Lockheed Martin Secures Multi‑Million Dollar Contract to Integrate PAC‑3 MSE into Navy Aegis System

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April 21, 2026

Lockheed Martin announced a multi‑million dollar contract to integrate its PAC‑3 MSE hit‑to‑kill interceptor into the U.S. Navy’s Aegis combat system, marking the first time the Navy will field the missile on surface ships.

The agreement targets guided‑missile destroyers and will begin integration work in 2026, with the PAC‑3 MSE expected to be operational on these vessels by the late‑2020s. The addition expands the Navy’s high‑altitude air‑defense envelope and enhances the reach and effectiveness of its existing missile‑defense architecture.

For Lockheed Martin, the contract represents a new multi‑year revenue stream and a boost to the Missiles and Fire Control segment, which has been a key growth engine for the company. The deal adds to a record backlog of $194 billion and reinforces Lockheed’s leadership in advanced missile‑defense solutions for the Department of Defense and partner nations.

The contract builds on earlier Navy plans announced in October 2024 and a $65 million FY2026 funding allocation for PAC‑3 MSE integration, underscoring a broader trend of upgrading naval missile‑defense capabilities to counter evolving threats such as hypersonic weapons.

"2025 marked unprecedented demand for Lockheed Martin capabilities," said Chairman, President and CEO Jim Taiclet in January 2026. "This escalating demand for our signature programs and systems has been driven by combat‑proven performance over recent years that has already been again demonstrated in 2026."

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