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General Dynamics Subsidiary Gets Potential $305M DDG 51 Lead-Yard Services Contract

General Dynamics’ (NYSE: GD) Bath Iron Works subsidiary has received a potential one-year, $304.8 million contract to provide lead-yard services for the U.S. Navy’s Arleigh Burke-class (DDG 51) destroyer ships.

LYS covers technical, engineering, production and material procurement support; data and logistics management; acceptance trials; system safety program support; shipyard engineering team; post-shakedown availability support; turnkey; and design standardization and crew indoctrination; to aid ship construction and testing, the Defense Department said Friday.

Bath Iron Works may have to provide design and production services to back design feasibility analyses and studies in support of ship modification efforts for foreign military sales efforts.

The cost-plus-fixed-fee, sole-source contract has a base value worth $49.8 million and contains options that could bring the total contract amount to $304.8 million if exercised.

Work will primarily occur in Maine as well as in Virginia and other locations through June 2019.

The Naval Sea Systems Command will obligate $47 million in shipbuilding and conversion funds for fiscal years 2014 to 2017 at the time of award.

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