General Dynamics Electric Boat has been awarded two contract modifications from the U.S. Navy worth a total value of $35.8 million . Electric Boat is a wholly owned subsidiary of General Dynamics (NYSE: GD).
Under the first contract, valued at $19.8 million , Electric Boat will perform advanced submarine research and development studies in support of a wide range of technology areas including manufacturability, maintainability, survivability, hydrodynamics, acoustics and materials. The company will also conduct research and development work in manning, hull integrity, performance, ship control, logistics, weapons handling and safety. The contract supports near-term Virginia-class technology insertion, future submarine concepts and core technologies. Initially awarded in November 2010 , the contract has a potential value of $710.6 million over five years.
For the second contract, valued at $16 million , Electric Boat will continue development of the Common Missile Compartment for the U.S. Ohio replacement submarine. The company will procure missile tube long-lead-time material and design and manufacture hardware. Initially awarded in December 2012 , the five-year, $1.85 billion contract calls for Electric Boat to perform research and development work for the Navy's next-generation ballistic-missile submarine, which is scheduled to begin construction in 2021. The potential value of the overall contract is $2.3 billion .
Source: General Dynamics Corporation (NYSE: GD)
Date: Mar 5, 2014