RTX (NYSE: RTX) business Raytheon has secured a potential $677 million contract modification from the U.S. Navy to manufacture AN/SPY-6(V) radars for the service branch.
The award marks the third option the Navy exercised under a potential $3.2 billion contract issued in 2022 for SPY-6 radar hardware, production and sustainment support services and will facilitate the delivery of seven additional radars to the service branch, bringing the total number of procured SPY-6 systems to 38.
In a contract award announcement Friday, the Department of Defense said work will occur in Massachusetts, California, Maryland, Arizona, New York, Connecticut, Oklahoma, Indiana and Rhode Island and other locations in the U.S. through September 2028.
Naval Sea Systems Command will obligate funds for the contract option using shipbuilding and conversion funds for fiscal years 2020, 2021, 2023 and 2024 and the service’s FY 2024 other procurement funds.
Barbara Borgonovi, president of naval power at Raytheon, said SPY-6 is designed to provide the fleet with enhanced detection, electronic warfare protection and air surveillance capabilities.
“This contract is a significant step forward in ensuring this technology is delivered to ships to improve the overall self-defense of the fleet,” added Borgonovi.
The Navy is integrating the radar into its fleet of surface ships, including the USS Jack H. Lucas (DDG-125) Arleigh Burke-class destroyer. In April, the USS Richard M. McCool Jr. (LPD-29) San Antonio-class amphibious transport dock with the SPY-6(V)2 radar was handed over to the service branch.
According to RTX, the SPY-6 radar is projected to be fielded on 65 Navy ships over the next decade to counter aerial, surface and ballistic missile threats.
