The Navy has released funding for three Littoral Combat Ships (LCS) for the 2015 fiscal year, sending $691 million to Austal USA for two Independence variants and $362 million to Lockheed Martin [LMT] for one Freedom variant.
The Navy also released $79 million in funding to Lockheed Martin for the advanced procurement for an LCS slated to go under contract in fiscal 2016. The money was sent to the contractors on Tuesday.
The Austal USA trimaran ships will hull numbers 22 and 24, and the Lockheed Martin monohull ship will be number 21.
“This funding demonstrates the Navy’s continued commitment to increase near-term ship procurement at significant cost savings, sustain stable production of both designs, and maintain industrial base stability,” Chris Johnson, a spokesman for Naval Sea Systems Command, said.
The funding was released on a multi-year contract with the two shipbuilders enacted in December 2010 for 20 ships evenly split.
Lockheed Martin builds the ships with partner Marinette Marine in Marinette Wis. Austal USA is based in Mobile, Ala.
The Navy plans to build 32 LCSs in their current configuration. Another 20 of the hulls are planned to be bought but with increased firepower and will be designated as frigates.
Joe North, Lockheed Martin’s vice president for littoral ship systems, told reporters Wednesday the $79 million for advanced procurement will help the company and Marinette Marine maintain production efficiencies until the funding for the 2016 LCS is issued, but said that would need to occur by Dec. 31 to prevent gaps.