June 5 (UPI) — Boeing has been awarded a contract from the Defense Department for arming devices on the air launched cruise missiles.
The contract, announced Monday by the U.S. Air Force, is valued at more than $ 7 million under the terms of a firm-fixed-price delivery order and enable Boeing to re-manufacture 94 warhead arming devices on air launched cruise missiles.
The AGM-86 Air Launched Cruise Missile is a subsonic, air-launched cruise missile designed to increase the effectiveness of the B-52H Stratofortress, a long-range, strategic bomber.
Work on the contract will occur in Newark, Ohio, and is expected to be complete in July 2021.
The total cumulative value of the contract will be obligated to Boeing at time of award.
The obligated funds will be allocated from fiscal 2018 procurement funds, the Pentagon said.