US Army Awards LM $78 M Contract For ATACMS Modernization

Lockheed Martin [NYSE: LMT] received a $78 million contract from the U.S. Army for upgrades to the Army Tactical Missile System (ATACMS) .

The program will take hardware from early-production ATACMS Block 1 missiles and develop an enhanced and affordable weapon system capable of eliminating targets without the risk of unexploded ordnance, which meets the U.S. Army’s long-range precision strike requirement.

The program’s first phase will include flight tests, followed by production beginning in 2016. Work will be performed at Lockheed Martin facilities in Camden, Arkansas, and Dallas.

“ATACMS is extremely reliable and effective, and has proven itself over and over again in combat,” said Ken Musculus, vice president of Tactical Missiles for Lockheed Martin Missiles and Fire Control. “These upgrades ensure ATACMS is ready to meet our customers’ needs now and in the future.”

As the U.S. Army’s only tactical long-range precision strike surface-to-surface weapon, ATACMS provides critical military capabilities. More than 560 ATACMS missiles have been fired in combat and the system has demonstrated extremely high rates of accuracy and reliability. Each ATACMS missile is packaged in a Guided Missile Launch Assembly pod and is fired from the Multiple Launch Rocket System (MLRS) family of launchers.

Lockheed Martin has produced more than 3,700 ATACMS missiles, with more than 20 years of on-time deliveries. The company’s Camden Operations has received more than 60 awards over the last decade, including the 2012 Malcolm Baldrige National Quality Award and the Shingo Silver Medallion Award for Operation Excellence.

Source: Lockheed Martin Corporation (NYSE: LMT)
Date: Jan 7, 2015