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USS James E. Williams (DDG 95)

General Dynamics Subsidiary Lands $754M Navy Contract to Maintain, Modernize 2 Arleigh Burke-Class Ships

General Dynamics‘ (NYSE: GD) NASSCO subsidiary has secured a potential seven-year, $753.8 million contract from the U.S. Navy for depot maintenance of two Arleigh Burke-class ships.

The service branch awarded firm-fixed-price, undefinitized contract action worth $15 million to repair, maintain and modernize the USS Chung-Hoon and USS James E. Williams vessels over a one-year period, the Department of Defense said Friday.

Work will extent to November 2030 if all options are exercised.

Both ships are guided missile destroyers built by General Dynamics Bath Iron Works in partnership with Northrop Grumman (NYSE: NOC) and HII (NYSE: HII). The new contract will be carried out in Norfolk, Virginia, and San Diego, California, within the branch’s fiscal 2024 depot maintenance period.

The contracting activity is the Naval Sea Systems Command in Washington, D.C., which will obligate fiscal 2023 other procurement funds at the time of the award.

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