SAN DIEGO, April 18, 2011 (GLOBE NEWSWIRE) -- Huntington Ingalls Industries, Inc. (NYSE:HII) announced today a U.S. Navy contract to its Continental Maritime (CMSD) division to provide pump and motor overhaul services aboard Navy ships within a 50-mile radius of San Diego. The firm-fixed-price, indefinite-delivery/indefinite-quantity, multiple-award contract, awarded with two other companies, has an estimated value of $120 million for all three prime contractors. The contract will have an ordering period of five years, and each order will be competed among the three awardees.
"It has been over 13 years since Continental Maritime was a prime contractor, and this award is important in that respect," said Dan Flood, vice president and general manager, CMSD. "This award provides us opportunities moving forward that we did not have in the past. Additionally, this contract gives CMSD the opportunity to showcase our superior mechanical and electrical repair capabilities."
Huntington Ingalls Industries, America's largest military shipbuilder, was previously a business sector of Northrop Grumman Corp. until effectively separating on March 31 in a spinoff of the company to shareholders.
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. Employing nearly 38,000 in Virginia, Mississippi, Louisiana and California, its primary business divisions are Newport News Shipbuilding and Ingalls Shipbuilding. For more information, please visit www.huntingtoningalls.com.
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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.