The contract for the missiles includes provision of warranties, flight test and life-cycle support.
Included in the production order is the manufacture of missiles to replace those fired by the Navy in Operation Odyssey Dawn, which was conducted last year against Libyan strongman Moammar Gadhafi.
"Tomahawk Block IV is important for U.S. national security because it enables commanders to precisely engage heavily defended and high-value targets from extremely long distances," said Capt. Joseph Mauser, the U.S. Navy's Tomahawk program manager.
"With more than 2,000 combat uses and 500 successful tests, Tomahawk has proven highly reliable and effective."
Production of the missiles will begin this year, Raytheon said.
The Tomahawk Block IV missile has a range of more than 1,000 nautical miles. It uses a two-way satellite data link that enables a strike controller to direct the missile to preprogrammed alternate targets or a new target.
Notable deaths of 2014 [PHOTOS]