Tewksbury-based Raytheon Awarded $37.7 Million Navy Torpedo Contract

TEWKSBURY, MA — Raytheon, a defense, civil government and cybersecurity company based in Tewksbury has been awarded a $37.7 million torpedo contract from the U.S. Navy which could be worth up to $448 million, the company announced Monday.

According to the announcement, Raytheon was awarded a "$37,723,774 firm-fixed-price, fixed-price-incentive, cost and cost-plus-fixed-fee contract for the procurement of MK 54 lightweight torpedo common parts kits; MK 54 Mod 0 lightweight torpedo kits; and MK 54 exercise fuel tanks, spares, production support material, engineering support, and hardware repair support."

The deal includes options, which if exercised, bring the cumulative value of the contract to $488,737,790.

Seventy percent of the work will be performed out of state in Keyport, WA; 25 percent in Portsmouth, RI; and 5 percent in Tewksbury. It is expected to be completed by May 2016.

The contract combines purchases for the U.S. Navy (98 percent) and the Government of Thailand (2 percent) under the Foreign Military Sales program.

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