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Raytheon Wins $60M Deal For Torpedo Components Production

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Raytheon Company (NYSE: RTN) recently won a $60 million modification contract under the Foreign Military Sales program for the production of torpedo components. The contract was awarded by the Naval Sea Systems Command, Washington, DC.

Per the terms of the deal, Raytheon will also provide spares, production support material, related engineering services and hardware support in the production of torpedo components. Work related to the deal is expected to be completed by July 2021. While majority of the work will be performed in Portsmouth, RI; the remaining will be executed in Keyport, WA.

The modification deal includes 47 percent of the purchases for the U.S. Navy, 50 percent for the Taiwan government and 3 percent combined for the governments of Canada, Australia and India.

Raytheon, being one of the top missile makers in the United States, enjoys heavy inflow of international orders for its varied products. Notably, the company had international bookings of $1,821 million in the second quarter of 2018, which reflected 45 percent of total bookings received by the company.

The company's Foreign Military Sales through the U.S. government stood at $912 million in second-quarter 2018, higher than $718 million registered at the end of the first quarter. This reflected 13.8 percent of the total net sales made by the company.

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The preceding article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

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