NGC Announces $213.8M Contract for Tenth LPD 17 Amphibious Ship

(Pascagoula, Miss., June 24, 2009) -- The U.S. Navy awarded a $213.8 million cost-plus-fixed-fee advance procurement contract to Northrop Grumman Corporation (NYSE:NOC) that will provide long lead materials for LPD 26, the tenth amphibious transport dock ship of the USS San Antonio (LPD 17) class.

The funds will be used to purchase long lead time materials and major equipment in support of the new ship, such as main engines and diesel generators. The work will be performed at the company's Gulf Coast facilities. The award of a contract for the detail design and construction of LPD 26 is anticipated in mid-2010.

"LPD 17 is an important program for us and we're excited about the opportunity to continue the production line," said Tim Farrell, vice president and program manager of the LPD program for Northrop Grumman Shipbuilding - Gulf Coast. "The advance procurement contract is significant because it allows us to partner with our supply chain to purchase equipment early in the process and meet our customer's schedule requirements."

The ten ships of the LPD 17 class are a key element of the Navy's ability to project power ashore. Collectively, these ships functionally replace over 41 ships (LPD 4, LSD 36, LKA 113, and LST 1179 classes of amphibious ships) providing the Navy and Marine Corps with modern, sea-based platforms that are networked, survivable, and built to operate with 21st century platforms, such as the MV-22 Osprey and the Expeditionary Fighting Vehicle (EFV).

The LPD 17-class ships are 684 feet long, 105 feet wide and displace approximately 25,000 tons. Their principal mission is to deploy the combat and support elements of Marine Expeditionary Units and Brigades. The ship can carry up to 800 troops and have the capability of transporting and debarking air cushion (LCAC) or conventional landing craft and EFVs, augmented by helicopters or vertical take off and landing aircraft such as the MV-22. These ships will support amphibious assault, special operations, or expeditionary warfare missions through the first half of the 21st Century.

Source : Northrop Grumman Corporation (NYSE:NOC) - click here for more information