SI International purchased by UK company

August 31, 2008 by Dagpotter · Comment
Filed under: Acquisitions, England, SI International, Serco, U.S. Air Force 

Serco, a large service provider from the UK with worldwide operations, announced that it had purchased the US defense contractor, SI International. The $400 M deal expands Serco into the US defense market and represents another broadening of their market base. This continues the trend of European companies buying US ones in order to reach the large DoD budget here. By buying a US company many of the technology transfer and security requirements that impact foreign companies doing business can be minimized. SI International has 4,500 employees and primarily supports the US Air Force, an area that Serco does not do much business with.

The Guardian has the story here.

Union and Boeing try to agree

Boeing is negotiating with the machinists union who make up the core of its workforce on both military and commercial aircraft. Today they sent their best and last offer. This includes the employees who will build the tanker for the US Air Force. So in the middle of trying to write and cost a proposal to the Air Force for a program that is seen as key to the company holding onto a market they are trying to prevent work stoppages. Strikes are the kind of thing that can kill a program’s schedule.

See Excite News for more.

Update: The union leaders have recommended rejection of the Boeing proposal and striking on 4 September. While this will have a large effect on civil aircraft production it won’t help Boeing get ready for the KC-45 if they win again.

See Bloomberg.com for a story on this mess.

DoD awards contract for C3I system.

Alphaport, an Ohio based contractor, was awarded a contract to act as the prime on development of a new Command, Control, Communications, & Intelligence (C3I) system for the US. The system will be worn by an airman and provide a way to provide control of air assets supporting the ground forces. The system is called BATMAN, Battlefield Air Targeting Man-Aided Knowledge.

The press release can be found at the Military and Aerospace Electronics website.

India goes with AW for new VIP aircraft

Like the US Navy, India awarded a contract to Augusta Westland for their new VIP transport helicopter. The contract is worth about $300 M. Sikorsky was one of the unsuccessful bidders with their S-92 aircraft. The EH-101 selected will offer a larger cabin, although it is a more expensive aircraft. US companies have been trying hard lately to break into the Indian market as that country has turned away from its traditional English and Russian suppliers. India has also made a great effort to begin developing a sophisticated, indigenous arm suppliers.

See The Hartford Courant article about this contract here.

Former Undersecretary of Acquisition criticizes Boeing

The former Undersecretary of Defense for Acquisition, Technology and Logistics was quoted in a newspaper article criticizing Boeing for wanting a delay in submitting their proposal for the KC-45 recompete. Jacques Gansler who worked in the second Clinton administration said that because of the critical need for the new aircraft if Boeing cannot support the schedule, perhaps they should just not bid. He feels that it would not be proper for the government to give the delay in this situation.

For more see The Guardian.

Contracts for August 29, 2008

Contracts valued at $5 million or more are announced each business day at 5 p.m.

DLA contracts for Middle East distribution

August 29, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
ALEXANDRIA, Va., Aug. 29 (UPI) -- The Defense Logistics Agency has contracted Agility Defense and Government Services to support Defense Department distribution services in the Middle East.

DRS acquisition deal moves forward

August 29, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
ROME, Aug. 29 (UPI) -- Italian company Finmeccanica's move to acquire DRS Technologies has taken a step forward with an announced early elimination of a regulation waiting period.

Point Blank elects new chairman

August 29, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
POMPANO BEACH, Fla., Aug. 29 (UPI) -- Florida-based body armor developer Point Blank Solutions Inc. has named a new chairman of the company's board of directors.

GD delivers sub ahead of schedule

August 29, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
GROTON, Conn., Aug. 29 (UPI) -- The U.S. Navy says it has received delivery of a new nuclear-powered attack submarine produced by General Dynamics Electric Boat ahead of schedule.

Draeger selected for Phoenix SCBA deal

August 29, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
PITTSBURGH, Aug. 29 (UPI) -- Phoenix emergency response authorities have contracted Draeger to supply self-contained breathing apparatus units for deployment with its fire department.

Institute of Mechanical Engineers to host seminar on Military Vehicles

August 28, 2008 by Dagpotter · Comment
Filed under: Editorial, Trade Shows and Events 

On 17 September 2008 the Institute of Mechanical Engineers will host the seminar “Platform Technology for Military Vehicles. It will be held at the British Aerospace Workers Association (BAWA), Bristol. Featured speakers will be Mr. Nick Fox, Program Manager Utility Vehicles SUV IPT; Mr. David Ensor, Senior Development Engineer for MIRA Ltd; Mr. Bob Allsopp, Managing Director of Ricardo; Mr. Andy Wallace of the Defence, Technology and Innovation Center; Mr. Paul Rogers of BAE Systems; Mr. Tony White of Ultra Electronics; Mr. Ron Cook of L-3 Communications; Mr. Roger Medwell of NP Aerospace and Mr. Mark French from QinetiQ. For more information please contact Martin Pratt at +44 (0)20 7973 1261 or at m_pratt@imeche.org. The website for the seminar can be found here.

Russia’s older tanks still pack punch across Eurasia

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
By MARTIN SIEFF
UPI Senior News AnalystWASHINGTON, Aug. 28 (UPI) -- The effective use of decades-old Russian T-72 Main Battle Tanks in the brief Georgia conflict again shows how supposedly obsolete weapons can still play a potent and even decisive role in modern war.

Russia, U.S. risk collision course on BMD plans

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
By YURI ZAITSEV
UPI Outside View CommentatorMOSCOW, Aug. 28 (UPI) -- On Aug. 14 Poland and the United States signed an agreement on the deployment of 10 ground-based missile interceptors on Polish territory.

World credit crisis weakens state power

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
By WILLIAM S. LINDWASHINGTON, Aug. 28 (UPI) -- Despite the recent drop in the price of oil, the world economy is still sailing into troubled waters. The U.S. credit crisis is intensifying and spreading to Britain. Europe is moving toward recession. The international financial system continues to depend on mountains of debt. If the financial panic that the U.S. Federal Reserve Bank thus far has managed to stave off materializes, we could witness a meltdown of historic proportions.

Contracts for August 28, 2008

Contracts valued at $5 million or more are announced each business day at 5 p.m.

GD to perform Abrams maintenance

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
STERLING HEIGHTS, Mich., Aug. 28 (UPI) -- The U.S. Defense Department has contracted General Dynamics Land Systems for technical support on the Abrams main battle tank.

Delaware State Univ. to install alert tech

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
MINNEAPOLIS, Aug. 28 (UPI) -- Delaware State University has contracted U.S. company Honeywell to implement an emergency incident communication system for use on campus.

BAE, QinetiQ partner on new warship gun

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
LONDON, Aug. 28 (UPI) -- BAE Systems and QinetiQ have partnered on a contract to develop a more powerful heavy gun for the new British Type 45 destroyer Daring-class warships.

Cornet to develop next-gen GPS technology

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
SPRINGFIELD, Va., Aug. 28 (UPI) -- The U.S. Navy has contracted Cornet Technology Inc. for the development of next-generation global positioning system technologies.

SupplyCore increases Middle East supplies

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
ROCKFORD, Ill., Aug. 28 (UPI) -- SupplyCore announced plans to increase its inventory levels at warehouses in the Middle East to address U.S. Central Command's evolving mission.

CACI to support NVESD simulation training

August 28, 2008 by admin · Comment
Filed under: Industry Analysis, Syndicated Industry News 
ARLINGTON, Va., Aug. 28 (UPI) -- The U.S. Army has awarded CACI International Inc. a follow-on contract for the company's continued support of night vision and sensor technologies.

Navy to develop WMD simulator

The US Navy awarded Cubic Applications Inc a contract to begin development of a training simulator for Weapons of Mass Destruction (WMD) environments. The contract is worth up to about $16 M, with $2M executed to date. The Navy will ultimately end up with a system that can conduct repeatable training on a range. The contract is for development of a system as well as looking at future technologies that can support this type of training.

See the press release at the The Wall Street Journal’s MarketWatch.com site.

Marines order more rockets and their launchers

Talley Inc, owned now by the Norwegian company Nammo, won a contract from the USMC to develop a launcher for 83mm rockets. The current system has been in use since 1984. The ammunition, currently produced by Talley, will remain the same, but a new system for firing the rockets from a Marine’s shoulder will be developed. The contract is for an initial buy of 146 launchers and 900 rounds of ammunition. Talley has produced over 40,000 rounds of this type. Nammo purchased the company last year as a way in to the US defense market.

See The Arizona Republic business site, here, for more on this contract.

Arrests in Afghanistan contracting scandal

Two Air Force personnel and three Afghan nationals were arrested over charges that bribes were paid to win contracts for military construction in Afghanistan. Two of the Afghans also resided in the United States. Supposedly a bribe of $30,000 was paid to the US Air Force officials to win a $1 M construction contract in 2004. Another bribe was paid later to win a road contract. Several US military and civilian personnel have been arrested and charged with contract related corruption in Kuwait, Iraq and the United States. With the amount of money going to the efforts in Afghanistan and Iraq there is always a chance for such crime.

There is more at The Wall Street Journal’s MarketWatch.com site.

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