The U.S. Navy has awarded General Dynamics Bath Iron Works, a subsidiary of General Dynamics (NYSE: GD), two contracts in support of the DDG 51 Arleigh Burke-class guided missile destroyer program. Bath Iron Works is the lead shipyard and design agent for the class.
The first contract, valued at $28.3 million, is for lead yard services for the DDG 51 program. This option modifies a contract initially awarded in March 2012. Since 1987, Bath Iron Works has provided design and technical assistance for design upgrades and major changes to the two shipyards currently building DDG 51-class destroyers.
“This contract highlights our well-established record of providing the U.S. Navy and other shipyards with high-quality support to keep the fleet of DDG 51-class of ships up-to-date and ready to respond whenever and wherever needed,” said Jeff Geiger, president of Bath Iron Works. “The lead yard services contract keeps approximately 130 of our highly skilled engineers, designers and planners fully engaged in the technical aspects of the DDG 51 program.”
The second contract, valued at $21.1 million, is for the post-shakedown availability (PSA) for USS Michael Murphy (DDG 112). The contract includes options which, if exercised, would bring the total value of this contract to $27.1 million. Bath Iron Works is the prime contractor and is teamed with BAE Systems for this work which will be performed in the ship’s homeport of Pearl Harbor, Hawaii. Work is expected to be completed by August 2013.
Geiger said, “Being competitively awarded this PSA contract is particularly meaningful since USS Michael Murphy was our 34th Arleigh Burke-class ship and the best and most complete destroyer we have delivered to the U.S. Navy. This award demonstrates that our U.S. Navy customer continues to be confident in our ability to execute high-quality PSAs at an affordable price.”
Bath Iron Works is currently constructing Rafael Peralta (DDG 115) and Thomas Hudner (DDG 116) under the Navy’s DDG 51 continuation program.