4 1-year options; the total maximum value of the agreement covers the life of the contract including the option years, if exercised, according to the Pentagon.
The deal calls for J&J to supply orthopedic products to the Army, Navy, Air Force, Marine Corps and federal civilian agencies.
The contract is slated to expire April 27, 2022, the DoD said.
The Pentagon also said it granted a $28.3 million contract to Redmond, Wash.-based Physio-Control for “medical equipment, maintenance of medical equipment, and/or spare parts for medical equipment.” Physio-Control makes automated external defibrillators. The 5-year deal does not include any option years, according to the DoD.
The deal, slated to expire April 26, 2022, also covers the Army, Navy, Air Force, Marine Corps and federal civilian agencies.
Physio-Control beat out 126 competitors to win the contract, the Pentagon said.
“Our commitment to U.S. military servicemen, women and their families has spanned more than a century, and we are excited to continue that commitment by bringing our innovative orthopedic products to U.S. military medical treatment facilities worldwide through the [electronic catalog] system,” DePuy Synthes U.S. president Juan-José Gonzalez said in prepared remarks. “ECAT not only creates a more efficient online purchasing system, but it also enables us to deliver on our promise to provide products and capabilities that help to improve overall care and increase patient satisfaction.”
