Raytheon wins $1.1B missile contract from DoD

Investing.com - Raytheon Co. received a $1.1 billion contract modification from the U.S. Department of War for the production and delivery of AIM-9X missiles and related equipment. The modification exercises options for Lot 26 production requirements under a previously awarded fixed-price incentive contract.

The contract covers 1,653 AIM-9X-4 Block II tactical missiles, 336 AIM-9X-5 Block II+ tactical missiles for Foreign Military Sales, and various training missiles, spare parts, and support equipment. The deliveries will support the Navy, Army, Air Force, and FMS customers. Work is expected to be complete by September 2029.

Production will be performed primarily in Tucson, Arizona (36.14%), with additional work in North Logan, Utah (9.96%), Niles, Illinois (7.83%), and Keyser, West Virginia (7.65%). Other locations include facilities in Oregon, California, Connecticut, Minnesota, and international sites in Ontario, Canada, and Heilbronn, Germany.

The contract will be funded through fiscal 2024, 2025, and 2026 appropriations from multiple military branches, with $744.2 million in FMS funds. Total obligated funds at award will be $1.27 billion, with $119.2 million expiring at the end of the current fiscal year. Naval Air Systems Command in Patuxent River, Maryland, is the contracting activity.

Raytheon also received a separate $12 million firm-fixed-price order for one Joint Precision Approach and Landing System for the Government of Italy. Work will be performed in Largo, Florida (30%), Fullerton, California (50%), and Cedar Rapids, Iowa (20%), with completion expected in March 2028.

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