@RYNO87 Yes it does. They fire at the same time (rulebook pages 15/16):
“Attacking and defending units in each space are considered to fire at the same time, but for ease of play you roll dice in
sequence: attacker first, then defender.”
“Surprise Strike: Each attacking submarine conducting a Surprise Strike rolls one die, scoring a hit on a roll of “2” or less.
After the attacker has rolled for all attacking submarines, the defender chooses one sea unit for each hit scored and moves it behind the casualty strip. (Submarines cannot hit air units.) Then each defending submarine conducting a Surprise Strike rolls one die, scoring a hit on a roll of “1.” After the defender has rolled for all defending submarines, the attacker chooses one sea unit for each hit scored and removes it from play.” …