Navy Awards Lockheed, Pratt & Whitney Lot 10 F-35 Equipment, F135 Propulsion System Contracts

F-35Lockheed Martin (NYSE: LMT) and United Technologies Corp.’s (NYSE: UTX) Pratt & Whitney subsidiary have received contracts from the U.S. Navy for lot 10 low-rate initial production of F-35 Lightning II aircraft and its F135 propulsion system.

Pratt & Whitney secured a potential three-year, $1.5 billion contract modification to provide parts and components for 44 units of F135-PW-100 propulsion systems for the U.S. Air Force, nine F-135-PW-600 systems for the U.S. Marine Corps and four F135-PW-100 for the Navy, the Defense Department said Thursday.

The firm-fixed-price contract also covers materials and parts for 36 F135-PW-100 systems for foreign military sales clients, four units of F135-PW-600 for international partners and two F135-PW-100 for the global spares pool.

The Pratt & Whitney-built F135 propulsion system is based on the F119-PW-100 engine and is designed for use with Lockheed’s F-35 Lightning II fighter jets.

DoD said Pratt & Whitney will perform work in Connecticut, Indiana and the U.K. through September 2019.

Lockheed will provide support equipment, full-mission simulators, non-aerial vehicle spares, logistics data system software and hardware updates, engineering and supply chain management support for LRIP lot 10 F-35s of U.S. service branches and foreign military sales clients under a separate contract worth $559.5 million, DoD reported.

Work under this sole-source, cost-plus-incentive-fee contract will take place in Florida, California, Texas and the U.K. through July 2022.

F-35 Lightning II is designed to perform intelligence, reconnaissance, surveillance and electronic attack missions and comes in three variants, which include the F-35A conventional takeoff-and-landing variant, F-35B short takeoff and vertical landing variant and the F-35C carrier variant.

The Naval Air Systems Command will obligate the full contract amount to Pratt & Whitney and $210.9 million to Lockheed from FMS funds and U.S. military branches’ aircraft procurement funds for fiscal 2014 through 2016, according to DoD.

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