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Austal USA’s order backlog has grown by approximately $681.7 million as a result of two additional Littoral Combat Ship (LCS) contract options being exercised by the United States Navy.
The contract options fund construction of the LCS 14 and LCS 16, the fifth and sixth ships in the 10-ship block buy award made to an Austal-led team in December 2010. That 10-ship programme is potentially worth over $3.5 billion.
Austal Chief Executive Officer Andrew Bellamy said the company’s US Navy programmes provide revenue and workload for years to come.
“Austal’s production of these revolutionary ships continues to expand and improve, simultaneously delivering better programme outcomes for the Navy and improved financial results for the company’s shareholders,” he said.
Austal USA President, Craig Perciavalle, said “This confirms the Navy’s commitment to the LCS programme and their confidence in Austal.”
Austal USA is a full-service shipyard offering design, construction and high-speed vessel service and repair. As Austal USA continues to expand its service and repair capabilities, the company is well-positioned for new business with engineering, test and trials capabilities, and a new waterfront facility on the Mobile Bay waterfront.
Austal has been contracted by the US Navy to build ten 103-metre JHSVs under a 10-ship, $1.6-billion contract, one of which has already been delivered, and eight 127-metre Independence-variant LCS class ships (including USS Independence, delivered to the Navy in 2009), six of which are a part of a 10-ship, $3.5-billion contract.