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Pentagon`s USD 8.7 billion submarine contract clinched by General Dynamics
Washington, Aug 15: The Pentagon has awarded a General Dynamics-Northrop Grumman team a block-buy contract worth up to 8.7 billion dollars to build six Virginia class nuclear attack submarines over the next five years.
Washington, Aug 15: The Pentagon has awarded a General Dynamics-Northrop Grumman team a block-buy contract worth up to 8.7 billion dollars to build six Virginia class nuclear attack submarines over the next five years.
A seventh submarine may be provided for through 2008 if the US Congress approves a multi-year contract. That would provide savings of a billion dollars, said John Young, assistant navy secretary for research, development and aquisition yesterday.
Under the block-buy contract awarded yesterday, the Pentagon only has a hard-and-fast commitment to buy the first submarine in the series.
But it sets up a schedule for future purchases at a rate of one submarine a year through 2006 and two submarines in 2007.
Production of the hulls will be shared by General Dynamic's Electric Boat Corp and Northrop Grumman's Newport News Shipbuilding.
The target cost of the submarines is about 1.4 billion dollars per ship. Fully equipped they will cost an average 2.2 billion dollars, officials said.
The Virginia class submarine is the latest generation attack submarine, designed both for "blue water" and close-in coastal operations with improved stealth, communications and special warfare capabilities.
Bureau Report
A seventh submarine may be provided for through 2008 if the US Congress approves a multi-year contract. That would provide savings of a billion dollars, said John Young, assistant navy secretary for research, development and aquisition yesterday.
Under the block-buy contract awarded yesterday, the Pentagon only has a hard-and-fast commitment to buy the first submarine in the series.
But it sets up a schedule for future purchases at a rate of one submarine a year through 2006 and two submarines in 2007.
Production of the hulls will be shared by General Dynamic's Electric Boat Corp and Northrop Grumman's Newport News Shipbuilding.
The target cost of the submarines is about 1.4 billion dollars per ship. Fully equipped they will cost an average 2.2 billion dollars, officials said.
The Virginia class submarine is the latest generation attack submarine, designed both for "blue water" and close-in coastal operations with improved stealth, communications and special warfare capabilities.
Bureau Report