U.S. Army Awards General Dynamics $395M Contract

The U.S. Army TACOM Contracting Command has awarded General Dynamics Land Systems, a business unit of General Dynamics (NYSE: GD), an eight-year, $395 million contract for research, development and testing in preparation for the Abrams main battle tank Engineering Change Proposal 1 (ECP1) production. The contract has an initial value of $80 million over 12 months. There is no tank production work associated with this award.The Abrams ECP1 program is an engineering-development effort focused on integrating a group of system improvements into a single upgrade program for the M1A2SEPv2 baseline tank. The objective of this research-and-development effort is to prepare the Abrams tank to accept additional Army-directed requirements in the future without impacting current vehicle performance. The Army plans to begin low rate initial production of tanks with ECP1 upgrades in 2017. "This award shows the Army's long-term commitment to improving the Abrams tank's capabilities for the Warfighter, while ensuring that platforms are able to integrate planned and future upgrades," said Donald Kotchman, vice president for Heavy Brigade Combat Teams at General Dynamics Land Systems. "This effort will maintain Abrams' position as the leading main battle tank in the world."Since its initial fielding in 1980, enhancements to the Abrams main battle tank have consumed much of the available space, weight and power capacity on the vehicle. ECP1 will reengineer internal systems to reduce size, weight and power requirements, creating capacity for additional upgrades in the future. The effort will include miniaturization of electronics; evolving to a Line Replaceable Module (LRM)-based electronics architecture; and increasing electrical capacity through improved power generation, distribution and management.