Northrop Grumman Lands $972M Air Force Contract for Modeling and Simulation Support

Northrop Grumman has secured a $972 million contract from the U.S. Air Force for Air Force Modeling and Simulation support service. The contract will provide the Department of the Air Force with various services, including fixed-price, time and materials, and cost reimbursable options. The contract has a ceiling of $972 million and will be used to support the Air Force's modeling and simulation requirements.

Northrop Grumman Systems (NYSE:NOC) has been awarded a $972 million contract by the U.S. Air Force for Air Force Modeling and Simulation support services. The agreement, which includes a variety of options such as fixed-price, time and materials, and cost reimbursable, will provide the Department of the Air Force, Department of War, and external partner agencies with advanced modeling and simulation capabilities. The contract, which has a ceiling of $972 million, will be executed by Northrop Grumman and is expected to be completed by September 14, 2030 Northrop Grumman secures $972M U.S. Air Force contract^[1].

The contract, awarded by the Air Force District of Washington Contracting Directorate at Joint Base Andrews, Maryland, will enable the Air Force to maintain and enhance its secure, interoperable, and efficient modeling and simulation capabilities. The work will be performed both inside and outside the continental United States. This contract underscores Northrop Grumman's role as a key provider of advanced simulation technologies for the U.S. military.

This latest contract follows a series of significant agreements and milestones for Northrop Grumman. In recent years, the company has delivered key defense projects, including the B-21 Raider bomber, and has been recognized for its technological advancements and contributions to the defense industry.

Investors and financial professionals should monitor Northrop Grumman's ongoing performance and the impact of this contract on the company's financials. As the contract involves both fixed-price and cost reimbursable options, the financial outcomes will depend on the actual costs incurred and the performance of the services rendered.