BAE, Northrop to Develop Tech on Potential $5B Army Laser Contract

BAE Systems and Northrop Grumman Corp. (NYSE: NOC) have both won U.S. Army contracts to develop technology for missile-jamming lasers, the Defense Department announced Monday.

BAE won $38, 010, 103 and Northrop won $31, 359, 202 under cost-plus-fixed-fee contracts to support the Common Infrared Countermeasure Program.

The CIRCM program is worth a minimum $1.1 billion, according to Bloomberg.

Andrew Dardine, an analyst with research firm Forecast International, told Bloomberg the program could be worth up to $5 billion if the Army installs the lasers.

The Pentagon expects technology development work to be completed by Oct. 30. The U.S. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.

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