L-3 Communications Wins Potential $669 Million Canadian Contract

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

if it weren't for a general downturn all across the stock market, today probably would have been a good day for L-3 Communications (NYSE: LLL  ) .

On Thursday, the defense contractor announced that the Government of Canada has renewed a relationship that it began with L-3 back in June 2012, awarding the company a minimum five-year contract to continue providing complete in-service support (ISS) services for the country's fleet of Airbus CC-150 Polaris transport aircraft. The contract comes with two subsequent "options" to extend its duration for additional five-year periods. If both options are exercised, the total value of this contract to L-3 could reach $669 million.

Canada's Polaris aircraft are derived from the civilian Airbus A310 platform, and are used by Canada's Department of National Defence as VIP transports, for med-evac, passenger and freight transport, and even strategic air-to-air refueling. As prime contractor, L-3 will be responsible for managing the fleet, providing engineering support, maintenance, repair, and overhaul services.

L-3 Integrated Systems Group President John McNellis called the contract "very significant to L-3, as we continue to expand our platform and logistics solutions capabilities internationally," and noted that this contract "provides additional diversity to our impressive Canadian military ISS business base, which already includes fighters, trainers and helicopters."

L-3 shares are down 0.6% despite the news, currently trading around $91.54 per share.

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: 2597534, ~/Articles/ArticleHandler.aspx, 5/25/2016 12:56:20 PM

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 17,852.84 146.79 0.83%
S&P 500 2,090.19 14.13 0.68%
NASD 4,891.40 30.34 0.62%

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

5/25/2016 12:39 PM
LLL $138.03 Down -0.31 -0.22%
L-3 Communications… CAPS Rating: ***