The Department of Defense announced nine new defense contracts on Thursday worth $1.31 billion, but out of the nine winners, the biggest prize by far went to Boeing (BA 1.51%).
Awarded an indefinite-delivery/indefinite-quantity contract with an estimated ceiling value of $872.8 million, Boeing will be tasked with performing system upgrades on F/A-18 A/B and C/D Hornet fighter jets, F/A-18 E/F series Super Hornets, and EA-18G Growler electronic warfare aircraft. The vast majority of this work (92%) will be performed at the behest of the U.S. Navy. However, the customers on this partial foreign military sales contract include not only the U.S. Navy, but also the governments of Australia, Canada, Finland, Kuwait, Malaysia, and Switzerland. All work is expected to be complete by December 2018.
