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Pentagon Awards $87.4 Million in Defense Contracts

Douglas A. McIntyre

By 24/7 Wall St. Staff

The Department of Defense awarded only six defense contracts in its Wednesday evening announcement of contract awards. The total value of these contracts was $87.4 million.

The following publicly traded companies won contracts:

  • Boeing (BA) was awarded a $25.9 million option exercise to deliver to the U.S. Army one CH-47 Chinook helicopter by Dec. 31, 2020.
  • M7 Aerospace LLC, which, according to S&P Capital IQ is a subsidiary of Israeli defense firm Elbit Systems (ESLT), was awarded a $16.1 million option exercise to provide maintenance, parts, and engineering support for 12 Navy/Marine Corps UC-35 Citation Ultra turbofan-powered passenger aircraft and seven Navy C-26 turboprop Fairchild Metroliner aircraft at 10 locations around the globe through May 2015.
  • BAE Systems (BAESY) was awarded a $7.1 million contract modification to provide logistics support for the U.S. Army's Common Missile Warning System through May 15, 2015. CMWS, for which BAE won several contracts last year, is a system designed to notify the pilot/driver of an aircraft/vehicle when it has been targeted by a heat-seeking missile, and to identify the source of the threat. In addition to the U.S. Army, BAE is also selling CMWS to the militaries of the United Arab Emirates and Saudi Arabia, with the Pentagon acting as intermediary on those contracts.