Soon after National Security Agency whistleblower Edward Snowden revealed himself Sunday, his employer, the government consulting firm Booz Allen Hamilton, released a statement labeling the leak "a grave violation of the code of conduct and core values of our firm."
The reason the company was so quick to distance itself from Snowden likely revolves around its close ties to the U.S. federal government. Roughly 99 percent of Booz Allen's revenue comes from the federal government, CNNMoney reports, and the company earned roughly $3.8 billion in government contracts as of 2012, according to Washington Technology, a trade publication for government contractors. Only seven companies garnered more money in government contracts that year.
Booz Allen declined to comment for this story.
Booz Allen's profitable relationship with the government is dependent on the company's ability to handle sensitive government information. A securities filing revealed that nearly half of the firm's 25,000 employees have access to information that would cause "exceptionally grave damage" to national security if leaked, according to the New York Times.
Booz Allen's stock price took a beating early Monday following Snowden's revelation:
That's in noticeable contrast with the company trends of the past few months:
Defense contractors like Booz Allen profited greatly in the wake of 9/11 as the role of private companies in U.S. national security expanded. Other companies, including Lockheed Martin Corporation and Northrop Grumman Corporation, have grown so large they make Booz Allen look small by comparison.
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