Austal awarded $12M contract by US Navy

Company News

by David Chau

The US Navy has awarded a contract to Austal Ltd’s (ASX:ASB) American branch, for US$12 million cost-plus-award fee.

Austal USA will provide engineering and management services support of the Post Shakedown Availability for Gabrielle Giffords (LCS10), which is a Littoral Combat Ship (LCS).

Austal USA is currently completing an 11-ship Independence-variant LCS contract for the US Navy worth over US$3.5 billion.

The company says four out of the 127 metre ships have been delivered, and seven ships are still under construction.

Austal posted a net loss of $84.2 million at 30 June 2016.

David Chau

Finance News Network
David joined FNN in April 2016. In addition to presenting the Market Outlook and latest business news stories, David interviews senior economists and CEOs of ASX-listed companies. Prior to working for FNN, David was a litigation lawyer.