Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Northrop Wins $490 Million Contract to Upgrade Air Force Simulators

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.

The Department of Defense awarded contracts worth $1.75 billion Thursday, parceling out the money in 29 separate awards. But one single company -- Northrop Grumman (NYSE: NOC  ) -- managed to bag the bulk of the loot -- $522.3 million, or roughly 30% of the monies on offer.

Northrop did this with a pair of contract wins, the smaller of which was a relatively modest $32.3 million delivery order placed against a previously issued basic order agreement, whereby Northrop will supply the U.S. Navy with spare parts for use in maintaining five E-2D Advanced Hawkeye airborne early warning aircraft. Delivery is expected to take place in December 2016.

As for the larger award -- the largest contract the Pentagon issued Thursday -- it was very large indeed. Northrop's Information Systems division won a firm-fixed price, single-award, indefinite delivery/indefinite quantity contract to provide follow-on support for the Combat Air Force Distributed Mission Operations and Integration program. For this, Northrop will receive as much as $490 million. 

DoD clarifies that the Distributed Mission Operations Network 2.0 service contract requires Northrop to effect the interoperability of dissimilar Air Force training simulators. It is expected to complete this work by June 30, 2018, although there are options in place whereby the Air Force could extend this contract through as late as June 30, 2023.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2514480, ~/Articles/ArticleHandler.aspx, 5/4/2016 10:11:25 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Rich Smith

I like things that go "boom." Sonic or otherwise, that means I tend to gravitate towards defense and aerospace stocks. But to tell the truth, over the course of a dozen years writing for The Motley Fool, I have covered -- and continue to cover -- everything from retailers to consumer goods stocks, and from tech to banks to insurers as well. Follow me on Twitter or Facebook for the most important developments in defense & aerospace news, and other great stories besides.

Today's Market

updated Moments ago Sponsored by:
DOW 17,685.30 -65.61 -0.37%
S&P 500 2,056.65 -6.72 -0.33%
NASD 4,744.50 -18.72 -0.39%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/4/2016 9:55 AM
NOC $209.36 Down -0.24 -0.11%
Northrop Grumman C… CAPS Rating: ****