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Budget Allows Navy to Move Forward on Carrier Contracts

by: Matthew Potter
April 1, 2013

Category: Business Line, Companies, Contract Additions, Contract Awards, Department of Defense, Events, HII, Military Aviation, production program, Services, U.S. Navy | RSS 2.0

The signing by President Obama of the full year’s funding bill has allowed the different U.S. services to begin issuing contracts that had been waiting to see how sequestration and the Continuing Resolution would be resolved.

On Friday the Navy moved quickly to issue a contract to Huntington Ingalls Industries (HII) for the overhaul and refueling of the U.S.S. Abraham Lincoln, a Nimitz class aircraft carrier. The contract has a value of around $2.6 billion.

The work is expected to take over 3 years and will include upgrades to different parts of the ships as well as refurbishing components and compartments along with refueling the reactors that power the ship. Included are the necessary modifications to operate the Navy’s version of the F-35 Joint Strike Fighter which will fly in a Short Take-Off-and-Landing (STOL) configuration.

HII was also awarded a contract worth over $400 million to continue buying material for the new CVN 79, designated John F. Kennedy. The CVN 79 contract was started in 2009 and is expected to be delivered in 2020. It is of a modified Nimitz design referred to as the Gerald R. Ford class.

HII is the only company able to build the large nuclear aircraft carriers for the U.S. Navy.

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