The Department of Defense awarded Lockheed Martin (NYSE:LMT) a total of four separate defense contracts Tuesday. Out of 16 total contracts handed out for the day, Lockheed thus captured 25% -- and an even more impressive 80% of the total dollar value of all contracts awarded.
Easily the most important of these awards was Lockheed's winning of a $1.86 billion "modification" of its contract to supply the U.S. Air Force with the fifth and sixth Geosynchronous Earth Orbit, or GEO, satellites for the Space Based Infrared System, or SBIRS, missile warning constellation. Including performance incentives and options for acoustic testing and launch operations, this contract will wrap up awards relating to the SBIRS GEO 5/6 satellites and also cover the cost of associated ground operations and processing updates. SBIRS GEO 5/6 satellites work will continue through Sept. 30, 2022.
In related news, Lockheed Martin also won awards for:
- $76 million as a contract modification to supply the U.S. Navy, U.S. Air Force, and the governments of Japan and Israel with 252 helmet mounted display systems for use in F-35 Lightning II fighter jets. Deliveries are due for completion by July 2017.
- Up to $10.6 million to pay for repairs to U.S. Navy AN/UYQ-70 advanced display systems used for tactical and command, control, communication, and computer intelligence applications for target acquisition and tracking, weapons control, theater air defense, anti-submarine warfare, battle group communication, and airborne surveillance and control. Repairs should be completed by April 2015.
- $8.9 million as a contract modification funding the procurement of 14 "repeatable release holdback bars and common sustainment support" needed to produce Low-Rate Initial Production 6 F-35 Lightning II Joint Strike Fighters. This contract runs through March 2017.
Rich Smith has no position in any stocks mentioned. The Motley Fool owns shares of Lockheed Martin. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.
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