BAE Continues To Build Armor Kits For Military Vehicles

Yesterday it was announced that BAE Systems won two different contracts to build armor kits for U.S. military vehicles. Due to the IED and mine threat in Iraq and Afghanistan the Army and Marines primarily have been developing extra armor and weapons for their different vehicles to maximize crew protection. BAE’s two contracts support the HIMARS mobile artillery as well as one for MRAP vehicles.

BAE Systems through its acquisition of Armor Holdings a few years ago made it well placed to get into this market. If the U.S. does begin winding down its operations in Iraq and Afghanistan though there will be little demand for further armor kits of these types and that market might dry up.

BAE Systems Suffers Due To U.S. Acquisition

October 15, 2009 by Matthew Potter · Comment
Filed under: BNET 
BAE Systems acquired Armor Holdings two years ago in a move seen to give them a significant portion of the U.S. tactical vehicle market....

Local paper touts defense industry as a way to cushion downturn in US economy

The Scranton Times-Tribune has an article discussing how the recent issues with the US economy will have less effect in their area due to the many defense contractors. They mostly support Tobyhanna Army Depot and provide services and products to the Army. The article discusses in detail the BAE expansion in the area where they make armor and gear for soldiers. BAE acquired the US company Armor Holdings last year and the plant is part of that acquisition. While the majority of these contracts are for things the US military needs, it is another example of the Defense budget being used by Congress as job programs. Members of Congress brag about how many dollars they bring back to their districts; and how their re-election is critical to maintain this type of work.

See the article for more.

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