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Pentagon Awards Lockheed Martin $699 Million to Build 2 Littoral Combat Ships

The Department of Defense awarded nine separate defense contracts Monday, worth $1.6 billion in total. The biggest winner of the day: Lockheed Martin (NYSE: LMT  ) .

Lockheed Martin was awarded $698.9 million in funding under a contract originally awarded back in December 2010 for the construction of Navy Littoral Combat Ships, or LCSes. Today's funding announcement pays for Lockheed to perform basic seaframe construction on two LCSes, purchase select systems equipment for installation aboard the vessels, and integrate and test this equipment. This contract will run through August 2018.

USS Freedom. Photo: Wikimedia Commons.

Lockheed Martin's version of the LCS, as seen above in the first ship of the LCS line, USS Freedom (LCS 1), follows a traditional "monohull" warship design. Displacing 3,000 tons, the vessel measures 378 feet in length, carries a crew of from 50 to 98 sailors, and can carry up to two helicopters aboard. In addition, these LCSes are designed to carry various mission modules which can be switched out as needed to tailor the vessel to the missions it will be expected to perform on any given voyage.

Today's funding does not cover the entire cost of building Lockheed Martin's two vessels, which are expected to cost anywhere from $400 million to $800 million apiece when complete.

Read/Post Comments (6) | Recommend This Article (4)

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  • Report this Comment On March 12, 2014, at 11:09 AM, Azbill007 wrote:

    I thought these ships were not supposed to be able to survive even a moderate attack. If that is the case why are we building more of them? It must be so the military can waste more tax money which we don't have.

  • Report this Comment On March 12, 2014, at 11:51 AM, peterwolf wrote:

    Littoral combat ships?? This was the ship that last year the Navy announced was largely useless because it was too fragile and lacked fire power. So why on earth would we build more of them?? What we REALLY need is more modern Naval combat aircraft !! Good god !!

  • Report this Comment On March 12, 2014, at 2:46 PM, TheAncient wrote:

    Obviously, combat will never be one of the mission these beer can hulled ships will perform if the pic in the article is accurate. The military industrial complex strikes again at the tax payer's wallet. All the high tech widgets, gidgets and gadgets won't be much help against a RPG or solid projectile round. You watch, some pirate in a $10,000 skiff with a handful of RPGs will sink one of these and the government will want more of the same. It isn't their money they're wasting.

  • Report this Comment On March 12, 2014, at 3:07 PM, dangibson wrote:

    The last group of ''new age'' ships to be contracted -- were about three quarters of the way through being built -- when the ''Pentagon'' and the stuffed shirt generals (nothing more than professional politicians in a uniform) -- figured out -- they would not what they were designed to do !! Imagine that -- bonuses paid -- kickbacks already in the accounts -- and then a major SNAFU!!! Pretty much business as usual for ''our'' Pentagon!!

  • Report this Comment On March 12, 2014, at 4:19 PM, vet212 wrote:

    That IS a lot of money for a so called warship that would and could not survive an engagement with a battery of ww1 75mm guns much less the 130mm that most nations buy from Russia. you want Littorial Combat Ships bring back the Battleship

  • Report this Comment On March 12, 2014, at 5:18 PM, fastpat wrote:

    gee lets see $650 million I'm going out on a limb here but they spent more on these ships due to the no biddig that is so wide spread among those people who can't make thought process that can't be right headed enough to prioritize what is needed and what isn't. Just the pentagon budget a contractor dilled over $800. for a schedule 80-12" 90 deg CPVC elbow. the tactics you throw out their about you budgets make sure all know the DOD and all the rest of the of the alphabet soup agencies have their own ways of receiving money/

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Rich Smith

As a defense writer for The Motley Fool, I focus on defense and aerospace stocks. My job? Every day of the week, I'm monitoring the news, figuring out the winners and losers, and tracking down the promising companies for you to invest in. Follow me on Twitter or Facebook for the most important developments in defense & aerospace, and other great stories.

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