US Navy Awards $9 Billion for Construction of 10 DDG 51 Class Destroyers

The United States Navy has awarded $9 billion worth contracts to Huntington Ingalls Industries and Bath Iron Works for the construction of 10 DDG 51 class ships.

Huntington Ingalls Industries has won $5.1 billion multiyear contract for construction of six DDG 51 class ships, two in fiscal 2018 and one each in fiscal 2019 through 2022. Bath Iron Works is awarded a $3.9 billion multiyear contract for construction of four DDG 51 class ships, one each in fiscal 2019 through 2022, the US department of defense said in a statement Thursday.

The contracts include options for engineering change proposals, design budgeting requirements, and post-delivery availabilities on the awarded firm multiyear ships, which, if exercised, would bring the cumulative value of Huntington Ingalls Contract to $5.2 billion and Bath Iron Works contract to $4.03 billion.

The contracts also include options for construction of additional DDG 51 class ships.  These options may be subject to future competitive actions in accordance with the terms and conditions of the contract, and therefore the dollar values are considered source selection sensitive information and will not be made public at this time.

Work is expected to be completed by April 2029 for Hintington Ingalls and June 2028 for Bath Iron Works.