Boeing Secures $2B MUOS Phase II Contract for Two Satellites
BA•Boeing won a $2B fixed-price-incentive MUOS Phase II contract to design, build, launch support and on-orbit test two satellites, with work in El Segundo set to complete by September 30, 2035. Shares fell 1.87% in regular trading and traded flat in after-hours following the award.
1. Boeing Awarded $2B Satellite Contract
Boeing secured a $2-billion fixed-price-incentive contract for the Mobile User Objective System service life extension Phase II. The award covers design, development, build, launch support and on-orbit testing of two satellites and was won through a competitive acquisition with two offers received.
2. Program Timeline and Scope
Under the Department of War contract, Boeing must complete all MUOS Phase II activities by September 30, 2035. Work will be performed in El Segundo, California, and includes extensive research, development and on-orbit testing to extend critical satellite communications capabilities.
3. Stock Movement After Announcement
Shares closed 1.87% lower on the day of the contract award and traded flat in after-hours. Retail sentiment around Boeing remained bearish even as the stock is up nearly 10% over the past 12 months.
