Naval Sea Systems Command (NAVSEA) awarded two AN/SPY-1D(V) contracts worth a combined $434 million to Raytheon [RTN] and Lockheed Martin [LMT] this week.
On Monday, the Navy awarded Raytheon a $366 million fixed-price-incentive contract to produce Aegis Weapon System (AWS) AN/SPY-1D(V) transmitter equipment, and missile fire control system MK 99 equipment for the U.S. (17 percent), South Korea (50 percent), and Japan (33 percent).
The U.S. Navy uses the AWS for integrated air and missile defense (IAMD) capabilities on its Arleigh Burke-class (DDG-51) guided missile destroyers and select Ticonderoga-class guided-missile cruisers.
The contract includes options that could raise the total value to $423 million. Work will mostly occur in Andover and Marlborough, Mass., and is expected to be finished by October 2022. Funding is coming through FY ’16 shipbuilding and conversion and Foreign Military Sales (FMS) accounts, with the initial value obligated at time of award.
Relatedly, on Tuesday NAVSEA awarded Lockheed Martin a $68.5 million firm-fixed-price modification to support the continuing restoration of the damaged USS Fitzgerald (DDG-62) and to produce and deliver five upgraded AN/SPY-1D(V) phased arrays. The radars are for “enhancing in-service Ballistic Missile Defense (BMD)-capable DDGs,” a Navy notice posted to the FedBizOpps website said.
The Navy said this procurement supports the restoration of the Fitzgerald as it eventually moves to a mission-ready condition. Work will include the production, test, and delivery of one SPY-1D array, one circuit breaker box, 10 phase stable cables, one waveguide pallet, and one valve assembly directly to the shipyard for repair, installation, and testing.
The Navy said this contract covers the production of five radars so they form the basis for a rotatable pool from which to draw material in the Aegis modernization program “for the purposes of enhancing in-service BMD-capable DDGs.”
Under this contract Lockheed Martin will also be responsible for related technical services supporting element testing, shipyard installation, and other requirements as required.