General Electric Awarded $2.87 Billion Navy Contract for F/A-18 Engine Support

General Electric Co. (NYSE: GE) has secured a $2.87 billion contract from the U.S. Department of Defense to provide logistics support for engines powering the U.S. Navy's F/A-18 E/F/G fighter jet fleet. The award provides a stable, long-term revenue stream for GE's aerospace division from a key military customer.

Contract Details

The Department of Defense announced the five-year, performance-based logistics contract covers repair, replacement, and program support for 17 components of the F414 engine. The agreement, which has no option periods, is expected to be completed by August 2031.

This contract reinforces GE's position as a critical supplier for the U.S. military's frontline aviation assets. The F414 engine is the power plant for the F/A-18 Super Hornet and the EA-18G Growler, which form the backbone of the Navy's carrier-based air wings.

Financial and Operational Impact

An initial $198.22 million from fiscal 2026 working capital funds will be committed at the time of the award, with $148.67 million of that amount being obligated immediately. The DoD noted that these funds will not expire at the end of the current fiscal year.

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The majority of the work will be performed at two key GE locations:

• Lynn, Massachusetts: 90% of the work will be executed here.
• Jacksonville, Florida: The remaining 10% will be completed at this facility.

Procurement Context

The contract was awarded as a sole-source requirement, with GE being the only company solicited, according to the official announcement. This is common for highly specialized military hardware where the original equipment manufacturer is the only entity with the proprietary knowledge and tooling to perform the work. The Naval Supply Systems Command Weapon Systems Support in Philadelphia is the contracting activity.