Textron (TXT) Unit Awarded $30M MEUAS Modification Contract
Zacks Investment Research | Jun 26, 2017 09:48PM ET
AAI Corporation, an operating unit of Textron Inc. (NYSE:TXT) has been awarded a modification contract for the Mid-Endurance Unmanned Aircraft Systems (MEUAS) from the U.S. Special Operations Command (USSOCOM).
Details of the Contract
The contract has a maximum value of $30 million. Per the terms, AAI Corp. will offer intelligence, surveillance and reconnaissance (ISR) services for MEUAS at various locations, worldwide. The contract will utilize fiscal 2017 operations and maintenance funds to complete the work.
The modification witnessed a maximum extension for a period of one year with a ceiling value of $105 million. Per the terms of this extension, while implementing transition to the MEUAS III contract, the company is required to reduce critical services gap.
Why Textron?
Acquired by Textron Inc. in 2007, AAI Corp. is one of the very few companies which are known to design and produce successfully fielded, operational unmanned aircraft system (UAS) for the U.S. Department of Defense (DoD).
Textron’s unmanned aircraft systems, advanced marine craft, armored vehicles, intelligent battlefield and surveillance systems, intelligence software solutions, precision smart weapons, piston engines, test and training systems and total life cycle sustainment and operational services have gained immense popularity over the years.
The company enjoys a geographically diverse network of aircraft, defense & intelligence, industrial and finance businesses negate any specific business risk. Textron has been globally recognized for its brand such as Bell Helicopter, Cessna Aircraft Company, Jacobsen, Kautex, E-Z-GO and Greenlee.
Earlier this month, AAI Corp. won a $475 million contract from the USSOCOM for the MEUAS. (Read more: Zacks Investment Research
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