General Dynamics faces tough negotiations to build Navy ships

Contractor and Navy trying to reach agreement for destroyers

Contract negotiations are continuing between General Dynamic and the Navy for two DDG 1000 destroyers, but the two parties are still far apart on a number of items, reports Defense news.

Specifically, they are not in agreement over the price for the two destroyers as well as contract terms and conditions, the articles states.

While the Navy and contractors rarely comment on contract negotiations, Defense News obtained a June 27 status letter from Navy Secretary Ray Mabus to Rep. Chellie Pingree (D-Maine) providing an update on the negotiations.

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