Raytheon nabs $2.1B for work on Standard Missile-3 Block IB rounds

March 27 (UPI) -- The U.S. Missile Defense Agency has awarded Raytheon Missile Systems with a $2.1 billion contract for work on Standard Missile-3 Block IB rounds for United States and allies, the Pentagon has announced.

The contract, announced Thursday by the Department of Defense, funds the manufacture and services associated with the missile system. The deal came on the same day Raytheon announced a $1 billion, five-year deal to buy propulsion systems from Aerojet Rocketdyne for Standard Missile projects.

Raytheon's Standard Missile 3 is a missile system used by the Navy to intercept short- and intermediate-range ballistic missiles.

The DoD contract is financed with funds from fiscal years 2019 through 2023 but has a period of performance from contract award through March 2027.

Work on the deal will be performed in Tucson, Ariz., and Huntsville, Ala.