Patriot Advanced Capability-3

The Patriot Advanced Capability-3 (PAC-3) is a Major Defense Acquisition Program (MDAP) under the U.S. Army's Major Capability Acquisition pathway. The program encompasses the development, production, and sustainment of advanced surface-to-air missile systems designed to counter tactical ballistic missiles, cruise missiles, and advanced aircraft. The program serves both domestic U.S. military requirements and supports Foreign Military Sales (FMS) customers, including Japan, Kingdom of Saudi Arabia, Kuwait, NATO Support Agency, Qatar, Republic of Korea, Taiwan, and United Arab Emirates.

Contract awards under this program range from small purchase orders for spare parts (under $100,000) to large delivery orders exceeding $300 million. Lockheed Martin Corporation serves as the primary contractor for major system components and support services, typically under Cost Plus Fixed Fee or Cost Plus Incentive arrangements with durations of 2-5 years. Notable subcontractors include Boeing, Raytheon, Northrop Grumman, and Honeywell International. The Program Executive Office (PEO) for Missiles and Space serves as the primary contracting agency, with significant work performed at Letterkenny Army Depot. While most large contracts have no set-aside designation, the program includes numerous Total Small Business set-aside awards for specialized components such as cable assemblies, circuit cards, and metal plating services. The contracts support various aspects of the system, including missile recertification, repair services, obsolescence mitigation, and spare parts procurement.