On Monday, America's Defense Security Cooperation Agency announced [link opens in PDF] that it has petitioned Congress for authorization to sell Israel 6,900 Joint Direct Attack Munitions, colloquially known as "smart bombs."
According to the news release, DSCA is seeking approval of a sale valued at $647 million, including the bombs themselves, plus parts, training, and logistical support. DSCA supported its request by arguing that "the United States is committed to the security of Israel, and it is vital to U.S. national interests to assist Israel to develop and maintain a strong and ready self-defense capability. This proposed sale is consistent with those objectives."
If Congress approves the sale, this would result in new revenues for Boeing , which manufactures the majority of the munitions described in the request, but also for companies including Alliant TechSystems , Lockheed Martin , General Dynamics , and Raytheon , all of which participate in the munitions' production.
The article U.S. Considers $647 Million Munitions Sale to Israel originally appeared on Fool.com.Fool contributor Rich Smith has no positions in the stocks mentioned above. The Motley Fool owns shares of General Dynamics, Lockheed Martin, and Raytheon Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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