OUR FOUNDATION FOR SUCCESS
     URS Corporation 2006 Annual Report
THE COMPANY                                                                                                               ...
CHAIRMAN’S LETTER




                                                   To Our Stockholders: 2006 was an excellent year  ...
A TRANSPORTATION MILESTONE IN THE NATION’S CAPITAL




    URS EMPLOYEES,
    PICTURED
    LEFT TO RIGHT:

    Joy Jones  ...
WOODROW WILSON BRIDGE, WASHINGTON, DC




The Woodrow Wilson Bridge provides a vital link across
the Potomac River for com...
UPGRADING FACILITIES FOR A MILITARY SCHOOL DISTRICT




    URS EMPLOYEES,       RIGHT SIDE
    LEFT SIDE            PICTU...
DEPARTMENT OF DEFENSE DEPENDENTS SCHOOLS,
KAISERSLAUTERN DISTRICT, GERMANY




The thousands of U.S. service men and women...
A STATE-OF-THE-ART SUBMARINE FOR THE 21 ST CENTURY




    URS EMPLOYEES,
    PICTURED
    LEFT TO RIGHT:

    Bill Fatek
...
THE U.S. NAVY’S VIRGINIA CLASS
SUBMARINE PROGRAM




When the first Virginia Class submarine recently joined              ...
MODERNIZING A VALUED COMMUNITY RESOURCE




     URS EMPLOYEES,
     PICTURED
     LEFT TO RIGHT:

     Ross Pouley
     J...
THE KING COUNTY LIBRARY SYSTEM IMPROVEMENT
PROGRAM, KING COUNTY, WASHINGTON




Like most major libraries, the King County...
OUR PEOPLE: THE KEY TO OUR SUCCESS




                                          JOHN HUHTALA                             ...
REHABILITATING FLOOD CONTROL SYSTEMS




     URS EMPLOYEES,       RIGHT SIDE
     LEFT SIDE            PICTURED CLOCKWISE...
LEVEE EVALUATION AND REPAIR PROJECTS,
LOUISIANA AND CALIFORNIA




Although Hurricane Katrina made landfall in New Orleans...
TRAINING THE NEXT GENERATION OF HELICOPTER PILOTS




     URS EMPLOYEES,    BACK ROW:
     FRONT ROW:
                   ...
U.S. ARMY FLIGHT SCHOOL, FORT RUCKER, ALABAMA




When images of American military helicopters on combat
missions are show...
AN ECOLOGICALLY SENSITIVE APPROACH TO ROADWAY DESIGN




     URS EMPLOYEES,       MIDDLE ROW PICTURED
     FRONT ROW PICT...
NORTHERN GATEWAY ALLIANCE ALPURT B2 PROJECT,
NORTH ISLAND, NEW ZEALAND




Living within a rugged terrain of forests, clea...
A PARTNERSHIP IN ENVIRONMENTAL RESPONSIBILITY




     URS EMPLOYEES,
     PICTURED
     LEFT TO RIGHT:

     Daniel Banas...
UNITED STATES STEEL CORPORATION
ENVIRONMENTAL ALLIANCE




Steel is an essential part of modern society. From auto-
mobile...
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
urs annual reports 2006
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urs annual reports 2006

  1. 1. OUR FOUNDATION FOR SUCCESS URS Corporation 2006 Annual Report
  2. 2. THE COMPANY FINANCIAL HIGHLIGHTS Financial data for the past five fiscal years and the two months ended December 31, 2004 and 2003 are summarized URS is one of the largest engineering design TABLE OF CONTENTS below1. This financial data should be read in conjunction with the information contained in our financial statements and 1 Financial Highlights services firms worldwide and a leading U.S. the accompanying notes, and the section entitled “Management’s Discussion and Analysis of Financial Condition and 2 Chairman’s Letter to Stockholders federal government contractor. We offer a compre- Results of Operations,” included in our Annual Report on Form 10-K for the fiscal year ended December 29, 2006, 34 Office Locations Worldwide filed with the Securities and Exchange Commission on February 27, 2007. hensive range of professional planning and design, 35 Consolidated Summary of Financial Statements systems engineering and technical assistance, 41 Reports of Management and program and construction management, and oper- Independent Registered Public YEAR ENDED YEAR ENDED TWO MONTHS ENDED Accounting Firm DECEMBER 29, DECEMBER 30, DECEMBER 31, YEARS ENDED OCTOBER 31, ations and maintenance services for transportation, 1 2003 44 Corporate Directory 1 1 (In thousands, except per share data) 2006 2005 2004 (Unaudited) 2004 2003 2002 facilities, environmental, water/wastewater, industrial ibc Corporate Information Operations: Revenues $ 4,240,150 $ 3,917,565 $ 566,997 $ 489,665 $3,381,963 $3,186,714 $2,427,827 infrastructure and process, homeland security, Costs and Expenses installations and logistics, and defense systems. (excluding Minority Interest) $ 4,041,101 $ 3,774,730 $ 564,714 $ 480,587 $3,280,719 $3,089,880 $2,336,716 Income Before Income Taxes $ 199,049 $ 142,835 $ 2,283 $ 9,078 $ 101,244 $ 96,834 $ 91,111 Net Income $ 113,012 $ 82,475 $ 1,163 $ 5,448 $ 61,704 $ 58,104 $ 55,171 Diluted Earnings Per Share $ 2.19 $ 1.72 $ .03 $ .16 $ 1.53 $ 1.76 $ 2.03 URS has approximately 29,300 employees in two divisions: the URS Division and the EG&G Division. Through our network of AS OF AS OF AS OF approximately 370 offices and contract-specific job sites across the DECEMBER 29, DECEMBER 30, DECEMBER 31, AS OF OCTOBER 31, 1 2003 U.S. and in more than 20 countries, we serve federal, state and 1 1 (In thousands) 2006 2005 2004 (Unaudited) 2004 2003 2002 local government agencies, as well as private industry and interna- Financial Position: tional clients in the chemical, pharmaceutical, oil and gas, power, Cash $ 89,502 $ 101,545 $ 108,007 $ 34,744 $ 69,267 $ 36,275 $ 32,785 Total Assets $ 2,581,029 $ 2,469,448 $2,307,748 $2,219,319 $2,275,045 $2,193,723 $2,251,905 manufacturing, mining and forest products industries. Total Debt $ 168,614 $ 318,560 $ 556,922 $ 830,581 $ 543,737 $ 812,593 $ 955,563 Preferred Stock $ — $ — $ — $ — $ — $ — $ 46,733 The URS Division provides the full range of services required to build, Stockholders’ Equity $ 1,506,687 $ 1,344,504 $1,082,121 $ 771,941 $1,067,224 $ 765,073 $ 633,852 maintain and improve infrastructure, including highways, bridges, mass transit systems, airports, ports and harbors, and water supply and wastewater treatment facilities, as well as healthcare complexes, schools and other public buildings. We provide planning and $113.0 engineering design services for new industrial infrastructure and $4,637* $1,506.7 $4,240 process facilities, as well as for the expansion and upgrade of existing $3,918 facilities. We also provide comprehensive environmental services $1,344.5 $82.5 to protect, preserve and restore our natural resources, including our $3,382 $3,187 $3,838* air, water and soil. $1,082.1 $3,823* $1,067.2 $2,428 $3,662* $3,633* $61.7 The EG&G Division supports various U.S. federal agencies, primarily $58.1 $55.2 $771.9* the Departments of Defense and Homeland Security. We assist $765.1 $2,828* in the development and deployment of new weapons systems, $633.9 2 months maintain and upgrade military aircraft and equipment, and operate 2 months and maintain military installations. Our services include training $567 $5.4* $490* pilots for the U.S. Armed Forces, providing technical assistance $1.2 URS Corporation’s 2006 Annual Report contains for global threat reduction programs and conducting homeland statements that are not historical fact and that may security preparedness exercises in communities throughout the U.S. constitute forward-looking statements involving ’02 ’03 ’04 ’03 ’04 ’05 ’06 ’02 ’03 ’04 ’03 ’04 ’05 ’06 ’02 ’03 ’04 ’03 ’04 ’05 ’06 ’02 ’03 ’04 ’04 ’05 ’06 risks and uncertainties, including statements about Oct Dec Oct Dec Oct Dec Oct Dec our future growth and future economic and business Headquartered in San Francisco, URS is a publicly held company conditions. Our actual results could differ materially Net Income Revenues Stockholders’ Equity Backlog listed on the New York Stock Exchange under the symbol URS. (In millions) (In millions) (In millions) (In millions) from those discussed in this Annual Report. Factors For more information about URS, please see our Annual Report on that might cause such a difference include, but are not limited to, those discussed under “Risk Factors” Form 10-K for the fiscal year ended December 29, 2006. 1 Effective January 1, 2005, we adopted a 52/53 week fiscal year ending on the Friday closest to December 31, with interim quarters ending on the Fridays closest to March 31, June in URS Corporation’s Annual Report on Form 10-K, 30, and September 30. We filed a transition report on Form 10-Q with the SEC for the two months ended December 31, 2004. Our 2005 fiscal year began on January 1, 2005 and which accompanies this Annual Report, and that ended on December 30, 2005. Cover: URS employees at the Federal Building Eastern District Courthouse, Brooklyn, New York also was filed with the Securities and Exchange Services: Construction Management *Unaudited Commission on February 27, 2007. Client: U.S. General Services Administration
  3. 3. CHAIRMAN’S LETTER To Our Stockholders: 2006 was an excellent year in place to support continued Another factor behind our private grew 7% in 2006, reflecting growth. sector business growth has been increased demand for the services for URS, marked by strong financial results and our success in positioning URS we provide to modernize and sustained growth in all of the market sectors we Our results would not be possible in high-growth markets. Over expand the country’s aging infra- without the dedication of our the past several years, we have structure. This spending has been serve. Revenues and net income were $4.2 billion more than 29,300 employees built a significant and growing accelerated by the federal high- and $113 million, respectively, the highest levels in worldwide, and I would like to emissions control business in the way funding law, SAFETEA-LU the Company’s history. We generated $165 million thank them for their hard work in power sector, and this business (the Safe, Accountable, Flexible, the past year. Our clients regularly continued to thrive in 2006. New Efficient Transportation Equity in cash from operations and paid down $150 million turn to URS for complex assign- air emission regulations, such Act: A Legacy for Users), which in debt. We also ended the year with a record ments because we have some as the Clean Air Interstate Rule, provides federal matching funds of the most talented professionals have established more stringent to state agencies for surface trans- $12.4 billion book of business. in their fields. environmental standards to portation projects. Another strong funding source has been, and will URS’ 2006 results demonstrate the success of likely continue to be, major bond 2006 Revenues by Client Type These results demonstrate the In addition, URS provides initiatives passed by voters to our business strategy. We achieved consistent and strength of the fundamentals engineering, facilities and envi- fund infrastructure improvement underlying our business, as well ronmental services at military reliable revenue and earnings growth, generated 45% U.S. Federal programs. In November 2006, as our success in building a bases worldwide, and during the Government strong cash flow and grew the business in each voters in 19 states approved a company with the service offer- 2006 fiscal year, we were suc- 22% U.S. State and record level of $68 billion in ings, scale and geographic cessful in leveraging our broad of the market sectors we serve. Local Governments new bond issuances. reach to capture new growth range of capabilities and increased 23% Private Industry Accordingly, this year’s annual reduce harmful sulfur dioxide opportunities. scale to win large, bundled con- 10% International report, entitled Our Foundation emissions. URS is helping utilities Our financial results also reflect tracts with the DoD. Many of for Success, is dedicated to the comply with these new regula- a marked recovery in our private these contracts support long-term Through our two operating employees of URS. In the sub- tions by retrofitting coal-fired sector business, which grew DoD initiatives, such as the divisions, the URS and EG&G sequent pages, we have profiled power plants with flue gas desul- 13% in 2006, after a year of flat current Base Realignment and Divisions, we provide a broad some of the extraordinary work furization scrubbers that reduce revenues in 2005. We benefited Closure (BRAC) program. This range of engineering and tech- being performed by our employ- these emissions. from our strategy of building program is designed to reorganize nical services in the U.S. federal ees. I encourage you to read long-term strategic partnerships, the DoD base structure and government, state and local these stories and learn more In summary, the Company’s or Master Service Agreements upgrade facilities to more effi- government, private industry and about our professionals and why 2006 results demonstrate the (MSAs), with leading multina- ciently support the U.S. Armed international sectors—each we are a recognized leader in success of our business strategy. tional corporations. These MSAs Forces and adapt to changing contributing to our strong growth the engineering and technical We achieved consistent and have allowed us to capture military priorities. We also expe- in the past fiscal year. The federal services market. reliable revenue and earnings increased capital spending in the rienced increased demand for government sector was a major growth, generated strong cash private sector, resulting from favor- the services we provide to driver for our business in 2006, Finally, I would like to thank our flow and grew the business in able economic conditions. For the Department of Homeland increasing 7% over 2005. We clients and stockholders for their each of the market sectors we example, during 2006, we won Security to support disaster continued to benefit from a continued confidence in URS. serve. Since 2002, the year we a number of new assignments preparedness and emergency high level of demand for our We look forward to updating you acquired EG&G, we also have as leading oil and gas companies response programs in communi- outsourced operations and main- on our progress in 2007. paid down more than $780 reinvested record profits in ties throughout the U.S. tenance services to maintain million in debt, lowering our debt refinery upgrades, environmental and upgrade military aircraft to total capitalization ratio from controls, and remediation and and ground vehicles for the In the state and local government 58% to just 10%. Looking ahead, pipeline projects. At the same Department of Defense (DoD). sector, we benefited from a high I am optimistic about our pro- time, our MSAs have enabled Revenues also remained strong level of infrastructure investment spects. We expect the favorable us to support multinational clients from our systems engineering across the U.S., particularly for business trends we experienced Martin M. Koffel on projects outside the U.S. and and technical assistance services transportation, public building in 2006 to continue in the Chairman and were a key contributor to the to develop, test and evaluate and school investment programs. coming year, and we have the Chief Executive Officer growth we experienced in our weapons systems. Our revenues in this market management team and systems international revenues last year. 3 4
  4. 4. A TRANSPORTATION MILESTONE IN THE NATION’S CAPITAL URS EMPLOYEES, PICTURED LEFT TO RIGHT: Joy Jones Mike Bonin Steve Matty Ron Fletcher Srinivas Gunna Marta Alonso David Tackoor Nick Chow Siva Kesavan Yacob Petros Alex Lee Mike Baker David Dobbeck Robert Sebkarshad ▼ 5
  5. 5. WOODROW WILSON BRIDGE, WASHINGTON, DC The Woodrow Wilson Bridge provides a vital link across the Potomac River for commuters traveling from Maryland and Virginia to the nation’s capital. Long considered one of the worst traffic bottlenecks in the country, the entire 7.5-mile corridor was in need of a major overhaul. URS, as part of a joint venture, is serving as the general engi- neering and environmental consultant for this $2.4 billion reconstruction project. When the first of two new bridge spans was dedicated in May 2006, it marked a major project milestone and was the first step in improving traffic flow along this busy corridor. Completed in 1961, the original four- “As part of the project’s environ- lane bridge was designed to carry mental program, URS facilitated 75,000 vehicles per day across the the recycling of the old bridge’s Potomac River. However, at its peak, building materials to create reefs travel demand reached 200,000 that improve the fish habitat in vehicles per day—nearly three times Chesapeake Bay,” notes Environ- the design capacity. When the second mental Manager Mike Baker. Another span opens, the new bridge will effort to remove barriers to fish accommodate 12 lanes of traffic. migration won an American Road & Although the bridge is the centerpiece Transportation Builders Association’s of the reconstruction, the project Globe Award in 2006. “To help includes four major interchanges. As wildlife continue to thrive in close “The Woodrow Wilson Bridge is an impressive the general engineering consultant, proximity to the bridge, an 84-acre URS is responsible for design and parcel along the Potomac was donated new landmark for the nation’s capital. Everyone construction oversight, coordina- to the National Park Service as a on the URS team welcomed the opportunity tion between multiple jurisdictions bald eagle sanctuary,” Mike adds. and agencies, and the public out- to contribute to such an important and high- reach program. The opening ceremony included a fly- profile project.” over by the Navy’s “Blue Angels,” a A project of this scale and complexity brass band fanfare and guest officials Mike Bonin, Hunt Valley, Maryland (pictured right) offers numerous technical challenges crossing the bridge in President and opportunities to develop innova- Woodrow Wilson’s 1923 Rolls Royce. with Mike Baker, Hunt Valley, Maryland tive techniques. Over the summer of “We mobilized more than 400 URS 2006, two stages of carefully choreo- employees from 20 offices, who have graphed traffic realignments shifted collectively contributed to the success traffic onto the first new bridge span. of the project,” notes Mike Bonin, Immediately thereafter, URS coordi- URS’ Chief Engineer for the new nated a series of dramatic explosive Wilson Bridge spans. “URS is one of detonations to demolish the old the few firms with the resources and bridge and clear a path for construc- expertise to handle a mega-project tion of the second span. of this size.” 5
  6. 6. UPGRADING FACILITIES FOR A MILITARY SCHOOL DISTRICT URS EMPLOYEES, RIGHT SIDE LEFT SIDE PICTURED CLOCKWISE PICTURED CLOCKWISE FROM BOTTOM: FROM BOTTOM: Monika Beckmann Melanie Glanert Sabrina Haubold Volker List Till Utermoehlen Hendrik Krauss Hilde Utermoehlen John Huhtala Albin Toth Michaela Pfeiffer Brian Osborn Christian Kunz ▼ 6
  7. 7. DEPARTMENT OF DEFENSE DEPENDENTS SCHOOLS, KAISERSLAUTERN DISTRICT, GERMANY The thousands of U.S. service men and women stationed overseas are expected to perform to the highest standards, and they deserve the best when it comes to educating their children. That means more than just providing dedicated teachers; it means having well-maintained, technologically up-to-date schools and being adequately prepared to handle projected student enrollment. The Department of Defense performed asbestos remediation Dependents Schools (DoDDS), a before completely gutting the building. civilian agency under the U.S. DoD, Next, floors, ceilings, plaster, piping, is responsible for operating K–12 electrical wiring, heating and water schools in Europe and the Pacific supply systems all were replaced, and for the children of U.S. military and new built-in furniture was installed. other government personnel. With Classes began as scheduled, despite more than 6,000 students in 25 the broad scope of the work. schools, the DoDDS Kaiserslautern District is the largest DoDDS district Earning the highest rating from DoDDS outside the continental U.S. Several for this project, URS then was asked of the district’s schools are located to renovate a middle school and at Ramstein Air Base, which serves playgrounds and to modernize a high as headquarters for the U.S. Air school sports stadium. The stadium’s Force in Europe and is a major infrastructure was upgraded to NATO installation. include a new running track, a lawn- watering system, lighting and In Kaiserslautern, Germany, URS is bleacher seating for 1,000 spectators. helping DoDDS upgrade school facil- “URS was involved in every aspect ities and plan for the future. “We of both projects, from facility assess- completed our first project with the ments and planning to design and Kaiserslautern District in 2004, and construction,” says Till. “We did it all.” we have been working together ever “With help from URS, the children of U.S. since,” says URS Project Manager Recently, URS completed a major military personnel will have access to modern, Till Utermoehlen. “URS has provided facilities evaluation and master plan design, environmental and construc- to aid the Kaiserslautern District well-equipped schools while their parents tion services for school modernization in its future planning. “The project are on assignment in Germany. We are proud projects worth millions of dollars.” demonstrates our growing partner- ship with DoDDS,” says Till. “As the of our contributions to this effort.” URS’ first assignment for the district district fulfills its mission to provide was the complete renovation of a educational programs that inspire Till Utermoehlen, Kaiserslautern, Germany 50-year-old elementary school at and prepare students for success Ramstein, which had to be completed in the global environment, the master on an extremely tight schedule during plan will be key to the district’s the three-month summer break. URS planning for long-term growth.” 7
  8. 8. A STATE-OF-THE-ART SUBMARINE FOR THE 21 ST CENTURY URS EMPLOYEES, PICTURED LEFT TO RIGHT: Bill Fatek Debbie Phelps Bill Swanson Gene Parkos Marcus Burrell ▼ 8
  9. 9. THE U.S. NAVY’S VIRGINIA CLASS SUBMARINE PROGRAM When the first Virginia Class submarine recently joined “EG&G has been working on the Virginia Class the U.S. Navy’s fleet, it was the successful culmination since the program began in 1992. We are of years of hard work—work that began in the early honored to be assisting the Navy with the 1990s with the help of URS’ EG&G Division. The first development of the most advanced submarine advanced nuclear submarine designed for post-Cold War in its fleet.” missions, the Virginia Class submarine far surpasses the performance of its predecessors and is a major asset Marcus Burrell, Washington, DC in the War on Terror. EG&G has a 45-year history of sup- aged by totally integrated teams for porting the Navy’s nuclear submarine maximum efficiency. As a result, the force, which dates back to the time Virginia Class submarines are being of the first nuclear submarine, the delivered closer to the estimated deliv- USS Nautilus (pictured). EG&G ery date than any other shipbuilding assists in all phases of combat system program in the Navy’s history. development—from preparing budg- ets for the Department of Defense, The modular design, open architec- to testing and installing sophisticated ture and use of commercial off-the- combat systems, and performing shelf equipment allow for the easy quality assurance, training and start- replacement of technologies and up services. components throughout the life of the submarine. Hardware and software “We are the Navy’s primary outside upgrades for fire control, navigation, provider of professional support serv- electronic warfare and communica- ices to the Virginia Class submarine tions can be added quickly and at program office and the Navy ship- significantly lower cost, thus meeting yards where the vessels are built,” the continuous improvements man- says EG&G Program Manager Marcus dated by the U.S. Congress for Burrell. “Currently, we have a team the Virginia Class. This flexibility is of highly skilled engineers and tech- a major advantage over previous nicians working on-site every day submarine classes. at the Groton, Connecticut, shipyard, as part of the Navy’s integrated Of the first ten ships funded in the submarine development process.” Virginia Class program, two have joined the fleet, the third will soon be Revolutionary design and construc- commissioned and the fourth is under tion practices are being used in this construction. Able to move faster submarine program. The Virginia than predecessor submarines and Class submarines are the first to be equally effective in coastal waters or completely designed with advanced the open sea, the Virginia Class computer technology, the first to submarines are designed to meet the Navy’s evolving role in the 21st make use of innovative modular construction techniques for utmost century, both efficiently and affordably. flexibility, and the first to be man- 9
  10. 10. MODERNIZING A VALUED COMMUNITY RESOURCE URS EMPLOYEES, PICTURED LEFT TO RIGHT: Ross Pouley Joyce Hsia Roy Smith Bob Carns ▼ 10
  11. 11. THE KING COUNTY LIBRARY SYSTEM IMPROVEMENT PROGRAM, KING COUNTY, WASHINGTON Like most major libraries, the King County Library System (KCLS) in Washington State is being challenged to meet the expanding and evolving needs of its patrons and the increasing demand on library resources. In the past decade alone, library use has increased 40 percent, while existing facilities have aged and maintenance costs have escalated. Today, KCLS is the second busiest library system in the country, circulating more than 19 million books, magazines, DVDs and other materials each year. In 2004, King County voters approved open to cost-saving contractual and a $172 million capital bond measure project delivery approaches.” to modernize, upgrade and expand KCLS’ facilities to help keep pace with One approach was to bundle smaller demand, meet community needs projects together to take advantage and effectively prepare the library of the state’s design-build contracting system for the next decade. Planned option for projects of more than improvements include renovating $10 million. With design-build, a and expanding 33 existing branches single contractor is responsible and constructing 10 new libraries. for the design and construction of Embarking on the largest capital a project. Another cost-saving improvement program in its history, approach has been to pursue public- KCLS turned to URS for help. private partnership arrangements to co-develop large properties that URS is providing program manage- can support both a library and a ment assistance, including the mixed-use, residential or retail devel- development of program protocols opment. This is a groundbreaking and procedures, an overall project venture for the library system, reflect- schedule and financial projections. ing its creative, entrepreneurial spirit. The work also includes assisting in design and contract negotiations and Despite the ambitious project scope providing day-to-day oversight of indi- and rising construction costs, URS’ vidual projects for KCLS. program and construction manage- “URS’ role in helping the King County Library ment expertise is keeping the KCLS’ System expand and modernize its facilities “One of our biggest challenges is building program on track. To date, dealing with the market-driven esca- 13 projects are in various stages of will have a positive and lasting impact on many lation of construction costs,” says design and construction. Says Ross, cities and towns in western Washington.” Program Manager Ross Pouley. “Since “KCLS management relies on us to the bond measure passed several implement the financial, contractual years ago, we have seen double-digit and physical aspects of construc- Ross Pouley, Seattle, Washington increases in the costs for steel and tion, so they can focus on what they other building materials. So, construc- do best: run one of the busiest and tion dollars don’t buy as much as most advanced library systems in they used to. Fortunately, KCLS was the country.” 11
  12. 12. OUR PEOPLE: THE KEY TO OUR SUCCESS JOHN HUHTALA MARTA ALONSO PROJECT MANAGER ENGINEER-IN-TRAINING, PERMIT MANAGER KAISERSLAUTERN, GERMANY HUNT VALLEY, MARYLAND While he was growing up, John Huhtala’s family Some people take their time choosing the direction moved several times, requiring him to attend of their life’s work. Not Marta Alonso. From an different schools. As a result, he easily acclimated early age, she excelled at math and science and to new situations. That pattern has continued wanted to follow in her father’s footsteps as an throughout his ten-year career at URS, as he has engineer. She spent the summer between college eagerly embraced new challenges. Starting out in and graduate school as an intern working on the URS’ Grand Rapids, Michigan, office, John has Woodrow Wilson Bridge. That experience helped welcomed the chance to work overseas on cement her career choice. numerous projects, beginning as an estimator in Saudi Arabia. Once she earned her master’s degree from Johns Hopkins University, Marta knew she wanted to John approaches each new project with anticipa- work at URS. She says, “I had a civil engineering tion, but never more so than when it provides background, with an interest in environmental exposure to a new culture. He says, “URS is a compliance. Interning at URS provided me with company rich in opportunity, and I am a prime exposure to the practical aspects of my studies example of someone who has taken advantage and the reality of environmental consulting. The of those opportunities. I have always been Company has an excellent reputation in the envi- encouraged to try new things.” ronmental and engineering industries.” Reflecting on how much he enjoyed working on Marta was hired by URS immediately upon a short-term assignment in Germany during the earning her master’s degree, and her career is renovation of a sports stadium, John pursued per- showing signs of great promise. She was recently manent reassignment overseas. Now that he and selected as one of the 2007 New Faces of Civil his family have settled, they are all reaping the Engineering by the American Society of Civil benefits. “The work is fantastic, and an added Engineers. Since starting at URS in 2003 as an plus is the experience this provides for my kids. Environmental Engineer, Marta already has been We live in a global society, and the exposure to promoted once and is now the Permit Manager other cultures is invaluable,” says John. with the Environmental Compliance team. She sees the potential for further career opportunities. John has helped build a small practice into a “I have exposure to so many aspects of environ- much larger office in Kaiserslautern and has mental management and training here that would enjoyed getting involved in different aspects of be difficult to match elsewhere. I work with a the business. In addition, he also benefits from team of people who are the best in their fields and the different perspectives of his international I learn from them every day,” she explains. colleagues from continental Europe and the U.K. It not only helps him on the job, but also enriches Thanks to a program initiated by Marta, people are his life. John says, “I’ve added to my experience learning from her as well. She teaches Spanish by working with people who have an amazing to inspectors, with an emphasis on construction- knowledge base.” related terms to enhance safety on the Woodrow Wilson Bridge project. She is delighted that her As for the future, John looks forward to new career job at URS benefits her hometown. She says, “It’s challenges, saying, “It is all here for me at URS.” rewarding to work on a project that has a direct, positive impact on the city where I have lived for the past 20 years.” 12 13
  13. 13. REHABILITATING FLOOD CONTROL SYSTEMS URS EMPLOYEES, RIGHT SIDE LEFT SIDE PICTURED CLOCKWISE PICTURED CLOCKWISE FROM BOTTOM: FROM BOTTOM: Kristi Dauth Frank Lawler Elizabeth Lowrey Brian Merceron Katrinna Durbin Bruce Lelong Harry Harlan Sandra Dave Silas Cunningham Doree Magiera Barry Fehl Mike Housey Ryan Koenig Matt Lee Mike Patorno Bruce Adams Gurkan Ozgurel Ariel Buenano John Gribar Paul Barras (center) ▼ 14
  14. 14. LEVEE EVALUATION AND REPAIR PROJECTS, LOUISIANA AND CALIFORNIA Although Hurricane Katrina made landfall in New Orleans on August 29, 2005, the worst damage occurred as flood waters poured through the city’s breached levees. Eighty percent of the city was flooded—with many areas under 12 feet of water. To restore New Orleans’ battered flood protection system, the U.S. Army Corps of Engineers established Task Force Guardian and called on URS to provide design and construction services for 29 projects. The restoration moved at an extraordi- risk is the Sacramento-San Joaquin nary pace. URS mobilized employees Delta in California’s Central Valley, from around the country to work with where levees protect 2.5 million resi- our New Orleans-area staff—many dents, more than two million acres of whom had suffered personal and of cultivated land and the fresh property losses in the storm. The water supply for two-thirds of the repairs, which totaled $250 million, state’s population. were completed in just nine months. In 2006, following sustained heavy “The Corps highly commended our rainfall and runoff, the governor work, presenting URS with a specially declared a state of emergency for designed medal for outstanding California’s levee system and directed achievement,” says URS Project the Department of Water Resources Manager Mike Patorno. Noting the (DWR) to complete fast-track repairs dedication of his colleagues who of the damaged, eroding levees. “Those of us who experienced the devastation worked diligently to complete the work of Hurricane Katrina firsthand understand the prior to the next hurricane season, The DWR selected URS to plan, he added, “Many of us believed this design and manage construction for importance of repairing the country’s aging was the most important work we the massive program, which is levee infrastructure. URS has the resources would ever do during our careers.” being funded by $4.9 billion in flood- protection bond money authorized and expertise to get the job done.” Based on the success of Task Force by California voters. In 11 months, Guardian, URS continues to work more than 250 URS employees Mike Patorno, Metairie, Louisiana on the rehabilitation of 25 miles of completed 53,000 linear feet of crit- levees, floodwalls and structures ical levee repairs, with additional for the New Orleans Corps’ Hurricane repair projects planned in 2007. But, Protection Office. The Corps’ Risk the potential for levee failure is not Assessment Task Force for Dams and just a problem in Louisiana and Levees also has asked URS to California. Thousands of communities help develop procedures to evaluate nationwide depend on flood control 13,000 miles of levees nationwide. systems. As other areas assess the condition of these systems, URS’ The devastation in New Orleans expertise restoring and repairing aging has prompted other states to evaluate levees is helping to prevent another their levee systems. One area at disaster of Katrina-like proportions. 15
  15. 15. TRAINING THE NEXT GENERATION OF HELICOPTER PILOTS URS EMPLOYEES, BACK ROW: FRONT ROW: Frank Wynne Bob Price Pat Pestotnik Lisa Bailey Al Cooper Bob Beaman Jerry Ogles Betsy Flinn Bob Barnes Joe Rallo Sam Denton Dave Van Conant Bill Pruitt Howard Tatum Butch Faust Mike Babb ▼ 16
  16. 16. U.S. ARMY FLIGHT SCHOOL, FORT RUCKER, ALABAMA When images of American military helicopters on combat missions are shown on television news programs, it is likely that the pilots were trained by instructors from URS’ EG&G Division. EG&G serves as the flight trainer at the U.S. Army Aviation Warfighting Center’s Flight School, located at Fort Rucker, Alabama, the largest heli- copter training school in the world. At any given time, as many as 120 transport and sophisticated combat helicopters can be seen in the sky operations. To help them prepare over the Fort Rucker area, as flight for the perils of battle, our flight instructors train the next generation instructors incorporate real-life lessons of military helicopter pilots. More than learned from military missions. 400 EG&G instructors—most of whom have military backgrounds and Student pilots also are required to are combat veterans—provide rotary complete rigorous water survival flight training to approximately 1,200 training to prepare for an overwater young men and women annually. ditching emergency. Training begins in the classroom, but the real action Since 1989, EG&G has led more takes place in a pool equipped than 20,000 Army, Air Force and with a state-of-the-art helicopter allied student pilots through months simulator dunker. of intensive instruction. Most have never flown before. From aviation Used for Helicopter Overwater theory and simulation instruction to Survival Training (HOST), the dunker actual flight training, students at helps pilots learn how to swim out Fort Rucker are thoroughly prepared of a sinking aircraft in a real-time for successful careers as certified situation. “Once they complete this military aviators. In addition to training phase of their training, the students student pilots, EG&G conducts are prepared to survive an aircraft graduate-level programs for experi- ditching, although we hope they enced aviators. never have to,” says HOST Program “Rigorous flight training is essential, Manager Ron Sanders. particularly since today’s graduate Today, many new military aviators will be deployed on missions in “We take great pride in being role pilots may need to immediately dangerous, high-risk situations shortly models for our students and setting undertake dangerous missions.” after graduation. They will fly some of the standard for excellence in Army the most technologically advanced aviation,” says EG&G Program Chuck Gant, Fort Rucker, Alabama rotary wing aircraft anywhere— Manager Chuck Gant. “The men Apaches, Black Hawks, Chinooks and and women who serve in our Kiowa Warriors—for reconnaissance, Armed Forces deserve nothing less.” 17
  17. 17. AN ECOLOGICALLY SENSITIVE APPROACH TO ROADWAY DESIGN URS EMPLOYEES, MIDDLE ROW PICTURED FRONT ROW PICTURED LEFT TO RIGHT: LEFT TO RIGHT: Jayesh Narsey Noel Nancekivell Jay Riechelmann Karen Wilson Andre de Groot Amelie Fillion Dean Sykes Ross Sharp Indra Gyawali BACK ROW PICTURED LEFT TO RIGHT: Peter Lipscombe Murray Addis Brent England Meagan Stewart Steve Drury ▼ 18
  18. 18. NORTHERN GATEWAY ALLIANCE ALPURT B2 PROJECT, NORTH ISLAND, NEW ZEALAND Living within a rugged terrain of forests, clean rivers, unspoiled beaches and native flora and fauna not found elsewhere, New Zealanders are committed to preserving their unique environment. That’s why the country’s “Designing ALPURT B2 has been one of the newest and largest transportation project ever—a $365 greatest challenges of my career. We have gone million, 4.7-mile highway extension north of Auckland— far beyond what we initially thought possible, has been designed with a major ecological and environ- setting new industry standards for environ- mental focus that does just that. mentally sensitive engineering.” Noel Nancekivell, Auckland, New Zealand Despite concerns about aesthetics only preserve native trees and and potential environmental impacts, streams, but also provide a corridor there was no question that a modern for wildlife to travel safely beneath highway was needed to improve the new highway. north-south travel from greater Auckland—the largest urban area in The completed highway will feature New Zealand. Every business day, other innovative elements, including workers from north of the city com- two 1,245-foot tunnels as an alterna- mute to downtown Auckland, tive to making deep cuts through the often enduring long travel times on steep terrain. The tunnels will have the existing two-lane, winding road. a sophisticated deluge fire-suppression system, a first for New Zealand. The project presented some unique In addition, stormwater falling on design challenges for URS—the pavement and bridges along the lead engineering design partner of highway will be collected and treated the Northern Gateway Alliance. The before being discharged into water- alliance is responsible for building ways to prevent contaminants from the highway realignment, known as entering the natural environment. ALPURT B2, starting north of Once construction has been com- Auckland in Orewa to the town of pleted, an ambitious project to Puhoi. “The project traverses areas revegetate one million native plants that are historically rich and diverse, also will help restore the region to containing steep topography, large its natural condition. tracts of native bush, streams and estuaries, and pastoral farmland,” “This is one of the most complex and says URS Project Manager Noel innovative engineering assignments Nancekivell. URS has ever undertaken in New Zealand,” says Noel. “Our vision is URS staff participating in the alliance to create a showcase of environmental designed numerous structures, includ- and engineering excellence. We ing six bridges that will help maintain think that vision has been realized, the ecological balance in sensitive and that ALPURT B2 will serve as areas. Two of the bridges will be a model for future transportation “eco-viaducts” built high above the projects throughout the country.” treetops. These structures will not 19
  19. 19. A PARTNERSHIP IN ENVIRONMENTAL RESPONSIBILITY URS EMPLOYEES, PICTURED LEFT TO RIGHT: Daniel Banaszek Melodie Cole Jerome Von Hatten Shaik Quadri Ken Kastman ▼ 20
  20. 20. UNITED STATES STEEL CORPORATION ENVIRONMENTAL ALLIANCE Steel is an essential part of modern society. From auto- mobiles, appliances, canned foods and residential housing, to tubular products used for the exploration and distribution of oil and natural gas, we depend on steel products every day. Much of that steel is produced by industrial giant United States Steel Corporation. U. S. Steel was founded more than a century ago—long before the environmental impacts of industrial processes were understood or regulated. Today, one of the challenges associ- in addressing past waste disposal ated with operating heavy industrial issues by investigating and identifying facilities is complying with modern areas potentially requiring remedia- environmental regulations while tion. We also design and monitor remaining competitive in the global groundwater remediation systems,” marketplace. In 1997, U. S. Steel says URS Project Manager Shaik chose URS as an environmental Quadri. “U. S. Steel’s Gary Works is alliance partner to help meet this one of our major Chicago-area clients, challenge. and we are proud to have been working at this site over the past “As part of URS’ long-standing relationship with With more than a dozen steel manu- ten years.” U. S. Steel, we have been supporting its facturing and finishing facilities in the United States and Eastern Europe, “Teams of URS engineers, scientists environmental program in Gary, Indiana, and U. S. Steel is the largest integrated and technicians work side by side at multiple sites across the country.” steel manufacturer headquartered in with U. S. Steel’s environmental the United States and the seventh staff at most of the company’s oper- largest steel producer in the world. ating facilities and at many of its Shaik Quadri, Chicago, Illinois U. S. Steel has spent millions of dol- former manufacturing sites,” says lars on the improvement and cleanup Bob Doyle, URS National Program of its own industrial sites, as well as Manager for U. S. Steel projects. those acquired from former owners. “We also provided environmental due diligence support for U. S. Steel’s Over the years, URS teams have acquisition of National Steel’s assets helped the company manage its in 2003, as well as for the potential environmental program—performing purchase of facilities overseas.” hundreds of projects, ranging from addressing wastewater treatment With hundreds of offices throughout issues to cleaning up residual wastes. the world, URS can provide compre- One such project is at U. S. Steel’s hensive environmental services to largest U.S. facility—Gary Works, in multinational clients at multiple Gary, Indiana. locations, whenever and wherever we are needed. “URS’ on-site project team at Gary Works primarily assists U. S. Steel 21

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