Please ensure Javascript is enabled for purposes of website accessibility
Free Article Join Over 1 Million Premium Members And Get More In-Depth Stock Guidance and Research

Pentagon Awards $648 Million in Defense Contracts Wednesday

By Rich Smith - Jul 17, 2014 at 10:31AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Sparton Corp, General Dynamics, Northrop Grumman, and URS all win work.

The Department of Defense awarded only nine defense contracts in its Wednesday evening announcement of contract awards, released after stock markets closed for the day. The total value of contracts awarded was $648.3 million.

Among the publicly traded defense contractors winning awards:

  • The Sparton Corp. (NYSE: SPA)/Undersea Sensor Systems joint venture, ERAPSCO, won a $166 million firm-fixed-price, indefinite-delivery/indefinite-quantity contract to supply the U.S. Navy with 141,263 AN/SSQ Series sonobuoys and 5,000 MK-84 Signal Underwater Sound devices, both used to detect underwater submarines, between now and October 2019.
  • General Dynamics ( GD 1.62% ) was awarded a $65.2 million foreign military sales contract modification to provide additional training, logistics support, and maintenance services to the Iraqi M1A1 Abrams Program through Feb. 28, 2015. General Dynamics is the manufacturer of the Abrams main battle tank.
  • Northrop Grumman ( NOC 1.50% ) was awarded a $17 million contract modification to correct "deficiencies" in radar software used by its Global Hawk Block 40 UAVs. Work under this contract will now continue through Sept. 30, 2015.
  • URS Corporation (NYSE: URS), soon to be acquired by AECOM ( ACM -0.63% ), won an $8 million firm-fixed-price indefinite-delivery contract to perform architectural and engineering services for the Mobile District and South Atlantic Division of the U.S. Army Corps of Engineers through July 15, 2019.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

General Dynamics Corporation Stock Quote
General Dynamics Corporation
$197.63 (1.62%) $3.15
AECOM Stock Quote
$69.67 (-0.63%) $0.44
Northrop Grumman Corporation Stock Quote
Northrop Grumman Corporation
$357.84 (1.50%) $5.27

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 12/04/2021.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Our Most Popular Articles

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.