SAIC gets $84.8M Navy contract modification

The U.S. Navy awarded Reston-based Fortune 500 defense contractor Science Applications International Corp. (SAIC) an $84.8 million contract modification to provide torpedo equipment and support services to the military branch as well as the governments of Australia and Taiwan, the Department of Defense announced Friday.

The contract will cover the fourth option year of the Naval Sea Systems Command’s (NAVSEA) MK 48 Mod 7 heavyweight torpedo production efforts, according to the Defense Department. Of the purchases under the new contract, 93% are for the Navy, 6% are for Australia and 1% is for Taiwan. Work on the contract is expected to last until April 2023. 

NAVSEA consists of four shipyards, 10 warfare centers and four shipbuilding locations. The organization, which is the largest of the Navy’s five system commands, works to engineer, build and support the military branch’s fleet of ships and combat systems.

In September 2016, SAIC won a $383 million contract to manufacture afterbody and tail cone sections of the submarine-launched weapon. The company also provided test equipment, production materials, engineering and hardware repair services.

SAIC  employs more than 25,000 people and has pro forma annual revenues of $7.1 billion.

Subscribe to Virginia Business.

Get our daily e-newsletter.