Philips Healthcare Informatics, a branch of Royal Philips (NYSE:PHG), won a $400 million contract from the U.S. Defense Dept. last week for its digital imaging network picture archiving communications system.
The fixed-price, indefinite-delivery/indefinite-quantity contract has a five-year base with one five-year option period. Ten offers were received for the acquisition.
Philips’ PACs will be used by Army, Navy, Air Force, Marine Corps and federal civilian agencies in California and other areas located within and outside the continental U.S., according to a release. The Defense Dept. anticipates a performance completion date of September 12, 2024.
Shares of PHG were down -0.7% at $47.44 per share in afternoon trading today.