Northrop Grumman Ship Systems sector has been awarded two Deepwater contracts totaling $129 million for the detail design and long lead material procurement for the U.S. Coast Guard's first new National Security Cutter (NSC). The combined contracts mark the first step in the development and delivery of this new class of cutters set to replace the Coast Guard's aging fleet of surface vessels. Integrated Coast Guard Systems (ICGS) awarded the contracts under the Coast Guard's Integrated Deepwater System Program.
ICGS, the prime contractor for the program, is a partnership of Northrop Grumman Ship Systems and Lockheed Martin Corporation. The NSC's preliminary and contract design phase was recently completed. Fabrication of the first new NSC is planned to begin in mid-2004, with ship delivery scheduled in 2006. Deepwater is the largest recapitalization effort in the Coast Guard's 200-year history. The Integrated Deepwater System is a critical multi-year program to modernize and replace aging ships and aircraft, and improve communications, command and control, and logistics systems. This contract was awarded in June 2002 and is estimated to total $17 billion over the life of the program.