Lockheed Wins $17-B U.S. Missile Defense Deal

Lockheed Martin has won a $17-billion contract to develop the next generation of interceptors to defend the United States against an intercontinental ballistic missile attack, the US Missile Defense Agency said, reported Mike Stone for Reuters.

The multi-year missile contract covers the development of the Next Generation Interceptor (NGI) to modernize the Ground-Based Midcourse Defense (GMD) program. I Image: Lockheed Martin

The interceptor program aims to defeat current ballistic missile threats and future technological advances from countries such as North Korea and Iran.

The win represents a boost for Lockheed after the United States announced it wanted to reduce F-35 orders, and the Army in February abandoned the development of a Future Attack Reconnaissance Aircraft, a next-generation helicopter for which Lockheed had submitted a design.

The multi-year missile contract covers the development of the Next Generation Interceptor (NGI) to modernize the Ground-Based Midcourse Defense (GMD) program.

The network of radars, interceptors, and other equipment is designed to protect the United States from intercontinental ballistic missiles.

Lockheed shares closed up 0.60% at $462.08 on Monday. Lockheed is "committed to delivering reliable interceptors," said Sarah Hiza, general manager of Strategic and Missile Defense. The first interceptor is expected to be operational in 2028.