The U.S. Defense Security Cooperation Agency notified Congress Monday of plans to sell the Israeli Air Force $544 million worth of AIM-9X Sidewinder air-to-air missiles, plus associated equipment, parts, training, and logistical support. Raytheon (NYSE:RTN) is named as the principal contractor on this deal.
Specifically, Israel is interested in buying:
- up to 600 AIM-9X-2 Sidewinder Block II All-Up-Round (i.e., complete except for wings and fins) missiles
- 50 CATM-9X-2 Captive Air Training Missiles
- four Dummy Air Training Missiles.
Containers, missile support and test equipment, spare parts, training, and other necessaries will also be included in the arms package
DSCA explained to Congress that "it is vital to U.S. national interests to assist Israel in developing and maintaining a strong and ready self-defense capability." These missiles will be used for "modernizing" Israel's fighter aircraft "to better support its own air defense needs" and also to "enhance Israeli interoperability with the U.S."
DSCA assured Congress that this sale of military equipment "will not alter the basic military balance in the region" and it will not result in any "adverse impact on U.S. defense readiness."
Rich Smith owns shares of Raytheon Company. The Motley Fool owns shares of Raytheon Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.