June 21 (UPI) — Lockheed Martin has been awarded a contract for the Defense Department to exercise options to support Aegis combat system.
The deal, from Naval Sea Systems Command and announced on Wednesday, is valued at more than $18.9 million under the terms of a cost-plus-incentive-fee, which is a modification to a previous Pentagon award, the Defense Department said.
The deal would provide support for the Aegis Baseline 9 combat system, installed on guided-missile destroyers with “capability development, studies, initiatives and support,” among other services.
Work on the contract will occur in Moorestown, N.J., and is expected to be complete in July 2019.
More than $3.2 million will be obligated to Lockheed Martin at time of award — the funds will be allocated from Navy fiscal 2018 research, development, test & evaluation funds and coupled with funding from operations and maintenance accounts for fiscal year 2018.
The obligated funds will not expire at the end of the current fiscal year.