The U.S. Army awarded Lockheed Martin [NYSE: LMT] $391 million in production orders for a new radar system that provides soldiers with enhanced 360-degree protection from rocket, mortar and artillery fire.
The orders represent the execution of two contract options for a total of 33 AN/TPQ-53 (Q-53) counterfire target acquisition radars – formerly designated EQ-36 during their development and initial production – to be delivered by the end of 2014. The options include spares, testing and training materials. If all options are exercised, 38 additional low- and full-rate production systems could be added and the total contract value would exceed $800 million.
“The Q-53 is in production and has been battlefield-proven by the U.S. Army in Iraq and Afghanistan,” said Lee Flake, program director for counterfire target acquisition radar programs at Lockheed Martin’s Mission Systems & Sensors business. “The radar detects, classifies and tracks enemy indirect fire, as well as locating its source, in either 360- or 90-degree modes that give soldiers greater protection than ever before.”
Mounted on a five-ton truck, the Q-53 can be rapidly deployed, automatically leveled and remotely operated with a laptop computer or from a fully equipped climate-controlled command vehicle.
Lockheed Martin won the competitive development contract for the EQ-36 radar in 2007. Responding to urgent needs statements from theater and following early program successes, the Army awarded the company an accelerated contract for 12 initial production systems in July 2008 and a contract with options for an additional 20 systems in April 2010. In fall of 2010, the Army began deploying EQ-36 systems to combat in Iraq and Afghanistan. Lockheed Martin submitted its bid for this current contract in open competition in September 2011.
Work on the Q-53 radar contract will be performed at Lockheed Martin facilities in Syracuse, N.Y., Moorestown, N.J., Akron, Ohio, and Clearwater, Fla.
Source: Lockheed Martin Corporation (NYSE: LMT)
Date: Apr 30, 2012