Warwick’s CME Corp. wins $49.5M contract with Pentagon

CME CORP., formerly known as Claflin Medical Equipment, signed a five-year $49.5M contract with the U.S. Department of Defense./ COURTESY CME CORP.

WARWICK – Medical-product distributor CME Corp. has signed a five-year, $49.5M contract with the U.S. Department of Defense.

The contract with the Defense Logistics Agency within DOD will make thousands of medical products available to a wide range of military services, including the Army, Navy, Air Force and Marine Corps, in addition to the Veterans Administration and Indian Health Services, an operating division of the U.S. Department of Health & Human Services, CME said on Tuesday.

“CME’s unrivaled array of products and services ensures that our partnership will benefit all parties during this time of unparalleled need and beyond,” said CME President Normand Chevrette. “As the pandemic continues, we will be here to lend a hand through the DOD to all of our military men and women, to whom we are so grateful.”

DLA’s Support Troop Medical supply chain, which awarded CME’s contract, developed the Electronic Catalog, also known as ECAT, to streamline its business practices and procurement options. The ECAT helps order, distribute and handle payments for the Pentagon and other federal agencies to access manufacturers’ and distributors’ commercial catalogs at a discounted price, according to DLA’s website.

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This contract will feature 10 different manufacturers that CME supports, which supply a total of 7,508 products to CME on a regular basis. Surgical scrub sinks, surgical free- standing tables or cabinets, utility tables, wheelchair scales, powered exam tables, medical carts, IV stands and instrument tables are among some of the product offerings.

The contract is in addition to another five-year DOD contract CME signed in 2018 for $16.27M. In late June of this year, CME reported a 60% increase for their second quarter earnings and is growing its workforce by 10% after doubling it since 2015, according to CME spokesman Gary Hanauer.

“We are pleased to announce this landmark contract, which comes at a time when critical medical products are not only needed to fight COVID-19 but also to prepare for future emergencies,” said CME Government Sales Manager Bob Charron. “Our team is standing by America during this critical juncture. We continue to be ready at a moment’s notice to provide whatever assistance is needed.”

Cindy Juhas, CME’s chief strategy officer, said the distributor has approximately 200 employees, including 13 hired over the past year.  She said more will be hired because of the new contract.

Alexa Gagosz is a PBN staff writer. Contact her at Gagosz@PBN.com.

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