US Army awards Lockheed Martin up to $58.6B Patriot deal
The US Army just locked in a contract worth up to $58.6 billion with Lockheed Martin to ramp up Patriot missile output through 2032.
This upgrade from this year's $4.7 billion deal comes as the US needs to refill its missile stockpiles after helping Ukraine and carrying out recent operations in Iran.
Lockheed Martin to triple PAC-3 capacity
Thanks to this multiyear contract, Lockheed Martin will triple its annual PAC-3 MSE missile production capacity by 2030, aiming for 2,000 missiles each year.
The company's also committing to invest between $8 billion and $9 billion through 2030 in facility upgrades and plans to boost its Arkansas workforce by about 650 jobs, so it's not just more missiles but more work for Americans too.
Pentagon shifts toward longer defense contracts
PAC-3 MSE interceptors are key parts of the Patriot air defense system, designed to take down ballistic missiles, cruise missiles, and aircraft.
The Pentagon's shift toward longer contracts shows it's serious about keeping defenses strong while still supporting allies abroad.