Navy Awards General Dynamics $269M to Continue Support for Virginia-Class Submarines

General Dynamics‘ (NYSE: GD) Electric Boat subsidiary has secured a $269 million contract modification to continue its design, development and lead yard support activities associated with the U.S. Navy’s Virginia-class fast attack submarines.

Naval Sea Systems Command will initially obligate $13 million on the sole-source award using fiscal 2021 research, development, test and evaluation funds, the Department of Defense said Friday.

DOD announced a separate $482.1 million cost-plus-fixed-fee modification under Electric Boat’s contract on Oct. 8. The original contract awarded in 2019 was valued at $434.4 million.

Ninety-two percent of work under the modification will take place in Groton, Connecticut, 7 percent in McLeansville, North Carolina and the remaining 1 percent will occur in Newport News, Virginia.

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