Press Release

HOUSTON - March 31, 2016 - KBR, Inc. (NYSE: KBR) announced today it has been awarded a license and basic engineering design contract for the revamp of a Fluid Catalytic Cracker (FCC) unit with MAXOFIN technology. The project was awarded by a confidential client and is located in Shandong Province in China.

Under the terms of the contract, KBR will provide the licensing package for the MAXOFIN conversion. MAXOFIN technology, developed by KBR, enables upgrade of existing FCC units to produce higher amounts of propylene, an important petrochemical feedstock, while still retaining the flexibility to produce more gasoline when market demand or prices are favorable.

John Derbyshire, President of KBR Technology & Consulting, said, "This project demonstrates our commitment to deliver innovative technologies that help the client meet their performance objectives."

"MAXOFIN technology is a flexible option to help clients increase their propylene production without major grassroots capital investment," continued Derbyshire.

KBR has been an industry pioneer in FCC technologies. KBR developed the world's first FCC commercial unit in 1942, and has executed over 120 FCC projects globally. In addition to conventional FCC technology, KBR also offers KBR MAXDIESELª technology that increases diesel yield from FCC VGO stream and several other FCC configuration options.

The value of the contract was undisclosed and was booked into the backlog of unfilled orders for KBR's Technology and Consulting division in Q4 of 2015.

About KBR

KBR, Inc. is a global technology, engineering, procurement and construction company serving the hydrocarbons and government services industries, employing approximately 22,000 people worldwide with customers in more than 70 countries and operations in 40 countries across three distinct global businesses:Technology & Consulting, including proprietary technology in refining, ethylene, ammonia and fertilizers, and gasification; and niche consulting and know-how through subsidiaries Granherne, Energo and GVA. Engineering & Construction, including Offshore Oil & Gas; Onshore Oil & Gas; LNG/GTL; Refining; Petrochemicals; Chemicals; differentiated EPC, and Industrial Services. Government Services, including program management and long term annuity contracts

KBR is proud to work with its customers across the globe to provide technology, value-added consulting services, integrated EPC delivery and Long Term Industrial Services to ensure consistent project delivery with predictable results. At KBR, we deliver.

Visit www.kbr.com.

Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

For further information, please contact:

Investors
Zac Nagle
Vice President, Investor Relations
713-753-5082
[email protected]

Media
Marit Babin
Director, Global Communications & Government Relations
713-753-3800
[email protected]