Lockheed Martin secures multi-year electricity contract using World Energy 's reverse auction platform

June 6, 2003 - Lockheed Martin used World Energy’s reverse auction platform to secure a fixed rate electricity contract for 30 months, defending against hourly price volatility for its Naval Electronics & Surveillance Systems business in Moorestown, N.J.

“Our customers rely on us to deliver quality products and servicesat agreed-upon prices,” said Steve Silberstein, Lockheed Martin’s Facilities Engineering procurement manager in Moorestown. “Reverse auctions are a valuable tool to keep costs down on a variety of products, and insulating ourselves against volatile electricity costs is a major factor in creating efficiency and value for our customers.”

World Energy pitted four suppliers in a competitive forum to bid for Lockheed Martin’s business. In the span of three hours, these suppliers bid 37 times, lowering the final price more than 15 percent. Once the auction was over, World Energy performed a sophisticated analysis confirming that Lockheed Martin should lock in this competitive, firm fixed price through January 2006.

“We are pleased to have done such a good job for Lockheed Martin in New Jersey. They are a premier client that helped establish us in the New Jersey market,” said Richard Domaleski, president of World Energy Solutions. “In our current volatile electricity market, we are ready to support large and small businesses with their energy needs.”