Raytheon Wins $2.35 Billion Worth Contract For SM-3 Block IB Missiles

Raytheon Missile Systems Co. has won a contract worth $2.35 billion for development of 52 SM-3 Block IB missiles for the US Missile Defense Agency using fiscal 2015 funding, plus three one-year options.

Under this contract, the contractor will procure the material, fabricate, test, and deliver 52 SM-3 Block IB missiles; provide related All-Up-Round support, and execute recertification efforts, the Pentagon announced Friday.

This modification deal finalizes the previously awarded contract on April 30 valued at $540 million for a quantity of 44 Standard Missile (SM)-3 Block IB missiles, and procures an additional 8 missiles for a total quantity of 52 SM-3 Block IB missiles.  This modification increases the total contract value from $604 million to $636 million. 

The work has an expected completion date of Sept. 30, 2021.