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Raytheon to Continue JAGM Development

Following the award of a similar contract to competitor Lockheed Martin (LMT) in August, Raytheon (RTN) received a contract from the U.S. Army to continue development of their proposed solution to the Joint Air-to-Ground Missile (JAGM) requirement.

The $65 million contract will provide for a Preliminary Design Review (PDR) and then ultimately allow mating of the Raytheon guidance sections with other missile components. Raytheon will continue to utilize their tri-mode seeker developed as part of the Small Diameter Bomb (SDB) program.

Lockheed received a $64 million contract at the end of Fiscal Year 2012 for the same purpose.

The JAGM is a new missile that will replace the existing Hellfire and Maverick missiles launched from a variety of helicopters and fixed wing aircraft to strike ground and vehicle targets. The Hellfire has seen a great deal of use in Afghanistan and Iraq providing precision fire support for ground troops.

The Army had looked at cancelling JAGM but decided instead to continue development through these small contracts. If the program does go on to complete development and enter production the requirement could be for thousands of missiles at a cost of $10-12 billion. The Hellfire has also seen significant Foreign Military Sales (FMS) and the JAGM would be expected to as well.

Raytheon JAGM mock up photo by Author.

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Joint Air to Ground Missile (JAGM) to Remain in Development

With the expected reductions in U.S. planned defense spending there have been different discussions and rumors of programs being cancelled or ended. One of these is the new Joint Air to Ground Missile (JAGM) which is a replacement for the Hellfire and Maverick missiles. These are launched from a variety of helicopters and fixed wing aircraft and had an original mission of destroying enemy armor. Over the last several years different warheads have been developed to attack personnel and buildings.

The JAGM itself was a new program that replaced the earlier Joint Common Missile (JCM) which was cancelled itself a few years ago. The JCM was being developed by Lockheed Martin (LMT). They and a team of Raytheon (RTN) and Boeing (BA) were competing for the JAGM contract.

The Army had demonstrations of the two competing design and last summer received bids for the next phase of the program which was to be Engineering, Manufacturing and Development (EMD). One of the two designs would have been selected to enter this phase and then move on into production. Those proposals were received in June.

The production contract would be worth several billion dollars due to the amount of missiles that needed to be procured.

Now it is being reported that rather then moving out with this phase or cancelling the program the Army will continue to pay for a small amount of continued development and risk reduction. Available R&D funds would be used for this program. This would allow further refinement of the concept and designs and allow a decision to enter the EMD phase at a later date.

Those contracts would be awarded at the end of this summer.

The U.S. is going to be facing a number of situations like this. If there need to be severe cuts to investment programs it makes sense to cancel whole ones before they enter production. This saves the most money. It also means that the technology developed is still available for use if needed. It also continues to support some of the industrial base that might go away if whole sale cuts were made.

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Proposals Received for JAGM EMD Phase by Army

The U.S. Army is the lead service developing the new Joint Ground-to-Air Missile (JAGM) that will replace the Hellfire and Maverick missiles launched by helicopters and aircraft. The missile will be used by systems such as the AH-64 Apache, A-10, AH-1 Cobra and the F-16 and will become one of the primary anti-vehicle and fortification system in use by the U.S. and its Allies. The Hellfire especially fired from the Apache and Cobra have seen heavy use in Iraq and Afghanistan to provide fire support for U.S. troops and Marines.

The JAGM began a few years ago after a predecessor program, the Joint Common Missile (JCM), was cancelled. The JAGM has just completed a technology demonstration phase where competing missile designs by Lockheed Martin (LMT) and a team of Raytheon (RTN) and Boeing (BA) participated. This was followed by the release of the Request for Proposals (RFP) for the next step in the program which is the Engineering, Manufacturing & Development (EMD) and Low Rate Initial Production (LRIP) phase in April.

The two demonstration participants both submitted proposals for this phase. The Army will choose one provider who will continue development and bring the missile into production. Due to the large number of legacy systems it needs to replace the JAGM will be a large contract with the potential to be worth over $6 billion. The estimate for the EMD contract is about $3.8 billion but that includes the R&D work to do the final design and testing of the missile.

Photo of Raytheon JAGM mock-up from Author’s Collection.

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Raytheon Laser-Guided Maverick on Track for Developmental, Operational Testing

February 17, 2010 by · Comment
Filed under: Raytheon, Syndicated Industry News 
Raytheon Laser-Guided Maverick on Track for Developmental, Operational Testing
February 17, 2010

ORLANDO, Fla., -- Raytheon Company's (NYSE: RTN) AGM-65E2/L, the newest variant of the laser-guided Maverick missile, is on track to enter developmental and operational testing.

The laser-guided Maverick missile is a direct-attack, air-to-ground precision munition used extensively by the U.S. Air Force, Navy and Marine Corps in ongoing combat operations.

"Raytheon, the U.S. Air Force and the U.S. Navy just finished a critical design review, and the team is now in the process of building hardware needed to begin rigorous design verification and qualification testing of key subsystems," said Darryl Kreitman, director of Raytheon's Maverick program. "Raytheon is working with key suppliers to ensure production begins as soon as the operational testing phase of the program concludes."

The AGM-65E2/L will have an enhanced laser seeker and new software, reducing the risk of collateral damage and enabling aircraft to use onboard lasers to designate targets.

"In my opinion, the laser-guided Maverick is an ideal weapon for urban combat and high-speed maneuvering targets," said Col. Perry Oaks, commander of the U.S. Air Force's 784th Combat Sustainment Group. "Maverick is widely integrated and combat proven and offers our nation's allies a best-value precision solution."

Raytheon Company, with 2009 sales of $25 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 88 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 75,000 people worldwide.

Note to Editors:

Raytheon's family of Maverick missiles provides more than 250 jobs in Tucson, Ariz., Goleta, Calif., and Farmington, N.M.

The AGM-65E2 is the U.S. Navy and U.S. Marine Corps' variant of the laser-guided Maverick; the AGM-65L is the U.S. Air Force variant.

Scores of Raytheon suppliers associated with the Maverick program provide employment to hundreds of people across the U.S.

Major suppliers include: Alliant Tech Systems, Rocket Center, W. Va.; BAE Systems, Lexington, Mass.; Eagle Picher, Joplin, Mo.; Ensign Bickford, Simsbury, Conn.; Kaman Aerospace, Middletown, Conn.; MOOG, Inc., Salt Lake City; MOOG, Inc., East Aurora, N.Y.; Primus Technologies, Williamsport, Pa.; Reynolds Systems, Middletown, Calif.; Woven Electronics, Greenville, S.C. and Analog Modules Incorporated, Longwood, Fla.

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U.S. Air Force Awards Raytheon $170 Million Contract for Infrared-Guided Maverick Missiles

February 3, 2010 by · Comment
Filed under: Raytheon, Syndicated Industry News 
U.S. Air Force Awards Raytheon $170 Million Contract for Infrared-Guided Maverick Missiles

TUCSON, Ariz., Feb. 3, 2010 -- The U.S. Air Force awarded Raytheon Company (NYSE: RTN) a $170 million Foreign Military Sales contract to produce AGM-65D and AGM-65G2 infrared-guided Maverick air-to-surface missiles for the United Arab Emirates.

The AGM-65 Maverick family of precision-attack missiles is used by the air, naval and marine forces of 33 countries. More than 69,000 missiles have been produced to date, and more than 6,000 have been used in combat with a 93 percent success rate.

"Raytheon's Maverick is an affordable, combat-proven missile integrated on more than 25 aircraft with a history of on-cost and on-schedule delivery," said Harry Schulte, vice president of Raytheon Missile System's Air Warfare Systems' product line. "While the Maverick family is a best-value solution for the warfighter who needs a direct-attack weapon, the infrared-guided Maverick is ideally suited to counter high-speed maneuvering sea targets such as swarming boats."

Raytheon will build and provide life-cycle support for more than 500 new missiles. The company began production of the missile's IR guidance and control sections in November 2008.

Raytheon Company, with 2009 sales of $25 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 88 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 75,000 people worldwide.

Note to Editors:
Raytheon's family of Maverick missiles provides more than 250 jobs in Tucson, Ariz.; Goleta, Calif.; and Farmington, N.M.

Scores of Raytheon suppliers associated with the Maverick program provide employment to hundreds of people across the U.S.

Major suppliers include Alliant Tech Systems, Rocket Center, W. Va.; BAE Systems, Lexington, Mass.; Eagle Picher, Joplin, Mo.; Ensign Bickford, Simsbury, Conn.; Kaman Aerospace, Middletown, Conn.; MOOG, Inc., Salt Lake City, Utah; MOOG, Inc., East Aurora, N.Y.; Primus Technologies, Williamsport, Pa.; Reynolds Systems, Middletown, Calif.; Woven Electronics, Greenville, S.C.

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U.S. Air Force Awards Raytheon $77 Million Contract for Infrared-Guided Maverick Missiles

September 10, 2009 by · Comment
Filed under: Raytheon, Syndicated Industry News 
U.S. Air Force Awards Raytheon $77 Million Contract for Infrared-Guided Maverick Missiles
September 10, 2009

TUCSON, Ariz. -- The U.S. Air Force awarded Raytheon Company (NYSE: RTN) a $77.4 million Foreign Military Sales contract to produce AGM-65D and AGM-65G2 infrared-guided Maverick air-to-surface missiles for Korea and Taiwan.

The AGM-65 Maverick family of precision-attack missiles is used by the air, naval and marine forces of 33 countries. More than 69,000 missiles have been produced to date, and more than 6,000 have been used in combat with a 93 percent kill rate.

"Integrated on more than 25 aircraft, Raytheon's Maverick is an affordable, combat-proven missile with a history of on-cost and on-schedule delivery," said Harry Schulte, vice president of Raytheon Missile System's Air Warfare Systems' product line. "Maverick is a best-value solution for the warfighter who needs a direct-attack weapon."

Raytheon will build and provide life-cycle support for more than 250 new missiles. The company began production of the missile's IR guidance and control sections in November 2008.

Raytheon Company, with 2008 sales of $23.2 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 87 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 73,000 people worldwide.

Note to Editors:

Raytheon's family of Maverick missiles provides more than 250 jobs in Tucson, Ariz.; Goleta, Calif.; and Farmington, N.M.

Scores of Raytheon suppliers associated with the Maverick program provide employment to hundreds of people across the U.S.

Major suppliers include Alliant Tech Systems, Rocket Center, W. Va.; BAE Systems, Lexington, Mass.; Eagle Picher, Joplin, Mo.; Ensign Bickford, Simsbury, Conn.; Kaman Aerospace, Middletown, Conn.; MOOG, Inc., Salt Lake City, Utah; MOOG, Inc., East Aurora, N.Y.; Primus Technologies, Williamsport, Pa.; Reynolds Systems, Middletown, Calif.; Woven Electronics, Greenville, S.C.

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Two rivals team together for missile contract

Two of America’s largest defense contractors will join together to pursue the next generation air launched missile. Raytheon and Boeing announced that they signed a teaming agreement to prepare for the Joint Air to Ground Munition (JAGM) development program. See the press release here. The JAGM will replace Hellfire and Maverick missiles for launch from both fixed wing aircraft and helicopters. JAGM is at the early stages of its life and was started after the failure of the Joint Common Missile (JCM) program. See this for more on that. There is certainly no denying that the aging Hellfire and Maverick need replacing, although the Hellfire especially has seen a lot of use from OH-58D, AH-64 and Predator UAV in Afghanistan and Iraq. If Boeing and Raytheon team that leaves Lockheed Martin, Northrop Grumman and General Dynamics as the only other US companies that might bid on such a program.

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