Navy invests $52.8 million to look at LCS affordability

MARCH 19, 2013 — It’s not much compared with the $1.378 billion the Navy awarded them earlier this month to build the four FY 2013 littoral combat ships, but Lockheed Martin and Austal have just scooped up another few million apiece in modifications to previously awarded LCS contracts. Lockheed Martin (the prime contractor for the ships built by Fincantieri Marine Group’s Marinette Marine) is getting a $32,820,176 mod and Austal USA is getting one worth $19,987,274.

In both cases, the modifications exercise options for class service efforts and special studies, analyses and reviews for the Littoral Combat Ship (LCS) program that will see the two prime contractors “assess engineering and production challenges and evaluate the cost and schedule risks from affordability efforts to reduce LCS acquisition and lifecycle costs.” In other words, apparently, “can we afford to make the LCS more affordable?”

Work is expected to be completed by the end of March 2014.