The Department of Defense announced 24 new defense contracts Monday, with a combined value of $1.66 billion. Exelis (NYSE: XLS) and its subsidiaries won two of them:
- A $76.2 million foreign military sales contract for the procurement and installation of nine Ground Control Approach 2000 radar systems plus associated operator and maintenance training, to be installed at nine airbases in Poland in support of the Polish Armed Forces for the Polish Armaments Directorate. Exelis will be responsible for manufacturing, assembling, testing, and installing systems to be used for aircraft approach and landing guidance, airspace control services, and support of air traffic control operations, and will train the operators. Completion is due November 2018.
- A $13.2 million firm-fixed-priced, indefinite-delivery/indefinite-quantity contract to Exelis subsidiary EDO, whereby EDO will be responsible for repair, maintenance, and modification of U.S. Navy MK105 Magnetic Minesweeping Gear and MH-53E Airborne Mine Neutralization Systems, or AMNS53, Launch and Recovery System and tracking systems. The Navy uses the MK105 and AMNS53 systems to conduct quick response, high-speed airborne minesweeping operations. This contract should be complete by December 2014; however, it contains provisions for optional extensions that, if exercised, would bring raise its total value to nearly $53.9 million and could extend the contract's duration as well.
