Lockheed nabs $1.4B Air Force GPS deal

Lockheed Martin Corp. beat out Boeing Co. for the $1.4 billion contract for the Air Force's next-generation Global Positioning System (GPSIII) satellite program.

Under the contract, Lockheed Martin Space Systems Co., ITT Corp. and General Dynamics Corp. will team up to produce eight GPSIIIA satellites, with a first launch forecast for 2014, the company said in a news release. In later increments, the team will produce eight GPSIIIB and 16 GPSIIIC satellites.

The goal is to improve the position, navigation and timing services of satellites for warfighter and civilian uses and provide advanced anti-jamming capabilities.

"Our low-risk, back-to-basics solution is based on the team's outstanding record of success in developing and evolving navigation satellites, and we look forward to building a next-generation system that will deliver enhanced performance for military and civilian users around the globe," Joanne Maguire, executive vice president at Lockheed Martin Space Systems Co., said in the release.

The contract will result in about 500 new jobs for Lockheed Martin, the company said. The program management and spacecraft development effort will occur at the company's facilities in Newtown, Pa., with final assembly, integration and testing in Denver.

Lockheed's Sunnyvale, Calif., operations will provide components, and a launch support team will be based at Cape Canaveral, Fla.

ITT, of Clifton, N.J., will provide the navigation payload, and General Dynamics Advanced Information Systems, of Gilbert, Ariz., will provide the Network Communications Element, including wireless tracking and command subsystems.

Lockheed Martin, of Bethesda, Md., ranks No. 1 on Washington Technology's 2008 Top 100 list of the largest federal government prime contractors.