Investing.com - Lockheed Martin Corp. (NYSE: LMT) was awarded two Defense Department contracts totaling approximately $2.8 billion for F-35 fighter jet sustainment and CH-53K helicopter development work, the U.S. Department of War announced.

The larger contract, valued at $2.29 billion, is a cost-plus-incentive-fee indefinite-delivery/indefinite-quantity agreement for initial non-recurring sustainment activities and services for the F-35 Lightning II Joint Strike Fighter. The work includes site activation, interim contractor support, fleet management, and reliability and maintainability improvement plans for establishing new operational sites and one-time setup of land-based and at-sea fleet support operations for the Air Force, Marine Corps, Navy, Foreign Military Sales customers, and F-35 Cooperative Program Partners.

A second contract awarded to Sikorsky Aircraft Corp., a Lockheed Martin subsidiary, is valued at up to $525 million. The firm-fixed-price, cost-plus-fixed-fee agreement covers non-recurring engineering, integration, and flight-test support for development and modernization of the Y/CH-53K Heavy Lift Helicopter program for the Marine Corps, Navy, and a Foreign Military Sales customer.

Work on the F-35 contract will be performed in Fort Worth, Texas (85%) and Orlando, Florida (15%), with completion expected in December 2028. The helicopter contract work will be performed primarily in Stratford, Connecticut (65.2%) and West Palm Beach, Florida (19.93%), with completion expected in June 2031.

No funds will be obligated at the time of award for either contract, with funds to be obligated on individual orders as they are issued. Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity for both agreements.