NEWPORT NEWS, Va., March 29, 2013 (GLOBE NEWSWIRE) -- Huntington Ingalls Industries (NYSE:HII) was awarded a $2.6 billion cost-plus-incentive-fee contract today for the refueling and complex overhaul (RCOH) of the nuclear-powered aircraft carrier Abraham Lincoln (CVN 72). The work will be performed at the company's Newport News Shipbuilding (NNS) division.
The ship arrived at NNS Thursday using planning contract funding. Lincoln was originally scheduled to arrive at NNS on Feb. 14 but was among the projects delayed due to uncertainties surrounding the defense budget and funding of the work. The president signed legislation Tuesday enabling the Navy and NNS to move the Lincoln to the shipyard to begin the RCOH.
"Our focus will continue to be on the task at hand: modernizing and improving upon Lincoln's capabilities for another 25 years of successful service," said Chris Miner, NNS vice president, in-service aircraft carrier programs. "We have worked closely with our Navy partners throughout the budget process and have made good progress getting starting on the planned work during the extended period at Naval Station Norfolk. Now that the ship is in dry dock the shipbuilder-Navy team is eager to finish what we've started here at Newport News Shipbuilding."
The RCOH represents 35 percent of all maintenance and modernization in an aircraft carrier's 50-year service life. Lincoln's RCOH will include the refueling of the ship's reactors, as well as extensive modernization work to more than 2,300 compartments, 600 tanks and hundreds of systems. In addition, major upgrades will be made to the flight deck, catapults, combat systems and the island. Work is expected to begin immediately and continue through November 2016. After RCOH, Lincoln will be one of the most modern and technologically advanced Nimitz-class aircraft carriers in the fleet and will continue to be a vital part of our national defense.
USS Abraham Lincoln is the fifth ship of the Nimitz class to undergo this major life-cycle milestone, which will be the ship's one and only RCOH. More than 3,800 NNS employees will work aboard the carrier during peak periods of the project.
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 costs and perform effectively; risks related to our spin-off from Northrop Grumman (including our increased costs and leverage); our ability to realize the expected benefits from consolidation of our Gulf Coast facilities; natural disasters; adverse economic conditions in the United States and globally; 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.
About Huntington Ingalls
Huntington Ingalls Industries (HII) designs, builds and maintains nuclear and non-nuclear ships for the U.S. Navy and Coast Guard and provides after-market services for military ships around the globe. For more than a century, HII has built more ships in more ship classes than any other U.S. naval shipbuilder at its Newport News Shipbuilding and Ingalls Shipbuilding divisions. Employing about 37,000 in Virginia, Mississippi, Louisiana and California, HII also provides a wide variety of products and services to the commercial energy industry and other government customers. For more information, visit: