U.S. Navy Issues Contract Modification to Lockheed Martin to Construct, Procure Littoral Combat Ships

LCS-5-LCS-7-LCS-9-Marinette-EagleHerald Photo credit EagleHerald

WASHINGTON, April 1, 2015 – The U.S. Navy has issued a Lockheed Martin-led industry team a contract modification for one fully funded 2015 Littoral Combat Ship (LCS) valued at $362 million, along with $79 million in advanced procurement funding for a second ship. The balance of the second ship will be funded by Dec. 31, 2015.

The advanced procurement dollars approved by Congress provides the funding required to maintain the cost and schedule of the final block buy option. The award also includes a priced option for one additional fiscal year 2016 ship. 

“We are proud to continue this partnership with the Navy in building the advanced Freedom-variant  littoral combat ship, and we thank the Navy for maintaining the cost and schedule for the block buy,” said Joe North, vice president of Littoral Ship Systems at Lockheed Martin Mission Systems and Training. “Thousands of people across the country contribute to this important program and will continue to do so as we transition to the new frigate upgrade in the coming years.”

The award comes as USS Freedom conducted a successful deployment to Southeast Asia in 2013 and is currently operating out of her homeport in San Diego, California, while USS Fort Worth is deployed until 2016. The USS Fort Worth is serving in the U.S. 7th Fleet to strengthen international relationships, visit more ports, engage in multi-regional naval exercises and further LCS capabilities using both manned and unmanned assets.

The contract modification is for construction of LCS 21 and LCS 23, the 11th and 12th Freedom variant ships. The first ship on this 2010 contract, the Milwaukee (LCS 5), was christened and launched in 2013, and is slated to be delivered to the Navy this summer. Detroit (LCS 7) was launched in 2014. Little Rock (LCS 9) and Sioux City (LCS 11) are in construction, with LCS 9 christening and launch planned for this summer. Wichita (LCS 13) had its keel laid in February 2015. Billings (LCS 15), as well as Indianapolis (LCS 17) and to be named LCS 19 are in the construction phase.

Marinette Marine Corporation, a Fincantieri company, is building the ships in Marinette, Wisconsin, with naval architect Gibbs & Cox of Arlington, Virginia, providing engineering support. Fincantieri has invested more than $100 million in the Marinette facility on upgrades that have increased efficiency and minimized energy consumption, an expansion that will allow for construction of more than two ships at a time, and process improvements that will speed up production.

Nearly 900 suppliers across 43 states are contributing to the Freedom-class LCS program.

About Lockheed Martin
Headquartered in Bethesda, Maryland, Lockheed Martin is a global security and aerospace company that employs approximately 112,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation’s net sales for 2014 were $45.6 billion.

About Marinette Marine
Founded in 1942, Marinette Marine Corporation (MMC) is located on the Menominee River flowage into Green Bay. The largest shipyard in Wisconsin and the Midwest, MMC has delivered more than 1,300 vessels for the U.S. Navy, U.S. Coast Guard, and commercial customers, including the technologically advanced Littoral Combat Ship Freedom class for the U.S. Navy. In 2008, MMC along with several sister shipyards also based in the Great Lakes region, became part of FINCANTIERI SpA, the largest shipbuilder in the western Hemisphere and the fourth largest in the world. FINCANTIERI operates in the United States through its subsidiary Fincantieri Marine Group, serving both civilian and government customers. Over the past five years, FINCANTIERI invested more than $100 million in both capital infrastructure and its resources to support MMC’s transformation into what is now one of the best shipyards in the United States. Employing approximately 1,400 employees, today MMC is a state-of-the-art, full service new construction shipyard.

About Gibbs & Cox
Gibbs & Cox, the nation’s leading independent maritime solutions firm specializing in naval architecture, marine engineering and design, is headquartered in Arlington, Virginia. The company, founded in 1929, has provided designs for nearly 80 percent of the current U.S. Navy surface combatant fleet; approaching 7,000 naval and commercial ships have been built to Gibbs & Cox designs.

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