(By Balaseshan) Lockheed Martin Corp. (NYSE:LMT) said it has received a $27.1 million contract from the U.S. Army for upgrading the Multiple Launch Rocket System (MLRS) M270A1 launcher's cab.
Under the contract, Lockheed Martin will upgrade, assemble and test seven prototype vehicles. Phase one is expected to be followed by a production contract for the Army's entire fleet of 225 vehicles.
During this initial phase, Lockheed Martin will replace the launcher's cab, which expands interior volume by 40% and incorporates new energy-absorbing seats that provides additional protection from mine blasts and improvised explosive devices.
The company will also move the fire control panel to provide commonality with the High Mobility Artillery Rocket System (HIMARS) launcher and enhance survivability through extensive armoring in the new cab.
The company said these improvements would ensure the M270-series launcher remains relevant, effective and reliable while protecting crews from new and evolving threats well into the middle of the 21st century.
Lockheed Martin is the prime contractor for M270A1 research and development, and is partnered with BAE Systems Land and Armaments LP.
LMT is trading down 1.19% at $83.25 on Tuesday. The stock has been trading between $66.36 and $92.24 for the past 52 weeks.