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CIA cancels Blackwater drone contract

WASHINGTON, Dec. 12 (UPI) -- The CIA has canceled a secret contract with the U.S. security company formerly called Blackwater Worldwide, an agency spokesman says.

CIA spokesman George Little said the contract, which allowed the company's private security guards to load bombs onto CIA drones used to kill militants in Pakistan and Afghanistan, was canceled this year by agency Director Leon Panetta, The New York Times reported Saturday.

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The newspaper in August revealed the existence of the contract with the company, now called Xe Services, as an example of the extent to which the CIA has outsourced critical jobs to private companies since the Sept. 11, 2001, terrorist attacks.

Little told the Times CIA employees have now taken over the bomb-loading duties from Xe/Blackwater. "At this time, Blackwater is not involved in any CIA operations other than in a security or support role," Little said.

The Times reported Friday Blackwater employees had joined CIA agents in secret "snatch and grab" operations in Iraq and Afghanistan.

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