Raytheon wins $900M contract modification

The Department of Defense’s Missile Defense Agency has awarded a $900 million contract modification to Raytheon, a subsidiary of Arlington County’s RTX, according to a DOD notice posted Friday. 

Under the extension, Raytheon, a defense contractor that is also based in Arlington County, will continue operations and support for the Sea-based, X-band Radar (SBX 1), a nine-story, floating radar system that can detect and track ballistic missiles, and the 13 Army-Navy Transportable Radar Surveillance and Control Model 2 radar systems, which also detect and track ballistic missiles.  

The non-competitive two-year-extension will increase the ceiling of the indefinite delivery, indefinite quantity contract from $1.7 billion to $2.6 billion. The modification will extend the ordering period to Oct. 31, 2026, resulting in an overall contract ordering period of nine years.

In 2017, the Missile Defense Agency awarded Raytheon a $1.5 billion deal for operations and sustainment of the X-band Radar and the Army Navy Transportable Radar Surveillance Model 2 systems.

Work will be performed in Massachusetts and at multiple radar sites inside and outside the United States.

In 2020, Raytheon merged with United Technologies to form Raytheon Technologies. In 2022, the company relocated its global headquarters from Massachusetts to Arlington. The company rebranded as RTX in 2023.

Earlier this month, the U.S. Department of Justice announced that Raytheon has agreed to pay more than $950 million to resolve multiple allegations that include fraud and bribing a Qatari official.

With more than 185,000 employees globally, RTX reported $68.9 billion in sales in 2023.