Lockheed Martin Challenges US Army's Helicopter Contract To Competitor

  • Sikorsky, a Lockheed Martin Corp LMT company, filed a formal protest asking the U.S. Government Accountability Office (GAO) to review the U.S. Army's decision on the Future Long-Range Assault Aircraft (FLRAA) contract.
  • Based on a thorough review of the information and feedback provided by the Army, Lockheed Martin Sikorsky is challenging the FLRAA decision. 
  • The company says that the data and discussions indicate that the proposals were not consistently evaluated.
  • Also read: Lockheed Martin, Boeing Among US Defense Companies In Potential Talks For Military Gear For Vietnam.
  • The army decided to award Textron Inc TXT the contract to build a new fleet of helicopters, writes Wall Street Journal, worth up to $80 billion.
  • The FLRAA competition pitted two aircraft - Textron's Bell's V-280 Valor Lockheed Martin-Boeing Co's BA Defiant X, which the company claimed was cheaper, prompting Lockheed to protest.
  • Both aircraft were designed to fit into the same footprint as a Black Hawk.
  • GAO can recommend reopening competitions or amending existing contracts if it finds in favor of protests. The office has 100 days to make a final decision.
  • Price Action: LMT shares closed lower by 0.47% at $483.22 on Wednesday.
  • Photo Via Company
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