Raytheon Secures $104M Navy Contract for SeaSparrow Missile Engineering

Raytheon Co., Tucson, Arizona, was awarded a $104,063,252 cost-plus-fixed-fee contract for technical and design agent engineering in support of the Evolved SeaSparrow Missile and NATO SeaSparrow Missile Systems programs. This contract includes options which, if exercised, would bring the cumulative value of this contract to $884,909,374. This contract combines purchases for the U.S. Navy (36%) and the governments of Australia, Belgium, Canada, Denmark, Germany, Greece, Netherlands, Norway, Portugal, Spain, Türkiye under Memorandum of Agreements (59%) and the governments of Chile, Finland, Japan, Korea, Thailand and UAE under the Foreign Military Sales (FMS) program (5%). Work will be performed in Tucson, Arizona (80%), Portsmouth, Rhode Island (19%), and various other locations each less than 1% (total 1%), and is expected to be completed by Dec. 31, 2026. If all options are exercised, work will continue through December 2030. Fiscal 2026 other customer funds in the amount of $21,894,011 (56%); Fiscal 2026 weapons procurement (Navy) in the amount of $8,506,652 (22%); Fiscal 2026 other procurement (Navy) in the amount of $3,257,606 (8%); Fiscal 2026 operations and maintenance (Navy) in the amount of $2,166,820 (6%);  Fiscal 2026 FMS (Chile, Finland, Japan, Korea, Thailand, UAE) funds in the amount of $1,802,847 (5%); Fiscal 2025 other customer Funds in the amount of $1,096,855 (3%); Fiscal 2026 research, development, test, and evaluation (Navy) $312,000 (<1%); Fiscal 2022 other customer funds in the amount of $260,000 (<1%) were obligated at time of award, of which $2,166,820 will expire at the end of the current fiscal year. This contract is awarded on a sole-source basis pursuant to 10 U.S. Code 3204(a)(4). Naval Sea Systems Command, Washington, D.C., is the contracting activity (N00024-26-C-5434).