GD: $429m for Nuclear-Submarine Support Work

Monday, October 17, 2011

The U.S. Navy has awarded a $429 million contract modification to General Dynamics Electric Boat to provide planning yard work, engineering and technical support for nuclear submarines. Electric Boat is a wholly owned subsidiary of General Dynamics (NYSE: GD).
Under the terms of this award, Electric Boat will provide design, engineering, material and logistics support, and research and development activities for active U.S. submarines and submersibles. Electric Boat also will provide information services, planning, scheduling and technical support for submarine maintenance and modernization activities, training and facility support, and affordability/cost reduction support. Initially awarded in October 2010, the contract will be worth approximately $1.2 billion over three years if all options are exercised and funded.
This work will engage Electric Boat’s engineering and design organization, which comprises more than 3,000 employees. Possessing proven technical capabilities, these employees work on all facets of the submarine life cycle from concept formulation and design through construction, maintenance and modernization, and eventually to inactivation and disposal.

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