BAE Systems has been awarded a significant $177.8 million contract by the U.S. Navy for the comprehensive maintenance and modernization of the USS Halsey, an Arleigh Burke-class guided-missile destroyer. This contract represents a major step in ensuring the continued operational effectiveness of this vital naval asset.
The contract, known as a Depot Maintenance Period (DMP), will see BAE Systems’ San Diego shipyard undertake a wide range of crucial upgrades and repairs. The 509.5-foot-long destroyer will be dry-docked for extensive underwater hull preservation work, enhancing the ship’s capabilities and extending its service life.
A key focus of the modernization effort will be the enhancement of the ship’s Aegis combat system, which forms the backbone of the Navy’s air and missile defense capabilities. The Surface Electronic Warfare Improvement Program (Block 3) will be implemented, significantly improving the USS Halsey’s ability to detect and counter threats in a complex and evolving maritime environment.
Beyond combat systems, the contract also includes upgrades to the command-and-control systems, ensuring the efficient flow of information and decision-making on board the ship. Additionally, the living spaces for the 260 crewmembers will be thoroughly refurbished, enhancing their comfort and improving their quality of life during extended deployments.
The work is expected to commence later this month and will continue into 2026. Eric Icke, Vice President and General Manager of BAE Systems San Diego Ship Repair, highlighted the importance of this project, stating, “This type of deep-level sustainment work is necessary and critical to maintain the combat effectiveness of the USS Halsey.” He added, “Our San Diego team is ready to conduct the assigned DMP work that will enable the Halsey to move into its next phase of fleet readiness.”
The San Diego shipyard has a strong track record in ship maintenance and modernization, having recently completed similar work on the USS Mustin (DDG 89). The USS Halsey will be the shipyard’s fifth DMP project, demonstrating their expertise in this specialized field.
The USS Halsey, the 47th ship in the Arleigh Burke class of guided missile destroyers, was commissioned in July 2005. Named after Fleet Admiral William F. “Bull” Halsey, a legendary figure in the Pacific theater during World War II, the destroyer continues to uphold a legacy of naval excellence.
BAE Systems is a leading provider of ship repair, maintenance, modernization, conversion, and overhaul services, serving the U.S. Navy, other government agencies, and select commercial clients. With three full-service shipyards in California, Florida, and Virginia, the company boasts a highly skilled workforce, seven dry-docks and railways, and significant pier space and ship support services. The San Diego shipyard alone employs about 650 people, working in collaboration with the Navy and various subcontractor companies to deliver exceptional ship sustainment work.