The U.S. Navy awarded Raytheon Company (NYSE: RTN) a $108 million contract for continued production of Standard Missile-2 all-up rounds, a majority of which will be sold to U.S. allies through foreign military sales. This award brings the total fiscal year 2011 contract value to more than $200 million.
"The U.S. Navy has committed to supporting SM-2 past 2035, and this contract award reflects our international partners' desire to maintain this key defensive asset in their inventories," said Michael Campisi, Raytheon Missile Systems' senior director for SM-2 and SM-6 production. "The SM-2 production line is open for all our allies' requirements, and there will be full mission support available throughout the lifecycle of this critical asset."
SM-2 is deployed by the U.S. and eight allied navies. The missile provides high- and low-altitude intercept capabilities and performance against advanced anti-ship missile threats.
"SM-2 has been the primary surface-to-air fleet-air defense weapon of choice for decades," said Campisi. "It's an extremely effective, relevant weapon that will continue to protect navies around the globe for many years to come."
About Standard Missile-2
SM-2 is the world's premier fleet-area air defense weapon, providing protection from a wide range of advanced threats.
Source: Raytheon Corporation (NYSE: RTN)
Date: Dec 17, 2012