Halliburton to Defer More Billing for Military Meals

Halliburton Co. said Monday that it would defer billing for an additional $140 million in meals for U.S. forces in Iraq and Kuwait until a discrepancy is reconciled between the number of meals ordered and those actually served.

The Houston-based company, the biggest contractor for the U.S. military in Iraq, said it was holding off billing until an agreement was reached on subcontractor services for meal planning, food purchase and meal preparation for troops.

Last week, Halliburton said in a Securities and Exchange Commission filing that it would delay billing for $34.5 million while Defense Department auditors weigh whether its subcontractors overcharged for meals in Iraq and Kuwait. The additional suspended billing is for food services already provided to U.S. forces in Iraq and Kuwait.

“It is important to understand that this is not any sort of ‘admission,’ ” said Randy Harl, chief executive of Halliburton subsidiary Kellogg, Brown & Root. “As a responsible government contractor, it is the right thing to do.”