Leidos wins $4.3 billion contract from the U.S. Defense Department

Leidos Holdings Inc. said Wednesday it has won a $4.3 billion contract from the U.S. Department of Defense to modernize the military health care system. Leidos is the prime contractor on the job and will work with partners Cerner , Accenture Federal Services and Henry Schein Inc. . The contract has a two-year initial ordering period, two three-year option periods and a possible two-year additional term that would bring it to 10 years. Shares were slightly higher in after-hours trade, but are up 3% in the year so far, while the S&P 500 has gained 1%.

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