On a slow day for Defense Department awards, Raytheon  (NYS: RTN) made out pretty well on Thursday, scoring a pair of Pentagon contracts worth a combined $70.5 million.

The larger of the two awards, weighing in at a hefty $49.9 million, came in the form of a modification to a sole-source cost-plus-fixed-fee contract to perform engineering work on Standard Missile-3 Block IB -- its second such award in as many months. SM-3IB is the latest version of Raytheon's Standard surface-to-air missile and aims to enhance the original's effectiveness with enhanced, two-color infrared target seeking and the use of short bursts of precision propulsion to steer the missile toward incoming targets. The SM-3IB is expected to go into service in 2015, and Raytheon's work on the instant contract will be completed by Dec. 31, 2013.

Raytheon's other contract of the day, worth $20.6 million, was a modification to a previously awarded firm-fixed-price contract to procure tube-launched, optically tracked, wireless-guided missiles. To date, and counting this latest modification, this original contact has been modified so as to raise its cumulative value to nearly $203 million.

The article Raytheon Wins $70.5 Million in New Missile Contracts originally appeared on Fool.com.

Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool owns shares of 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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