State Dept OKs $1.08B in TOW 2B Missile, Maintenance Requests From Saudi Arabia

The State Department has approved Saudi Arabia’s request to buy TOW 2B missiles, repair parts and spares for combat vehicles and maintenance support services for its fleet of helicopters under three foreign military sales agreements worth approximately $1.08 billion combined.

Saudi Arabia requested to procure Raytheon-built (NYSE: RTN) TOW 2B missiles (BGM-71F-Series), fly-to-buy lot validation missiles, ammunition and live fire exercise, technical manuals, training, technical and logistics support under a potential $670 million FMS deal, the Defense Security Cooperation Agency said Thursday.

Raytheon will serve as the principal contractor in this transaction that seeks to help the Middle Eastern country build up its integrated ground defense capability.

The department also cleared a potential $300 million deal that would allow Saudi’s land forces ordnance corps to continue to buy repair parts and spares to maintain its fleet of M2 Bradley fighting vehicles, M1A2 Abrams tanks, light armored vehicles, high mobility multipurpose wheeled vehicles and M198 towed howitzers as part of the Cooperative Logistics Supply Support Arrangement program.

Saudi also asked the U.S. government to continue to provide maintenance support services for the land forces aviation command’s fleet of AH-64D/E, UH-60L, Bell 406CS and Schweizer 333 helicopters through a potential $106.8 million FMS transaction.

DynCorp International will act as the prime contractor in this proposed MSS contract that would require the deployment of up to 320 contractor personnel and one government representative to the Middle Eastern country over a two-year period.

DSCA said it notified Congress of the deals Thursday.

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