Lockheed Martin said on Monday it had secured a contract worth up to $1.2 billion from the US Army to produce the Increment 2 variant of the Precision Strike Missile (PrSM). • PrSM is the Army's next-generation long-range precision strike weapon, designed to replace the Army Tactical Missile System, or ATACMS. • Lockheed Martin said the award follows a second successful flight test of the missile's Increment 2 variant, which demonstrated its ability to engage moving maritime targets.