Army buys a lot of Hellfires
Filed under: Contract Awards, Lockheed Martin, Military Aviation, U.S. Army, production program
The US Army awarded Lockheed Martin a contract to produce Hellfire missiles. These are normally fired from AH-64 and OH-58D helicopters and some Air Force aircraft. The missile is used by the US and its Allies. In Iraq and Afghanistan the Army has been using these with great effect to strike a variety of targets. The contract is valued at over $350 M and will purchase 1400 missiles. It is estimated that over 6000 have been used to date in the Global War on Terror.
For more see the Orlando Sentinal.
Army buys more FLIR systems for force protection
Filed under: Contract Awards, FLIR, U.S. Army, production program
The US Army awarded FLIR Systems a $30 M contract for more systems to support ground based force protection systems. See a press release here. FLIR Systems has long built sensors for aircraft but recently the US has invested in this technology for the monitoring of perimeters and base security. FLIR Systems has won several contracts and options for this type of equipment while continuing its success with aviation systems.
BRAC money flows to Huntsville
Filed under: BL Harbert International, BRAC, Congress, Contract Awards, Federal Budget Process, U.S. Army, logistics
B.L. Harbert International won the contract to build two new building complexes at Redstone Arsenal (RSA) as part of the last round of BRAC moves. See a press release here. BRAC was good to RSA as it moved the headquarters of the US Army Material Command (AMC) and the US Army Security Assistance Command (USACA) to the base. AMC is responsible for buying, fielding and supporting most of the Army’s material. USACA helps transfer US weapons to foreign countries. The $100 M plus contract will build the necessary buildings to house the commands.
Army and USMC buy tools
Filed under: Armstrong Tools, Contract Awards, U.S. Army, U.S. Marine Corps, logistics, production program
Armstrong Tools announced that they were awarded a contract to provide standardized tool sets to the US Army and Marine Corps. See the press release here. One of the key components of the contract is that it is Berry Amendment friendly. The contract is for over 90,000 kits and is worth over a $100 M. Read more
DARPA invests in fuel cell technology
Filed under: Contract Awards, DARPA, IT, U.S. Army, UltraCell, development program, logistics
The DARPA and US Army awarded a follow-on contract to UltraCell for continued work on hydrogen fuel cell systems to power military hardware. See an article here. The UltraCell process utilizes methanol and converts it into hydrogen to provide electricity. The current system is used to provide power for laptops, but UltraCell is working on scaling it for use with larger fixed installations. The advantage this offers is that for comparable power the fuel cell is smaller and lighter then existing batteries. There is also no requirement for a separate electrical system to charge the batteries as is currently done.
FN moves to compete with Colt
Filed under: Contract Awards, Proposal, U.S. Army, production program
Slowly over the last several years, FN, the Belgian small arms manufacturer has been expanding its US operations. They have developed several NATO standard weapons that have been adopted by the US military - such as the M249 SAW and the M240 LMG. Now, according to this article, they plan to bid on the next M4 contract. The M4, and Colt, have had issues since 9/11. There are many complaints about the weapon and its jamming in dusty environments. The US Special Forces have adopted a separate weapon, the SCAR, and have also looked at 6.8 mm rifles. There have also been issues with how the US Army has managed the contracts for the M4. It will make for an interesting contract process next year.
UK to privatize aircrew training
Filed under: England, Lockheed Martin, Military Aviation, VT Group, training
Bump - Further details on the contract the UK signed with Ascent, the joint venture of Lockheed and VT, to conduct aviation training have come out. See this article for some of the new details. It is a 25 year contract with the contractor that will be implemented incrementally as the current training program completes.
According to this short report, the UK is ready to transition all of its pilot training to a private contractor. This is for the Royal Navy, Royal Air Force and Army rotary wing pilots. If this is true it represents a major change in how training has been done in the past. One would have to assume that there are major cost savings in this transition away from maintaining their own aircraft and training staff. Beyond saying that Lockheed Martina and VT will carry out the contract no details were given as to how it would be done.
Army buys more tactical vehicles
Filed under: BAE Systems, Contract Awards, U.S. Army, logistics, production program
The US Army awarded BAE a $1.6 B contract to buy 10,000 medium tactical vehicles. See a story here. The contract if all options are exercised could be worth over $2.0 B. The contract will be for three years base, and it makes BAE one of the top ten defense contractors selling to the US military now. This has been done through judicial acquisitions and expansion in the US, as well as some successful joint ventures.
Konsberg wins CROWS contract
Filed under: Contract Awards, Norway, U.S. Army, production program
The US Army awarded Konsberg a contract to provide Crew Remotely Operated Weapon System (CROWS) II turrets. See an article here. Konsberg is a Norwegian company that is involved in the oil industry, commercial shipping and defense. There website is here. The contract is worth $117 M and will provide weapon mounts that fit within the CROWS turret. The CROWS is mounted on US Army vehicles and allows the gunner to stay inside it and operate whatever weapon is installed - usually machine guns or automatic grenade launchers.
SAIC wins NBC defense contract
The US Army’s Space and Missile Defense Command (SMDC) awarded SAIC a one year plus four option years contract to provide NBC defense for US military bases. See an article here. If the full contract is executed it could be worth up to $500 M. Since 9/11 the US has greatly increased the ability of their bases to respond to chemical and nuclear attacks.
FLIR stock hits all time high
Filed under: Contract Additions, FLIR, U.S. Army, production program
FLIR Systems won a contract modification for the Army worth up to $380 M to build force protection systems. See an article here. This adds to an existing ID/IQ contract for the delivery of such systems. FLIR has built equipment for the US Army and other services to go on aircraft, vehicles and now ground mounted systems for surveillance around US bases. The stock closed at over $37 today.
GD wins new UK armored vehicle contract
Filed under: Contract Awards, England, General Dynamics, development program
As part of the Future Rapid Effect System (FRES), General Dynamics was selected to provide the wheeled utility vehicle. See an article here. The FRES is a long term program to modernize and upgrade the British Army. It is similar in concept to the US Army’s Future Combat System (FCS) in that it is a system-of-systems. The utility vehicle is the first part to be awarded. According to this article the order to GD could be worth up to $12 B, with the next two parts to be awarded also worth this much.
House Authorizers set own priorites
Filed under: Bell, Federal Budget Process, Military Aviation, development program
The House Armed Services Committee marked up the FY09 Defense Authorization Bill to their own priorities. See an article here. Big cuts were made to the Army’s Advanced Reconnaissance Helicopter (ARH) and Future Combat System (FCS). ARH, a new Bell helicopter to replace the OH-58D Kiowa Warrior, has had its struggles. FCS is a vast system of systems that will still get over $2 B of funding with the House cut. Of course the Senate has fully funded both programs so that will have to be worked out in Conference. Some programs did gain such as the C-17 and the House continued the second engine for the F-35 JSF despite Pentagon protests that it is not necessary. There will be many more changes by October.
Navistar wins contract to build trucks for US Allies
Filed under: Contract Awards, Iraq, Navistar, U.S. Army, afghanistan, logistics
The US Army awarded Navistar a contract for 7,000 odd trucks for the Afghan and Iraqi governments. The value of the contract is over $1B. See the press release here. This is on top of a previous award for vehicles and support for the US Army. Navistar is also bidding as part of one of the teams for the JLTV.
Army awards ammunition contract to alliance
Filed under: Alliant Techsystems, Allied Defense Group, Contract Awards, U.S. Army, production program
Alliant Tech Systems (ATK) and Allied Defense Group won a contract from the US Army to provide 105 mm main gun ammunition. See the press release here. The ammo will be for the Stryker Main Gun System, which is a Stryker wheeled vehicle with a 105 mm gun in a low profile turret. This has been deployed to Iraq to provide the Stryker units some heavy firepower. The contract is worth $7.4 M over two years. ATK is a company that was created when Honeywell spun off some of their defense business and it later acquired Hercules Aviation and Thiokol Propulsion. For more on the company see this.
BAE wins contract for turret moters
Filed under: BAE Systems, Contract Awards, U.S. Army, production program
BAE Systems was awarded a $71 M contract for 12000 turret motors for US Army light tactical vehicles. The story is here. The motors will be used to move the turrets on HUMVEEs and MRAP vehicles. Obviously the part will be provided to whomever outfits the vehicles with the turrets, either at an Army depot or the factory. It again shows that little things cost a lot and the price of something can add up quickly.
JTRS AMF passes DAB
Filed under: Boeing, Department of Defense, Federal Budget Process, IT, Military Aviation, development program
The Joint Tactical Radio System (JTRS) Airborne, Maritime and Fixed (AMF) program passed its recent Defense Acquisition Board (DAB). See an article here. This means it can move on to the next phase of the process, most likely System Development and Demonstration. JTRS is a new programmable radio for all of the services. The Army is managing the system that will go in vehicles and be carried by troops. AMF is for aircraft, ships and fixed ground stations. Boeing is the prime contractor, and will most likely be awarded the contract for this next phase, System Design and Development.
Updated 3/28/08 - Fixed broken link.
Updated 3/29/08 - Clarified that no contract has been awarded yet.
Army awards Chemring largest contract ever
Filed under: Chemring, Contract Awards, Military Aviation, U.S. Army, production program
The US Army gave Chemring, a British company, the largest contract in their history. See a story here. The $383 M contact will be for flares to protect helicopters from surface-to-air-missiles.
Army gives SAIC contract for technical support
SAIC is one of the top ten defense contractors and provides engineering and technical services, not hardware. This press release discusses a $98 M contract from the Army to provide technical and analytical support to the US Army Medical Research and Material Command. This is a good example of such a contract. Most of the large military acquisition and support commands have these type of contracts. There are literally hundreds of companies large and small that provide that kind of work.
National Presto Industries profit surges
Filed under: Earnings, National Presto Industries, U.S. Army, logistics
National Presto Services profits increased 38% last year. See an article here. This diversified company that makes diapers, small appliances, and most key, ammunition; received a large contract from the US Army. Most likely this is for ammunition.
Congress now lobbies for KC-X to be based in their states
Filed under: Boeing, Contract Awards, EADS, Federal Budget Process, Northrop Grumman Corp., U.S. Air Force, commercial aviation, logistics
No matter who wins the contract state delegations are lobbying the Air Force to base the new tanker in their states. See The Hill for more on this. Not only are states choosing sides in which contractor should get the contract, see this previous post and this one as well, they are also trying to get the new aircraft based locally. Read more
Canada requests old US helicopters for Aghanistan
According to this story in The Canadian Press, Canada is requesting from the US older CH-47D aircraft to support their efforts in Afghanistan. Canada is planning on buying some CH-47F, but until those are available they are trying to get some refurbished US Army aircraft. Read more
