Electric Boat Recieves $33M Contract Change

Mon, 08/22/2011 - 8:58am

GROTON, Conn. (AP) — General Dynamics Corp. said Monday that its Electric Boat subsidiary received a pair of U.S. Navy contract modifications worth a combined $32.9 million to continue developing the common missile compartment for submarines and for submarine maintenance work.

Under the first modification, Electric Boat will design and produce equipment to be used in the production of the common missile compartment for the United Kingdom's ballistic-missile submarine and the United States' Ohio replacement submarine.

The $21 million award modifies a $76 million contract announced in 2008. If all options are exercised and funded, the overall contract has a potential value of more than $692 million, General Dynamics said.

Under the second contract modification, worth $11.9 million, Electric Boat will supply about 200 workers for submarine repair work at Portsmouth Naval Shipyard in Kittery, Maine, the company said.

In midday trading, general Dynamics shares rose 64 cents to $58.11.



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