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CONTRACT NEWS IN BRIEF

06 May 04. DRS Technologies, Inc. has been awarded a four-year U.S. Army contract to produce Driver Vision Enhancers (DVEs) for installation on a wide range of frontline combat and tactical wheeled vehicles. These systems provide military vehicle drivers with the ability to see clearly, regardless of light level, adverse weather conditions, and battlefield smoke and dust. The contract has a three-year base value of $26m and a total value of $252m over four years, if all options are exercised.

03 May 04. Lockheed Martin has been selected by the UK MoD for an assessment phase contract to compete for a major upgrade of the Royal Air Force (RAF) fleet of Nimrod R Mk1 aircraft. Designated ‘Project Helix,’ this intelligence upgrade to the British Nimrod platform focuses on maintaining the capability of the Nimrod R out to 2025 and includes upgrades to the aircraft mission systems, associated ground stations and training facilities. The Project Helix program has a projected value in excess of £400m(approximately US$700m) over a 13-year period. The Nimrod R is the RAF electronic reconnaissance aircraft that examines routine radio and radar emissions and provides electronic combat support to military commanders.

26 Apr 04. EDO Corporation has been awarded a contract by the Marine Corps Systems Command valued at $19.3m. The firm-fixed-price delivery order is for eight mobile, first-in units known as JECCS, the Joint Enhanced Core Communication System. Work on these units will continue through 2005. The JECCS is a tightly integrated and multifunctional communication system mounted on HMMWV. Designated the AN/TSQ-231, the system provides secure and non-secure voice and data telecommunication services, local-area-network and network-management services, messaging services, and satellite capabilities for a Marine Expeditionary Unit (MEU). The order was made under an indefinite-delivery/indefinite-quantity contract originally awarded to Darlington Inc. prior to their acquisition by EDO in March 2003. Darlington has been incorporated into EDO’s Combat Systems Division.

03 May 04. Boeing has succeeded in staunching one of its military ethics scandals by signing contract terms for a NATO AWACS contract, which had come into question amid concerns about whether the price was fair and reasonable. Walt Rice, spokesman for Boeing, said the renegotiated contract price, agreed at the end of last week, had fallen from $551m to $524m. (Source: FT)

05 May 04. The NATO C3 Agency has now completed the source selection for NATO’s new Satellite Capability in the SHF and UHF frequency bands. Proposals were submitted by the U.S. and a Joint Consortium of France, Italy and the United Kingdom and assessed in accordance with the standard NATO procedure for International Competitive Bidding. The proposal submitted by the Joint Consortium was determined to be the lowest priced, technically compliant bid. The capability will be furnished through a service provision arrangement, whereby the three Nations will satisfy the NATO requirements from within their own national military Satellite Communications Programmes for 15 years, from 2005 through to 2019. The price offered by the Consortium is within the NATO funding ceiling of Euro 457 million. The winning offer will utilise the capacity of the satellites provided by the French SYRACUSE series, the Italian SICRAL constellation and the U.K. SKYNET 4/5.

05 May 04. Raytheon Systems Limited (RSL) has secured a contract with Rheinmetall Defence Electronics GmbH, Bremen, Germany, for the provision of IFF systems for vehicle mounted anti-aircraft missile platforms. The vehicles are destined for the Finnish armed forces. The contract, which is valued in excess of US$3m, is for the provision of IFF equipment, associated documentation, test equipment, technical support and training. The IFF equipment is designed and manufactured by Raytheon’s US plants in Baltimore, Maryland and Largo, Florida. The contrac

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