General Dynamics Wins $4.6 Billion U.S. Navy Submarine Contract

Electric Boat, a General Dynamics subsidiary, was awarded three contracts worth $4.6 billion by the U.S. Navy to design and develop next-generation strategic deterrent submarine and to purchase and construct Virginia-class attack submarines.

                              
Under the first five-year Ohio Replacement Program contract approximately $1.85 billion would be allocated for research and development of a new class of ballistic-missile submarine. Construction of the submarine is scheduled to begin in 2021. 

The second award worth $2.5 billion will involve building two Virginia-class submarines; South Dakota (SSN-790) and Delaware (SSN-791).

The third contract worth $308 million will be allocated for purchase of long lead-time materials for three new Virginia-class submarines.

Electric Boat President Kevin J. Poitras, said, "These awards provide the stability to the submarine industrial base that will allow us to achieve even greater cost reduction through improved efficiencies in support of the Navy's submarine force-level requirements".