Don't let it get away!
Keep track of the stocks that matter to you.
Help yourself with the Fool's FREE and easy new watchlist service today.
Two separate battery makers won Department of Defense contracts Thursday, promising to pay them up to $49.9 million apiece ($99.8 million in total) to supply lead acid batteries for use aboard U.S. nuclear fast attack (SSN) and ballistic missile (SSBN) submarines.
The companies, Exide Technologies (NASDAQOTH: XIDEQ ) and EnerSys (NYSE: ENS ) were each awarded one firm-fixed-price, indefinite-delivery/indefinite-quantity (IDIQ) contract to supply "valve-regulated lead acid batteries and associated accessories" for U.S. Navy Ohio-class SSBNs, Los Angeles-, Virginia-, and Sea Wolf-class SSNs, and also for unspecified "moored training submarines."
These being nuclear submarines, the batteries will not provide primary power, but act as secondary sources of power. Each contractor will be expected to supply the requested batteries by March 2017.