The U.S. Navy has awarded Northrop Grumman a $3.64 billion contract to build 25 E-2D Advanced Hawkeye airborne early warning aircraft. The five-year contract, which was awarded on Monday, will save the U.S. government about $369 million, according to the Navy.
“The multi-year contract award increases the affordability of the E-2D Advanced Hawkeye, achieving the best price with taxpayer dollars,” said Capt. John Lemmon, Naval Air Systems Command’s E-2 program manager in a statement.
The contract covers production lots two through six of full-rate production (FRP) for the E-2D aircraft. The contract runs from fiscal year 2014 through fiscal year 2018.
The first E-2D squadron has been fully equipped and manned and the Navy is set to declare the Advanced Hawkeye operational this October at the beginning of the new fiscal year.
The Navy describes the E-2D as a “digital quarterback” that will form the central node of the Naval Integrated Fire Control – Counter Air construct.