The U.S. Navy has awarded General Dynamics Electric Boat a $286m contract for planning yard work, engineering and technical support for nuclear submarines. Electric Boat is a wholly owned subsidiary of General Dynamics (NYSE:GD). The contract has a total potential value of $1.8b over five years if all options are exercised and funded. Work performed under the initial award is expected to be completed by October 2009.
Under the terms of the contract, Electric Boat will provide design, engineering, material and logistics support, and research and development activities for active U.S. Navy nuclear submarines and submersibles. Electric Boat will also provide information services, planning, scheduling and technical support for submarine maintenance and modernization activities, training and facility support, and affordability/cost reduction support.
General Dynamics, headquartered in Falls Church, Va., employs approximately 91,200 people worldwide.