BAH - Booz Allen to pay $377.5M settlement over past billing practices

2023-07-21 18:01:07 ET

Booz Allen Hamilton ( NYSE: BAH ) has agreed to pay $377.5M to resolve a previously disclosed civil investigation related to the company's past cost accounting and indirect cost charging practices, the Department of Justice said Friday.

The company was alleged to have improperly charged costs to its government contracts and subcontracts that instead should have been billed to its commercial and international contracts, the DoJ said.

Booz Allen ( BAH ) said it previously recorded a $350M reserve related to the investigation and had expected a potential loss of as much as $378M.

The company said it entered into the settlement "to avoid the delay, uncertainty and expense of protracted litigation," and that the agreement contains no admission of liability.

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