Navy Seeking to Buy 72 Boeing Poseidon ISR Planes

BoeingLogoThe U.S. Navy is seeking authority from the Defense Department and Congress to buy 72 Boeing-made (NYSE: BA) P-8 Poseidon planes under a five-year order, FlightGlobal reports.

The Navy has purchased 24 of the ISR planes (intelligence, surveillance and reconnaissance) as of November, when the company won a $1.9 billion contract to provide the branch 11 planes.

According to FlightGlobal, the Navy wants to designate the Poseidon acquisition program as a multi-year procurement for the last five years, fiscal years 2015 through 2019, rather than an annual purchase.

Zach Rosenberg writes the Pentagon frequently requires a minimum 10 percent price discount and production system stability in order to grant the multi-year authority.

Poseidons will work with nearly 60 Northrop Grumman-made (NYSE: NOC) MQ-4C Triton drones, which Rosenberg writes will help guide Poseidons to targets.

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