ImportantRTX
Explain this story: News | RTX's Raytheon awarded $24.4 billion multi-year contract for SM-6 interceptors
Explain like I'm 7
Raytheon will build special Navy missiles called SM-6s. The government agreed to pay up to $24.4 billion for them.
Contract · Awarded $24.4 billion multi-year SM-6 missile contractRTXSector and industry: IndustrialsAerospace & DefenseTell me moreShow less
Explain like I'm 7
Raytheon will build special Navy missiles called SM-6s. The government agreed to pay up to $24.4 billion for them.
What happenedFrom the article
- Raytheon, an RTX business, has been awarded a multi-year contract worth up to $24.4 billion for Standard Missile-6 (SM-6) interceptors.
- This contract includes two option years.
- It aims to significantly increase the availability of SM-6s for the U.S. Navy.
- The SM-6 is described as a combat-proven multi-mission weapon capable of anti-air warfare, anti-surface warfare, and ballistic missile defense.
Why investors careOur explanation
A multi-year contract gives a company a locked-in stream of future , which makes future sales more predictable than one-off orders. Larger, longer defense contracts can also signal steady