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INGALLS SHIPBUILDING AWARDED LIFE-CYCLE ENGINEERING CONTRACT ON U.S. NAVY’S LPD 17 PROGRAM

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PASCAGOULA, Miss., Dec. 16, 2015 (GLOBE NEWSWIRE) — Huntington Ingalls Industries (NYSE:HII) announced today that its Ingalls Shipbuilding division has been awarded a $34.8 million cost-plus-fixed-fee contract for life-cycle engineering and support services on the U.S. Navy’s USS San Antonio (LPD 17) class of amphibious transport docks. The contract includes options that, if exercised, would bring the cumulative value to $242 million.

“The men and women of Ingalls are passionate about building and supporting LPD 17-class ships when they enter the fleet,” said George Nungesser, Ingalls’ program manager for the project. “This contract builds on our strong legacy of our partnership with the Navy in the construction and post-delivery of Navy ships. We look forward to providing on-site support at U.S. Navy homeports to upgrade these ships with the latest technology.”

Services provided in the contract include post-delivery planning and engineering, systems integration and engineering support, research engineering, material support, fleet modernization program planning, supply chain management, maintenance, and training for certain San Antonio-class shipboard systems.

The San Antonio class is a key component to the Navy’s 21st century amphibious assault force. The 684-foot-long, 105-foot-wide ships are used to embark and land Marines, their equipment and supplies ashore via air cushion or conventional landing craft and amphibious assault vehicles, augmented by helicopters or vertical takeoff and landing aircraft such as the MV-22 Osprey. The ships support a Marine Air Ground Task Force across the spectrum of operations, conducting amphibious and expeditionary missions of sea control and power projection to humanitarian assistance and disaster relief missions throughout the first half of the 21st century.

About Huntington Ingalls Industries

Huntington Ingalls Industries is America’s largest military shipbuilding company and a provider of engineering, manufacturing and management services to the nuclear energy, oil and gas markets. For more than a century, HII’s Newport News and Ingalls shipbuilding divisions in Virginia and Mississippi have built more ships in more ship classes than any other U.S. naval shipbuilder. Headquartered in Newport News, Virginia, HII employs nearly 37,000 people operating both domestically and internationally. For more information, visit:

Statements in this release, other than statements of historical fact, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that could cause our actual results to differ materially from those expressed in these statements. Factors that may cause such differences include: changes in government and customer priorities and requirements (including government budgetary constraints, shifts in defense spending, and changes in customer short-range and long-range plans); our ability to obtain new contracts, estimate our future contract costs and perform our contracts effectively; changes in government regulations and procurement processes and our ability to comply with such requirements; our ability to realize the expected benefits from consolidation of our Ingalls facilities; natural disasters; adverse economic conditions in the United States and globally; risks related to our indebtedness and leverage; and other risk factors discussed in our filings with the U.S. Securities and Exchange Commission. There may be other risks and uncertainties that we are unable to predict at this time or that we currently do not expect to have a material adverse effect on our business, and we undertake no obligations to update any forward-looking statements. You should not place undue reliance on any forward-looking statements that we may make.

 

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