GD Electric Boat gets $1.3 billion Virginia-class contract mod
Written by Marine Log Staff
Photo: GD Electric Boat
In good news for the submarine industrial base, Groton, Conn.- headquartered General Dynamics Electric Boat, a business unit of General Dynamics (NYSE: GD), announced today it has been awarded a $1.3 billion undefinitized contract modification allowing it to purchase long lead time materials (LLTM) for Virginia Class Block VI submarines.
“This contract modification sends a crucial demand signal, enabling our suppliers to invest in the capacity and materials needed to increase production volume,” said Kevin Graney, president of GD Electric Boat. “Consistent funding for the supply base is essential to achieve the high-rate production the Navy requires of the entire submarine enterprise.”
That “entire submarine enterprise” also, of course, includes the Columbia-class ballisic missile submarine program underscoring the importance of the supply chain in submarine production.
Virginia-class submarines are designed from the keel up for the full range of 21st-century mission requirements, including anti-submarine and surface ship warfare and special operations support. GD Electric Boat is the prime contractor and lead design yard for the Virginia class and constructs them in a teaming arrangement with HII’s Newport News Shipbuilding in Virginia.
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