Raytheon is being awarded a not-to-exceed $169 million modification to previously awarded fixed-price incentive, cost-plus-fixed-fee contract for deferred mission systems equipment for DDG 1000 and DDG 1001, scheduled critical DDG 1002 non-hatchable mission systems equipment, and non-recurring engineering applicable to mission system equipment design and development.

The Naval Sea Systems Command, Washington, D.C., is the contracting activity.

The contract was announced by the Department of Defense on December 28, 2012, and was awarded in Raytheon's fourth quarter.

The Zumwalt-class destroyer (DDG-1000) will be next-generation multi-mission destroyers tailored for land attack and littoral dominance, combined with a strong anti-surface and anti-air capability. DDG 1000 will provide forward presence and deterrence, and operate as an integral part of joint and combined expeditionary forces.

The program was previously known as the DD-21, and then the “DD(X)”. They will take the place of the Iowa class battleships in filling the congressional mandate for naval fire support, though the requirement was reduced to allow them to fill this role.

USS Zumwalt (DDG-1000) is to be the lead ship of the Zumwalt class and the first ship to be named for Admiral Elmo Zumwalt, who progressed to become the youngest Chief of Naval Operations (CNO) in American history. Elmo Russell Zumwalt, Jr. (29 November 1920 – 2 January 2000) was an American naval officer and the youngest man to serve as Chief of Naval Operations. As an admiral and later the 19th Chief of Naval Operations, Zumwalt played a major role in U.S. Military history, especially during the Vietnam War. A highly-decorated war veteran, Admiral Zumwalt reformed Naval personnel policies in an effort to improve enlisted life and ease racial tensions. After he retired from a 32-year Navy career, he launched an unsuccessful campaign for the U.S. Senate.

DDG-1000 started construction in 2009. The Keel Laying ceremony was held November 17, 2011. The vessel at keel laying was over 60% complete and is expected to be launched in 2013 and commissioned in 2014. In December 2012, the steel and composite deck house was lifted and integrated onto the Zumwalt.

The second in class, DDG-1001, the USS Michael Monsoor, was started in 2010 and will have its keel laying in 2012, will be completed in 2013 and commissioned in 2015.

On April 16 2012, it was announced that the third Zumwalt-class destroyer, designated DDG 1002, will be named the USS Lyndon B. Johnson after the nation's 36th president. The USS Lyndon B. Johnson's construction started on April 4, 2012, the launch will be in 2016, and delivery is expected to the Navy in 2018.