The Department of Defense started the week slow Monday, issuing only three contracts to its favored contractors, and spending only $55 million (and change). All three contracts went to publicly traded companies (or subsidiaries thereof):
- Northrop Grumman (NYSE: NOC ) was awarded $35.7 million as a contract modification to pay for engineering and manufacturing work on the Global Hawk drone through January 2017. The Pentagon noted that with this contract, Northrop's work on the Global Hawk contract is approaching $2.3 billion in total value.
- Raytheon's (NYSE: RTN ) Space and Airborne Systems division won a $7.8 million indefinite-delivery/indefinite quantity (IDIQ) contract to supply the Air Force with GPS Selective Availability Anti-Spoofing modules, which permit GPS receivers to decode the kind of precise GPS coordinates the military requires. Raytheon's work on the contract should be complete by March 31, 2016.
- Finally, Tyco International (NYSE: TYC ) subsidiary Scott Technologies, of Monroe, N.C., was awarded an $11.8 million firm-fixed-price foreign military sales contract to supply the government of Taiwan with self-contained breathing apparatuses and corresponding cylinders and valve assemblies. Delivery is expected to be complete by Sept. 15.