DRS Lands Potential $440M in Navy Submarine Electronic, Comm Tech IDIQs

DRS logoDRS Technologies will build new electronic equipment and update voice communications systems on U.S. Navy vessels under two contracts worth up to $440 million combined.

The Finmeccanica subsidiary said Wednesday one of those indefinite-delivery/indefinite-quantity contracts it signed with the Navy will move the company into a prime contractor role with the service branch.

That contract, worth up to $384 million, covers work to develop, produce and integrate electronic equipment used to update systems on submarines.

A second contract, worth up to $55 million, is for modernization of voice communications systems on cruisers and destroyers with the AEGIS weapon system.

DRS also announced it signed a potential eight-year, $100 million contract with General Dynamics‘ (NYSE: GD) land systems business in Canada to produce surveillance systems for the Canadian Army’s LAV 6.0 armored vehicles.

Canada’s army ordered the mast-mounted surveillance suites and related services as part of its Light Armoured Vehicle – Reconnaissance Surveillance System project.

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