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Boeing was awarded an undefinitized contract action worth approximately $14.7 billion by Lockheed Martin to scale production and deliver PAC-3® Missile Segment Enhancement (MSE) seekers.
The contract award enables Boeing to triple PAC-3 MSE seeker production under the previously announced seven-year framework agreement with the US Department of War in support of its Acquisition Transformation Strategy and to strengthen the nation's Arsenal of Freedom.
Boeing-built seekers enable the most advanced Patriot interceptors to identify, track and engage advanced threats ranging from hostile aircraft to hypersonic, ballistic and cruise missiles.
"Early investment and a relentless focus on quality and execution have positioned us to now deliver seekers at unprecedented levels in the near-term, and we're committed to building on that momentum," said Steve Parker, president and CEO of Boeing Defense, Space & Security. "Our Boeing teammates could not be prouder of the role they play in protecting US and allied service members, civilians and critical infrastructure worldwide."
In addition to recent capital investments to expand its PAC-3 seeker factory, Boeing has strengthened supplier relationships for a more agile, affordable, resilient and scalable supply chain, modernized facilities with cutting-edge technology, and improved processes and controls to increase first-time quality.
Production ramp-up and hiring to support it began earlier this year following the framework agreement announcement, with hundreds of direct and indirect jobs expected to be created in the Huntsville, Alabama, area as a result of the contract.
The production increase supports the US Department of War's focus on strengthening the Arsenal of Freedom and aligns with its Acquisition Transformation Strategy to accelerate delivery of key capabilities to service members.
