The company’s missiles and defense business will modernize the radar-guided gun systems and provide associate hardware to customers as part of the firm-fixed-price contract, the Department of Defense said Thursday.
Eighty-five percent of contract services will support the Navy and the remaining 15 percent will address a foreign military sales requirement.
The award has a $136.5 million initial value and would reach its potential value if all options are exercised.
Raytheon designed the Phalanx CIWS system to help navies counter close-in threats such as anti-ship missiles at sea and on land.
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