U.S. Navy Awards Lockheed Martin $383 Million for Next Generation of U.S. Deterrence at Sea

Rhea-AI Summary

Lockheed Martin (NYSE: LMT) has secured a $383 million contract modification from the U.S. Navy for the development of the next-generation Trident II Strategic Weapons System D5 missile. The project, known as Trident II D5 Life Extension 2 (D5LE2), will modernize missiles for COLUMBIA-class ballistic missile submarines, ensuring strategic weapon system credibility through 2084.

As part of this initiative, Lockheed Martin is constructing a new 225,000 square foot facility in Titusville, Florida, dedicated to D5LE2 component production. The facility, scheduled to begin operations in 2027, will create approximately 300 new highly-skilled jobs in Florida's Space Coast region.

The D5 missile, currently deployed on U.S. OHIO-class and U.K. VANGUARD-class submarines, represents the world's most advanced ballistic missile technology. This year marks Lockheed Martin's 70th year of supporting the Navy's Fleet Ballistic Missiles program.

Positive

• Secured $383 million contract modification from U.S. Navy
• Creating 300 new highly-skilled jobs in Florida
• Building new 225,000 sq ft production facility
• Long-term contract extending through 2084

Negative

• None.

Company will build production facility in Florida and add approximately 300 jobs to support strategic missile modernization 

TITUSVILLE, Fla., Jan. 31, 2025 /PRNewswire/ -- The U.S. Navy awarded Lockheed Martin (NYSE: LMT) a $383 million cost-plus-incentive-fee and cost-plus-fixed-fee modification to the existing Lockheed Martin contract for development of the next generation of the Trident II Strategic Weapons System (SWS) D5 missile to continue the nation's sea-based strategic deterrence.

Under this contract modification, Lockheed Martin will design the upgraded missile, called the Trident II D5 Life Extension 2 (D5LE2). The integrated, modernized missile will be carried aboard COLUMBIA-class ballistic missile submarines to ensure the strategic weapon system remains credible through 2084.

"The second life extension of the Trident D5 missile will enable the United States and United Kingdom, through the Polaris Sales Agreement, to maintain credibility deterring evolving threats," said Jerry Mamrol, vice president of Fleet Ballistic Missiles at Lockheed Martin. "We are proud to continue our critical partnership with the U.S. Navy to take deterrence into this new era."

Advancing Deterrence

The D5 missile, built and upgraded by Lockheed Martin for the Navy, is the most advanced ballistic missile in the world and is currently aboard U.S. OHIO-class and U.K. VANGUARD-class submarines. This year, Lockheed Martin will mark 70 years of support to the Navy developing and sustaining the missiles that are the backbone for the nation's sea-based deterrence through the company's Fleet Ballistic Missiles (FBM) program.

Lockheed Martin's FBM program is critical to preserving American and allied security with a focus on innovation through advanced digital technology, modern facilities, and a culture of excellence.

New Florida Facility for the Future

Lockheed Martin is breaking ground on an approximately 225,000 square foot facility in Titusville, Florida to produce components for the D5LE2 submarine-launched ballistic missile.

The new facility expands Lockheed Martin's presence in Florida's Space Coast and is expected to add approximately 300 highly-skilled new jobs.

"Under Governor Ron DeSantis' leadership, Florida continues to invest in our aerospace and aviation, and military and defense industries – bringing high-skill, high-wage jobs to the state," said Florida Secretary of Commerce J. Alex Kelly. "Strategic investments like this continue to propel Florida's workforce, adding 300 new jobs and bringing economic success to Florida communities." 

The facility is anticipated to be ready for operations in 2027 to meet the Navy's production needs and support the service for the next 60 years.

About Lockheed Martin

Lockheed Martin is a global defense technology company driving innovation and advancing scientific discovery. Our all-domain mission solutions and 21st Century Security® vision accelerate the delivery of transformative technologies to ensure those we serve always stay ahead of ready. More information at www.Lockheedmartin.com.

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SOURCE Lockheed Martin

FAQ

What is the value of Lockheed Martin's (LMT) new Navy contract modification?

Lockheed Martin received a $383 million cost-plus-incentive-fee and cost-plus-fixed-fee modification to develop the next generation of the Trident II Strategic Weapons System D5 missile.

How many jobs will LMT's new Titusville facility create?

The new Lockheed Martin facility in Titusville, Florida will create approximately 300 highly-skilled new jobs.

When will LMT's new Florida missile production facility be operational?

The new facility is anticipated to be ready for operations in 2027 to meet the Navy's production needs.

How long will LMT's D5LE2 missile system remain in service?

The modernized missile system is designed to remain credible through 2084, ensuring strategic deterrence for over 60 years.

What is the size of LMT's new Titusville production facility?

The new Lockheed Martin facility in Titusville, Florida will be approximately 225,000 square feet in size.