The State Department has approved a potential sale to the United Arab Emirates of $2 billion in Patriot missile systems from Lockheed Martin (NYSE: LMT) and Raytheon (NYSE: RTN).
UAE requested 60 Lockheed-built Patriot Advanced Capability 3 missiles and Raytheon-made 100 Patriot Guidance Enhanced Missile-Tactical missiles through a foreign military sales agreement with the U.S. government, the Defense Security Cooperation Agency said Thursday.
The proposed sale also covers missile canisters, tools, test equipment, support equipment, publications, technical documentation and spare and repair parts and program support services.
DSCA notified Congress of the transaction on Wednesday and the agency noted that UAE would acquire the systems to deter aircraft and missile threats.
The deal will require the deployment of additional contractor representatives to UAE.
