Lockheed Martin has received a $379 million contract from the U.S. Army Aviation and Missile Command (AMCOM) for the production of 112 Patriot Advanced Capability-3 (PAC- 3) missiles. The contract also includes launcher modification kits, program management and engineering, as well as spares and other necessary equipment.

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The PAC-3 missile is said to be the world's most advanced, capable and powerful theater air defense missile. It defeats the entire threat to the Patriot Air Defense System—tactical ballistic missiles, evolving cruise missiles and fixed and rotary winged aircraft. In addition, PAC-3 missiles significantly increase the Patriot system's firepower, since 16 PAC-3s load-out on a Patriot launcher, compared with four legacy Patriot PAC-2 missiles.

Lockheed Martin missiles and fire control is the prime contractor for the PAC-3 missile segment upgrade for the Patriot air defense system. This upgrade comprises the PAC-3 missile, the PAC-3 missile canister—which holds four PAC-3 missile—a fire-solution computer and an enhanced launcher electronics system.

The PAC-3 missile has been selected as the U.S. primary interceptor for the multinational medium extended air defense system (MEADS). MEADS is a model transatlantic program for the next generation of air and missile defense. It will focus on risk reduction, application of key technologies and validation of a system design incorporating the PAC-3 missile as the primary interceptor. Production of all equipment will take place at Lockheed Martin manufacturing facilities in Dallas and Lufkin, Texas and the PAC-3 facility in Camden, Arkansas.