Basically, Kellogg Brown & Root got the job of cleaning up Iraq.
The gun owners, including contract workers for Kellogg Brown & Root, were fired.
Kellogg Brown & Root, in turn, contracted with the Kuwaiti company to handle some of the work.
Kellogg, Brown & Root replaced some senior managers but the government remains dissatisfied, the report says.
The money represents about 15 percent of an open-ended contract with the subsidiary, Kellogg Brown & Root.
Kellogg Brown & Root would handle the requisitioning of equipment and some of the engineering.
Kellogg Brown & Root typically contracts with local companies for much of the work.
Kellogg Brown & Root said it had served more than 50 million meals to soldiers in the last year.
Kellogg Brown & Root alone has lost 46 employees in the conflict over all, including 16 truckers.
Kellogg, Brown & Root builds military bases, the official said, "and they're taking the lead in that."