Lockheed Martin, Raytheon Applaud $95 Billion Supplemental Arms Package

Defense contractors see "margin growth" with massive escalation of weapons shipments to the Ukraine-Russia war.

Last weekend, the House of Representatives moved to pass a string of bills to provide over $95 billion in foreign aid and military arms to Ukraine, Israel and Taiwan.

Rep. French Hill, R-Arkansas, saluted the funding as akin to the foreign aid that helped the Americans win the Revolutionary War. Rep. Nancy Pelosi, D-Calif., thanked her Republican colleagues for the legislative support and scorned critics of the bill. “You will have blood on your hands,” she said. As the bill passed, legislators waved miniature Ukrainian flags and cheered. 

The jubilation for the massive increase in weapons transfers was also heard on Wall Street. The supplemental funding package came just as both Lockheed Martin and RTX Corp, formerly known as Raytheon, announced quarterly earnings. 

Christopher Calio, the president of RTX, noted during the investor call that out of the $60 billion in the legislation for Ukraine, his company is prepared to provide "about two-thirds of that" with "RTX products." 

"Think GEM-T, NASAMS, Patriot, AMRAAM, AIM-9X,” said Calio, rattling off a variety of missiles manufactured by RTX.