The U.S. Army has awarded a $170 million contract to HELLFIRE Systems, Limited Liability Company (HSLLC) for continued production of the combat-proven HELLFIRE(R) II air-to-ground missile. Options for additional missile production, if exercised, would bring the contract's value to more than $500 million.

Lockheed Martin performs all the work scope on behalf of HSLLC and will produce the missiles at its manufacturing facility in Troy, AL.

The basic order is for 2,642 rounds, scheduled for delivery to the U.S. Army, Navy and Air Force, and to an undisclosed foreign military sales (FMS) customer, beginning in December 2007. The order will sustain full-rate production through June 2009, both in Troy and in Ocala, FL, which provides the missile seeker and electronics, as well as engineering, logistics and program management support based in Orlando, FL.

Options include 1,320 additional missiles in FY2006; 2,069 in FY2007; and 2,070 in FY 2008.

"This contract reaffirms HELLFIRE's proven position as the world's premier multi-purpose air-to-ground weapon system," said Jim Gribschaw, program director of Air-to-Ground Missile Systems at Lockheed Martin Missiles and Fire Control. "HELLFIRE's performance from multiple platforms in the Global War on Terrorism has not only continued its legacy as a highly lethal anti-armor weapon, but has also shown that multiple variants of the missile are equally effective against a wide range of other targets."

The HELLFIRE production contract includes three variants: the high- explosive anti-tank (HEAT) missile (AGM-114K), used against armored targets; the blast fragmentation missile (AGM-114M), effective against ships, caves, light armored vehicles, buildings, bunkers and other urban targets; and the metal augmented charge (MAC) missile (AGM-114N), which provides an enhanced blast fragmentation effect against enclosed structures and enemy personnel.

The contract also includes additional components to convert other AGM-114 variants to AGM-114Ns.

All three missile configurations, as well as the fire-and-forget millimeter-wave radar Longbow HELLFIRE (AGM-114L), have been used successfully in Iraq and Afghanistan, with more than 1,000 rounds fired from several platforms -- including the U.S. Army's Apache and the Marine Corps' Cobra attack helicopters, the Kiowa scout helicopter and the U.S. Air Force's Predator unmanned aerial vehicle (UAV).

"Of particular importance is HELLFIRE's precision-strike capability," Gribschaw said. "This has allowed our forces to defeat insurgents in urban conflicts with minimal collateral damage and low risk of harm to friendly forces and civilians."

With more than 21,000 rounds produced for the U.S. and 13 international customers, HELLFIRE II has been successfully integrated with every leading attack helicopter in the U.S. and many Allied fleets. It is approved for international sales both through the foreign military sales system and direct commercial sales.

Headquartered in Bethesda, Md., Lockheed Martin employs about 135,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services.

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SOURCE: Lockheed Martin