Market Overview

U.S. Navy Awards BAE Systems $146.3 Million Contract to Modernize USS Gettysburg


BAE Systems was awarded a $146.3 million contract from the U.S. Navy to
modernize the guided-missile cruiser USS Gettysburg (CG 64). The
Gettysburg will undergo about 15 months of work at the company's
shipyard in Norfolk, Virginia, the ship's homeport. The contract
includes options that, if exercised, would bring the cumulative value to
$151.3 million.

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BAE Systems will modernize the guided-missile cruiser USS Gettysburg under a recent contract from th ...

BAE Systems will modernize the guided-missile cruiser USS Gettysburg under a recent contract from the U.S. Navy. (Photo: BAE Systems)

Starting in January 2019, the Gettysburg will undergo extensive repair
and upgrade work that will return the ship to full capability after
nearly four years of inactive status under the Navy's cruiser
modernization program. BAE Systems' Norfolk shipyard performed the
initial modernization work on board the ship in 2016, including the
removal of obsolete equipment and replacement of critical aluminum
shipboard structures.

"We brought a lot of expertise to bear for a good start to the
Gettysburg's modernization two years ago," said Dave Thomas, vice
president and general manager of BAE Systems Norfolk Ship Repair.
"Working again with the Navy and our ship repair partners, we will
return the Gettysburg back to the fleet in enhanced shape with clear
improvements to its operational capability and better habitability for
the crew."

Under the new contract, BAE Systems will upgrade the ship's weapons and
engineering equipment; support the installation of a new Aegis combat
system, new communications suite and the Consolidated Afloat Network
Enterprise Systems (CANES); and renovate the crew's living spaces aboard
the 27-year-old ship. The work is scheduled to be complete in March
2020. BAE Systems' work is expected to extend the service life of the
Gettysburg to 2035.

BAE Systems is a leading provider of ship repair, maintenance,
modernization, conversion, and overhaul services for the Navy, other
government agencies, and select commercial customers. The company
operates four full-service shipyards in California, Florida, Hawaii, and
Virginia, and offers a highly skilled, experienced workforce, eight dry
docks/marine railways, and significant pier space and ship support

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