HII Completes Builder’s Trials On Richard M. McCool Jr. (LPD 29)

Rhea-AI Summary

HII's Ingalls Shipbuilding division completes successful builder's sea trials for LPD 29, with plans for delivery in the spring. The division has delivered 12 San Antonio-class ships and has three LPDs under construction. The company received a $1.3 billion modification to a contract for the construction of LPD 32, named Philadelphia.

Insights

Defense Industry Analyst

The successful completion of builder's sea trials for the amphibious transport dock ship Richard M. McCool Jr. (LPD 29) by HII's Ingalls Shipbuilding division signifies a critical milestone in the defense sector, particularly for naval capabilities. The San Antonio-class ships are integral to the U.S. Navy's amphibious assault and expeditionary missions, providing a platform for Marines and their equipment during deployments. The transition from builder's trials to delivery demonstrates the ship's readiness and operational functionality, which is a testament to Ingalls Shipbuilding's proficiency in constructing complex naval vessels.

The financial implications of such milestones are significant for HII, as progress in shipbuilding contracts often leads to milestone payments. The $1.3 billion contract modification for LPD 32 indicates a strong pipeline of work for the company, which can reassure investors of HII's continued revenue streams. Moreover, the introduction of LPD Flight II ships as replacements for older classes reflects the ongoing modernization efforts within the U.S. Navy, which may result in further contracts and updates to existing platforms, potentially benefiting HII's long-term financial health.

Military Procurement Expert

The procurement and construction of amphibious transport dock ships like the Richard M. McCool Jr. (LPD 29) are part of a broader strategy to enhance the U.S. Navy's expeditionary capabilities. The LPD Flight II ships are designed to replace aging dock landing ships, signaling a shift towards more advanced and versatile naval platforms. The strategic importance of such vessels cannot be overstated, as they are pivotal in a range of operations from deterrence to humanitarian missions, thus maintaining the U.S. military's global reach and rapid response capabilities.

From a procurement perspective, the successful trials and the ongoing construction of additional LPDs underscore the commitment to fleet readiness and modernization. The financial outlay for these ships, such as the $1.3 billion for LPD 32, reflects the significant investment the U.S. government makes in its naval forces. For stakeholders, including suppliers and subcontractors, this represents a stable source of demand for materials and services, which can have positive downstream effects on the broader defense industry and its associated labor markets.

Naval Military Strategist

Amphibious transport dock ships like the San Antonio-class play a pivotal role in the execution of the U.S. Navy's 21st-century maritime strategy. Their ability to support a Marine Corps Air-Ground Task Force is crucial for a wide spectrum of military operations, from power projection and sea control to humanitarian aid. The versatility of these ships, capable of launching helicopters, tiltrotor aircraft and amphibious landing craft, provides the Navy with a multi-role platform that can adapt to various mission requirements.

The operational readiness of ships such as the Richard M. McCool Jr. (LPD 29) reflects the Navy's emphasis on maintaining a forward presence and the ability to respond swiftly to crises globally. This readiness is not only a deterrent but also a tool for building partnerships and conducting joint operations with allied forces. For the defense industry and investors, the strategic value of these assets suggests a sustained commitment to funding and developing such platforms, which may influence defense spending priorities and the allocation of future defense budgets.

PASCAGOULA, Miss., Feb. 01, 2024 (GLOBE NEWSWIRE) -- HII’s (NYSE: HII) Ingalls Shipbuilding division announced today the successful completion of builder’s sea trials for the amphibious transport dock ship Richard M. McCool Jr. (LPD 29). The San Antonio-class ship spent time in the Gulf of Mexico testing all systems in preparation for the remaining events that will occur prior to delivery of the ship, expected to occur in the spring.

“Our shipbuilders have worked hard to get LPD 29 to sea,” Ingalls Shipbuilding Ship Program Manager Davianne Stokes said. “We are absolutely dedicated to get this important asset into the hands of our Navy and Marine Corps partners.”

Ingalls Shipbuilding has delivered 12 San Antonio-class ships and currently has three LPDs under construction, including Richard M. McCool Jr. (LPD 29); Harrisburg (LPD 30), the first Flight II LPD; and Pittsburgh (LPD 31). LPD Flight II is the next generation amphibious ship to replace Whidbey Island (LSD 41) and Harpers Ferry (LSD 49) classes of dock landing ships.

Photos accompanying this release are available at: https://hii.com/news/hii-builders-trials-richard-m-mccool-jr-lpd-29/.

In March 2023, Ingalls received a $1.3 billion modification to a previously awarded contract from the U.S. Navy for the procurement of the detail design and construction of LPD 32, named Philadelphia, the 16th ship in the San Antonio class and the third LPD Flight II.

Amphibious transport dock ships are a major part of the Navy’s 21st century expeditionary force, deployed with a U.S. Marine Corps Air-Ground Task Force for amphibious and expeditionary crisis response operations that range from deterrence and joint-force enablement to humanitarian assistance and disaster relief.

About HII

HII is a global, all-domain defense provider. HII’s mission is to deliver the world’s most powerful ships and all-domain solutions in service of the nation, creating the advantage for our customers to protect peace and freedom around the world.

As the nation’s largest military shipbuilder, and with a more than 135-year history of advancing U.S. national security, HII delivers critical capabilities extending from ships to unmanned systems, cyber, ISR, AI/ML and synthetic training. Headquartered in Virginia, HII’s workforce is 44,000 strong. For more information, visit:

• HII on the web: https://www.HII.com/
• HII on Facebook: https://www.facebook.com/TeamHII
• HII on X: https://www.twitter.com/WeAreHII
• HII on Instagram: https://www.instagram.com/WeAreHII

Contact:

Kimberly K. Aguillard
228-355-5663
Kimberly.K.Aguillard@hii-co.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/075fc567-223c-40b8-88b8-893c84ce6130

FAQ

What is the ticker symbol for HII?

The ticker symbol for HII is HII.

What is the name of the ship that completed sea trials?

The ship that completed sea trials is Richard M. McCool Jr. (LPD 29).

How many San Antonio-class ships has Ingalls Shipbuilding delivered?

Ingalls Shipbuilding has delivered 12 San Antonio-class ships.

How many LPDs are currently under construction by Ingalls Shipbuilding?

Ingalls Shipbuilding currently has three LPDs under construction.

What was the value of the modification to the contract received by Ingalls Shipbuilding?

Ingalls Shipbuilding received a $1.3 billion modification to a contract from the U.S. Navy.