Lockheed Martin Secures $84.5 Million Contract From U.S. Navy

Enhanced Laser Guided Training Round. Photo credit: Lockheed Martin

Lockheed Martin (NYSE: LMT  ) announced today it received a contract last month from the U.S. Navy to produce paveway II Enhanced Laser Guided Traning Rounds (ELGTR). The contract is estimated to be worth $84.5 million and will extend Lockheed Martin's delivery of ELGTRs to the U.S. Navy through 2018.

ELGTRs emulate "cockpit indications, release and terminal characteristics" of the paveway II laser weapon system, which provides crews with live-fire training so aircrews can practice delivery tactics in real-mission environments without depleting any actual tactical inventory -- important with today's range limitations and budget constraints. Lockheed has delivered more than 130,000 training rounds since its Laster Guided Training Round production began in 1992.

"Lockheed Martin remains committed to providing U.S. Navy aircrews with the most innovative, advanced and cost-effective training solutions," said Joe Serra, precision guided systems manager at Lockheed Martin Missiles and Fire Control. "We are nearing completion of multi-carriage ELGTR development, which will further increase training efficiency, proficiency and flexibility."

Despite sequestration defense budget cuts, that could total nearly $1 trillion over the next nine years, contracts such as this one make it clear that Lockheed's position as the largest defense contractor will limit hits to its profitability. 

link


Read/Post Comments (0) | Recommend This Article (2)

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.

DocumentId: 2787720, ~/Articles/ArticleHandler.aspx, 8/1/2014 4:57:43 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...


Advertisement