Raytheon has won a $159.9 million contract from the US Navy to make Phalanx heavy machine guns that defend ships against incoming missiles.
The contract includes support equipment for the Phalanx and SeaRAM weapon systems and covers overhaul of four Land-based Phalanx weapon systems, the company announced Friday.
Phalanx is a rapid-fire, computer-controlled radar and 20 mm gun system that automatically tracks and destroys enemy threats. More than 890 systems have been built and deployed in navies around the world.
The Raytheon deal also includes an additional option for $10 million more in Phalanx purchases in Fiscal Year 2015 and a second option worth $291 million for more purchases in Fiscal Year 2016.
"Phalanx provides the US Navy's ships with a 'last-chance' defense against anti-ship missiles and littoral warfare threats while SeaRAM extends that inner-layer battlespace," Raytheon Vice President of naval defense products Rick Nelson said.
Work on the contract is expected to be completed by August2018.