NGC Awarded $3.2 Bn Multi-Year Contract for 24 E-2D Aircraft

Northrop Grumman Corporation (NYSE: NOC) has been awarded a multi-year contract modification to deliver an additional 24 E-2D Advanced Hawkeye aircraft to the U.S. Navy. The fixed-price-incentive-firm contract is valued at $3.2 billion; the contract also includes an option for nine additional foreign military sales aircraft. Production of the 24 U.S. Navy aircraft funded by the five-year contract is expected to be complete in 2026.

The E-2D is the U.S. Navy’s airborne early warning and command and control aircraft system. The carrier-based aircraft provides expanded battlespace awareness for carrier strike groups. Its two-generation leap in radar technology allows the E-2D to work with ship-, air- and land-based combat systems to track and defeat air, ship and cruise missiles at extended range. The aircraft can also be used in a humanitarian assistance and disaster relief capacity for civilian emergency coordination.

“This aircraft continues to demonstrate its strategic value to our warfighters with early warning, command and control,” said Jane Bishop, vice president and integrated product team leader, manned airborne surveillance programs, Northrop Grumman. “With this contract, we’ll continue production of these highly specialized aircraft while delivering innovative solutions that outpace advancing threats over the life of the fleet.”

Under the current program of record Northrop Grumman has delivered 37 E-2D to the U.S. Navy to date, completing all major production milestones on time. In addition to the production and sustainment of the E-2D, Northrop Grumman will deliver a series of capability upgrades. The third upgrade is slated for release in fall 2019 and includes an aerial refueling capability to significantly extend the aircraft’s endurance.

Source: Northrop Grumman Corporation (NYSE:NOC)
Date: Apr 11, 2019