RTX Books $344M Standard Missile Production Contract

Raytheon, a subsidiary of RTX (NYSE: RTX), has received a $344 million contract to build and deliver two Standard Missile variants with a common guidance section to U.S. and international military customers.

The company said Thursday it will produce the SM-2 Block IIICU and SM-6 Block IU missiles on a common production line for the U.S. military and the governments of Australia, Canada, Japan and South Korea.

In addition to a common guidance section, the missile variants will share a target detection device, an independent flight termination system and an electronics unit.

“Upgrades under this contract will allow us to increase speed and efficiency in production of these weapon systems that are integral to the defense of the U.S. Navy and our allies,” said Kim Ernzen, president of naval power at Raytheon.

Ernzen said the contract marks the first time that the Standard Missile active radar technology will be fielded by international customers.

The missile variants will be produced at Raytheon’s facility in Tucson, Arizona.

Raytheon anticipates receiving an additional contract later in 2024 for the SM-2 Block IIICU variant’s missile qualification and at-sea testing.

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