Boeing lands $14.7 billion contract to triple PAC-3 seeker production
Boeing has secured a $14.7 billion contract from Lockheed Martin to significantly ramp up production of PAC-3 Missile Segment Enhancement (MSE) seekers over the next seven years. This agreement formalizes a framework to triple the output of these critical components, aligning with the Pentagon's Acquisition Transformation Strategy and bolstering the U.S. Arsenal of Freedom.
The contract, described as an undefinitized contract action, will enable Boeing to deliver seekers at unprecedented levels. These components are essential for the most advanced Patriot interceptors, which are designed to identify, track, and engage a range of advanced threats, including hypersonic, ballistic, and cruise missiles.
Boeing has already begun preparations for the increased production, including expanding its factory, strengthening supplier relationships, and modernizing facilities with cutting-edge technology. The company has also started hiring to support the ramp-up, with hundreds of direct and indirect jobs expected to be created in Huntsville, Alabama.
Steve Parker, president and CEO of Boeing Defense, Space & Security, emphasized the company's commitment to quality and execution. He noted that early investments and a focus on quality have positioned Boeing to meet the increased demand, expressing pride in the role the company plays in protecting U.S. and allied service members and civilians worldwide.