Raytheon wins $24.4 billion multiyear SM-6 interceptor contract

Raytheon has won a five-year contract, with two additional option years, worth up to $24.4 billion to supply Standard Missile-6 (SM-6) interceptors, a deal the company says will substantially expand the availability of a munition used for both offensive strikes and missile defense.

Building on landmark agreements between Raytheon and the Department of War, the long-term order is intended to ensure a steady, reliable flow of SM-6s to the U.S. Navy.

“SM-6’s multi-mission capability is vital to our customer, and Raytheon is intensely focused on meeting the demand,” said Raytheon President Phil Jasper. “By continuously investing in our operations and facilities, we are removing constraints and boosting capacity to ensure we deliver this critical capability our sailors depend on.”

Raytheon says it has ramped up investment to match rising demand by expanding its skilled workforce, strengthening ties across the defense industrial base and automating production, moves aimed at driving significantly higher output over the near and long term.

The company describes the SM-6 as the only combat-proven weapon capable of anti-air warfare, anti-surface warfare and ballistic missile defense. It has been fired from multiple U.S. Navy ship-based platforms and from land-based launchers, providing what the company characterizes as a versatile, highly reliable option to counter the full spectrum of kinetic threats facing naval forces.