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E-2 Hawkeye Enters Into Second Multi-year Procurement

Navy Newsstand

Story Number: NNS040202-03

Release Date: 2/2/2004 10:06:00 AM

By Denise Deon Wilson, PEO-T Public Affairs PATUXENT RIVER, Md. (NNS) -- The Naval Air Systems Command (NAVAIR) E-2 Program announced it signed a second multi-year procurement contract with the Northrop Grumman Corporation for the E-2 Hawkeye 2000, Jan. 22.

The contract, valued at approximately $570 million, includes both Hawkeye 2000s and Trainer aircraft. By signing a multi-year contract, NAVAIR is once again delivering cost-wise readiness and dominant maritime combat ability to the U.S. Naval Fleet.

"The E-2 Fleet looks forward to filling out its inventory of Hawkeye 2000 aircraft and balancing its readiness and inventory with the addition of the TE-2 pilot trainer aircraft," said Naval Air Systems Command E-2/C-2 Program Manager, Capt. Robert LaBelle.

Under the terms of the contract, the Navy will purchase eight aircraft, in total, in fiscal years 2004 through 2007 (two per year). Deliveries for aircraft purchased in the second multi-year will begin in fiscal year 2007.

A multi-year procurement has many benefits for the government and the contractor. A multi-year procurement is the most efficient way to procure the aircraft over traditional single-year procurement scenarios. This multi-year contract assures a stable business base for suppliers of the Hawkeye, and allows the contractor to better plan the production flow and facility utilization, which reduces the recurring production costs and sustaining engineering.

The E-2C Hawkeye 2000 made its first deployment in 2003 aboard USS Nimitz (CVN 68) in a deployment in support of Operation Iraqi Freedom. The E-2C Hawkeye is the Navy's all-weather, carrier-based tactical battle management airborne command and control aircraft. Known as the "eyes of the fleet," the E-2C provides the ability to collect data and supply information to naval and joint forces ahead of engagement.