U.S. Army awards RTX’s Raytheon $946M contract modification

The U.S. Army has awarded Raytheon, a subsidiary of Arlington County Fortune 500 aerospace and defense contractor RTX, a contract modification worth about $946.47 million for production hardware, software and services related to the Patriot air defense system, the U.S. Department of Defense announced Monday.

The U.S. Army Contracting Command, located at Redstone Arsenal in Alabama, will manage the contract and will award $463.76 million from the fiscal year 2025 Foreign Military Sales Fund from the Romanian government at the time of the award.

The work will be performed at the company’s Andover, Massachusetts, facility and should be completed by the end of 2029.

In October 2023, the U.S. Army awarded Raytheon a $156.2 million fixed-price incentive contract to provide spares, components and ground support equipment for the Patriot missile defense system to the Romanian government. In March of that year, Raytheon won a potential $1.2 billion foreign military sales contract from the U.S. Army to provide Switzerland with the Patriot.

Patriot missiles are used for air defense in 19 countries including Germany and Ukraine.

In December, the Department of Defense announced the U.S. Navy had awarded Raytheon a contract worth up to $903.9 million, if all options are exercised, to provide support for a sensor system.

With more than 185,000 employees globally, RTX reported $68.9 billion in sales in 2023. Raytheon is also based in Arlington.