Electric Boat gets $101 million for Ohio replacement work

This artist's concept drawing was issued in 2012

OCTOBER 6, 2016 — The U.S. Navy has awarded General Dynamics Electric Boat a $101.3 million contract modification to continue development of the Common Missile Compartment for the Navy’s Ohio Replacement submarine and the United Kingdom’s Successor-class ballistic-missile submarine.

The modification is for the procurement of 22 missile tubes to support the manufacturing of the Common Missile Compartment. Electric Boat is a wholly owned subsidiary of General Dynamics (NYSE: GD).

Initially awarded in December 2012, the five-year, $1.85 billion contract calls for Electric Boat to perform research and development work for the Navy’s next-generation ballistic-missile submarine, which is scheduled to begin construction in 2021.

The potential value of the overall contract is $2.5 billion.