Raytheon Company (RTN - Free Report) has won a contract, worth $254.6 million, from the U.S. Navy for the Joint Precision Approach and Landing System (“JPALS”). The contract was awarded by the Naval Air Systems Command, Patuxent River, MD.
Details of the Contract
Per the contract, Raytheon will design, develop, manufacture, integrate, demonstrate and test the JPALS. The company will continue with the development of eight existing engineering development models (EDMs), and deliver two additional EDMs to support initial operational requirements for F-35B/C and MQ-25 test and primary operational supplies aboard nuclear aircraft carriers and amphibious assault ships.
The contract also includes the supply of weapons replaceable assemblies, a technical data package, and support for developmental and operational tests.
Work is scheduled to be complete by Sep 2022. The majority of the work will be performed in Fullerton, CA, while the rest will be carried out in Cedar Rapids, IA; Marlborough, MA; and Indianapolis, IN. The contract will use fiscal 2016 research, development, test and evaluation (Navy) funds.
What is JPALS?
The JPALS is an all-weather, all-mission landing system based on real-time differential correction of the Global Positioning System (GPS) signal. It is intended primarily for use by the military. This system offers assistance in landing carrier-based fixed-wing aircraft and helicopters, and features anti-jam protection during events of electronic warfare. It facilitates high mobility and rapid response to military forces on a global basis.
The JPALS program is a collaboration between the U.S. Navy and Raytheon. The Raytheon team, led by Raytheon Network Centric Systems, includes Rockwell Collins Inc. (COL - Free Report) , Northrop Grumman Corporation (NOC - Free Report) and Science Applications International Corporation (SAIC - Free Report) . It provides solution to improve safety, reduce the total cost of ownership during the program's lifecycle, and provide higher flexibility and efficiency for the JPALS.
Raytheon is one of the best-positioned large-cap defense players due to its non-platform-centric focus. It is a technology leader focusing on defense, homeland security and other government markets throughout the world. The company has been heavily investing in technological upgrades. It aims to provide the best-in-class security solutions to the U.S. Department of Defense.
Raytheon currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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