General Dynamics, Huntington Ingalls awarded multi-billion-dollar Navy contract

General Dynamics (GD) and Huntington Ingalls (HII) were awarded cost-plus-incentive-fee with ceilings, and cost-plus-fixed-fee contract modifications for construction of two fiscal 2024 Virginia-class submarines, investments to improve productivity at the shipyards, and for nuclear-powered vessel programs workforce support and investment. General Dynamics is being awarded $12.42B, and if all options are exercised the total value will be $17.15B; and Huntington Ingalls is being awarded $1.29B. These contracts include options which, if exercised, would bring the cumulative value of the contract change to $18.45B. The awarded amounts include previously announced material awards totaling $2.1B. Work is expected to be completed by June 2036. FY24 shipbuilding and conversion funding in the amount of $5.26B and FY25 shipbuilding and conversion funding in the amount of $4.16B will be obligated at time of award and will not expire at the end of the current fiscal year. Naval Sea Systems Command is the contracting activity.