BAE Systems secures $215 million in defense contracts

Investing.com -- BAE Systems has been awarded two defense contracts totaling approximately $215 million for military vehicle production and fighter jet equipment.

The U.S. Department of War granted BAE Systems Land & Armaments L.P. a $198.4 million fixed-price-incentive modification to an existing contract for Armored Multi-Purpose Vehicles. The modification supports the purchase of 240 vehicles to prevent a production break, bringing the total contract value to nearly $2.48 billion.

Work on the armored vehicles will be performed at the company's York, Pennsylvania facility with completion expected by May 31, 2028. The Army Contracting Command at Detroit Arsenal, Michigan, is overseeing the contract, which is funded by fiscal 2026 Army procurement funds.

In a separate award, BAE Systems' Nashua, New Hampshire division received a $16.7 million modification to a previously awarded cost-plus-fixed-fee contract. This modification covers the procurement of special tooling and test equipment for production and retrofit modifications of Joint Strike Fighter aircraft.

The Joint Strike Fighter work will support the Air Force, Marine Corps, Navy, Foreign Military Sales customers, and non-U.S. Department of Defense participants. The majority of this work (96%) will be performed in Loveland, Colorado, with additional operations in Billerica, Massachusetts (2%), Austin, Texas (1%), and Elkton, Maryland (1%). This project is scheduled for completion in June 2029.

Funding for the Joint Strike Fighter contract comes from fiscal 2025 procurement funds from the Navy ($1.1 million), Marine Corps ($2.4 million), and Air Force ($5.1 million), along with F-35 Cooperative Program Partner funds ($3.6 million) and Foreign Military Sales funds ($4.4 million).

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