General Electric Co. and Rolls-Royce Group Plc on Monday announced they won a 2.4 billion dollar contract to develop and manufacture an engine for the Joint Strike Fighter, one of the US military's most high-profile projects.

The F136 engine will be used for the F-35 Joint Strike Fighter (JSF), a stealth aircraft designed to replace the AV-8B Harrier, A-10, F-16, F/A-18 Hornet and Britain's Harrier GR7 and Sea Harrier.

The contract "allows the team to transition the development engine into a long-term production program," said Bob Griswold, of GE Transportation and president of the Fighter Engine Team.

"We have worked hard to make the GE Rolls-Royce Fighter Engine Team one entity with a common focus on the F136 engine's success. We are confident the team is in position for success."