Raytheon Lands Potential $210M Navy Contract to Update Aegis Weapon System Parts

Jeff Brody

Raytheon (NYSE: RTN) has secured a potential five-year, $209.6M contract to repair, modify or replace components that support major subsystems of the U.S. Navy’s Aegis Combat System.

The performance-based logistics award covers work on 361 National Item Identification Number parts housed within the Aegis weapons control platform’s AN/SPY-1 radar system transmitter group and MK99 fire control system, the Department of Defense said Thursday.

Naval Supply Systems Command received one bid for the indefinite-delivery contract and allocated $34.3M from the Navy’s annual working capital funds for a delivery order issued concurrently with the award. The service branch will also obligate $11.4M at the time of award to cover a one-year performance period.

Seventy percent of contract work will take place in Chesapeake, Va., and the remaining 30 percent in Marlborough, Mass.

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