Honeywell Recieves $221M in Contracts From US Army
Honeywell (NYSE: HON) has been awarded two contracts worth a combined $221 million to continue its highly successful support of the U.S. Army's M1 Abrams main battle tank program.
Honeywell's AGT1500 vehicular gas turbine engine is the proven power source for the M1 Abrams and provides the tank with superior power and torque, low noise, and smokeless operation, contributing to the tank's unmatched combat performance.
The first contract is a $111 million, 18-month follow-on agreement through December 2013 for continuation of the Total InteGrated Engine Revitalization (TIGER) program, a collaboration between Honeywell, the U.S. Army's Abrams Project Management Office, the Army's Tank-automotive and Armaments Command (TACOM), and the Anniston Army Depot (ANAD). This contract continues to leverage Honeywell's expertise in maintenance and product improvement for the AGT1500 M1 Abrams engine to extend operational life and reduce life-cycle costs for the Abrams tank.
The second contract is valued at $110 million for the production of 125 new Honeywell AGT1500 engines from September 2012 through October 2015. This contract extends Honeywell's relationship with ANAD in Alabama where new AGT1500 engines are assembled and tested.
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