BAE Systems wins $108 million contract to repair US Navy destroyer

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WASHINGTON — BAE Systems’ U.S. subsidiary has won a nearly $108 million contract from the U.S. Navy to repair the USS Ross guided-missile destroyer — a process that will take more than 500 days, according to a press release from the US Navy. company released Wednesday.

Commissioned in 1997, Ross recently completed a seven-year deployment based in Rota, Spain. The vessel will travel to BAE’s shipyard in Norfolk, Virginia for maintenance, which is expected to be completed in April 2024.

BAE Systems will repair the ship’s main propulsion system and upgrade the berthing and catering areas. It will also perform maintenance on the hull, ballast and fuel tanks, as well as the superstructure, which sits above the deck.

The value of the deal could reach $123.8 million if all contract options are exercised, according to BAE.

The company said that once the maintenance is completed, the ship will be able to operate for another 10 years.

The United States Government Accountability Office has repeatedly raised concerns over the past few years about whether the Navy can meet the maintenance needs of its ships. An August 2020 GAO report found that approximately 75% of scheduled maintenance windows were delayed for aircraft carriers and submarines at Navy shipyards over a five-year period.

The navy does not have enough drydocks – man-made docks used for naval repairs – even for routine maintenance of its ships, Rear Admiral Eric Ver Hage, commander of the regional maintenance center of the Navy, said in January. Marine. Ver Hage said the Navy is looking to the private sector to fill the void.

With shipyards in Virginia, California and Florida, BAE Systems has seven dry docks, according to the company.

The UK-based contractor was the seventh-largest defense company in 2021, according to Defense News’ annual rankings. Last year, it took in nearly $25.8 billion in defense revenue.

Irene Loewenson is a staff editor for Military Times and Defense News. Originally from New York, she is a recent graduate of Williams College, where she served as editor of the student newspaper.

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