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Raytheon Venture Lands $5.6 Billion NATO Missile Contract

The deal offers economies of scale and supports production capacity expansion.

The GEM-T is a PAC-2 missile interceptor enhanced for defeating tactical ballistic missiles.
The GEM-T is a PAC-2 missile interceptor enhanced for defeating tactical ballistic missiles.
Raytheon

Founded in 1987, Comlog GmbH is a 50/50 joint venture between defense contractor MBDA Germany and Raytheon. The company primarily deals in the logistic support of Patriot PAC-2 missiles. 

Since its founding, the company has performed maintenance for more than 5,000 Patriot Advanced Capability 2 (PAC-2) missiles at the Patriot Missile Facility 3 (PMF-3), located in Schrobenhausen, Germany. 

Yesterday, the NATO Support and Procurement Agency (NSPA) awarded Comlog its first contract under the European Sky Shield Initiative (ESSI). With a total value of up to $5.6 billion, the agreement supports a coalition of nations, including Germany, the Netherlands, Romania and Spain, with a combined quantity of up to 1,000 Patriot GEM-T missiles, if all options are exercised. 

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The contract includes the qualification of updated components, the addition of new suppliers, test equipment and spares to support future sustainment. Comlog will expand GEM-T production capacity in Europe to support the new deal.

GEM-T, the Patriot Advanced Capability 2 (PAC-2) missile interceptor enhanced for defeating tactical ballistic missiles, is a primary effector for the Patriot air and missile defense system. Eight European nations and Ukraine use Patriot for defense against cruise missiles, ballistic missiles, and enemy drones and aircraft.

The bundled procurement offers economies of scale and supports production capacity expansion. 

According to Thomas Gottschild, managing director of MBDA Deutschland, the new Patriot missile production facility will be in Germany. The plant will also support major subcomponent production. 

NSPA is NATO's lead organization for multinational acquisition, support and sustainment. Headquartered in the Grand Duchy of Luxembourg, with operational centers in France, Hungary and Italy, the agency employs more than 1,500 staff and oversees some 500 contractors.

NPSA is Comlog's primary customer.

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