BAE Systems to modernise USS Forrest Sherman under new U.S. Navy contract worth up to $139 million

By Defence Industry Europe

BAE Systems has secured a $123 million U.S. Navy contract to modernise the Arleigh Burke-class destroyer USS Forrest Sherman, with the value potentially rising to $139 million if all options are used. Work will be carried out at the company’s Norfolk shipyard under a Navy Depot Modernization Period starting in February 2026.
Photo: BAE Systems.

BAE Systems has secured a $123 million U.S. Navy contract to modernise the Arleigh Burke-class destroyer USS Forrest Sherman, with the value potentially rising to $139 million if all options are used. Work will be carried out at the company’s Norfolk shipyard under a Navy Depot Modernization Period starting in February 2026.

 

The shipyard will preserve the underwater hull and undertake major reconditioning of engineering spaces while also upgrading command-and-control systems and refurbishing crew living quarters. The project is scheduled for completion in early 2027.

“The modernization of USS Forrest Sherman will be a major project for our team, building upon our recent DMP work,” said David M. Thomas, Jr., vice president and general manager of BAE Systems Maritime Solutions Norfolk. “More importantly, our work will ensure that the Forrest Sherman is fit to provide a high level of service in the fleet for many years.”

 

 

BAE Systems completed a similar modernisation effort on the guided-missile destroyer USS Nitze in June 2024, and five other Navy and commercial vessels are currently undergoing repair work at its facilities. The 9,200-ton USS Forrest Sherman, commissioned in January 2006, is the 48th ship of its class and carries the name of former Chief of Naval Operations Admiral Forrest P. Sherman.

A previous U.S. Navy destroyer, USS Forrest Sherman (DD 931), also honoured the admiral and served as the lead ship of an 18-vessel class built in the 1950s. BAE Systems recently rebranded its U.S. maritime business as Maritime Solutions to reflect expanded services and ongoing investment across its shipyards.

 

 

The company provides maintenance and modernisation work for the U.S. Navy’s combatant fleet, along with refit services for private vessels and fabrication support for submarine and ship builders. It operates three full-service shipyards in California, Florida, and Virginia, supported by an experienced workforce and a broad network of suppliers and subcontractors.

 

Source: BAE Systems (press release).

 

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