Raytheon Scores $12.3M Air Force Contract

By FOXBusiness

Defense company Raytheon (NYSE:RTN) was awarded a $12.3 million contract by the U.S. Air Force to begin producing Control Section Modification upgrade units for the High-Speed Anti-Radiation Missile.

Raytheon said the modification adds a GPS receiver for precision navigation to the existing missile, and upgrade units include a digital flight computer that merges targeting solutions from navigation and seeker systems.

Continue Reading Below

The contract was awarded in Raytheon’s fourth quarter.

“Leveraging several years of experience with HARM, Raytheon's HCSM will provide the Air Force with enhanced capability and accuracy, while simultaneously reducing collateral damage or risk of fratricide,” Chuck Pinney, HARM program director for Raytheon Missile Systems, said in a statement. “HCSM will fill a critical capability need for the warfighter.”

Raytheon said it expects to begin making the modifications of existing missiles early this year, while delivery of HCSM upgrade units will begin in the fourth quarter of 2013.

The company is working with Honeywell (NYSE:HON), Rockwell Collins and others for the HCSM program.

Shares of Raytheon were down 0.69% to $57.75 a share in early afternoon trading.