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November 12, 2020 | International, Naval

BAE Systems Secures $94M Contract to Deliver Advanced Tech to Navy

Posted on November 10, 2020 by Seapower Staff

MCLEAN, Va. — BAE Systems has been awarded a five-year, $94 million single-award indefinite delivery indefinite quantity contract to deliver advanced technology capability to the U.S. Navy.

Building on 40 years of support to the U.S. Navy, this award from the Naval Air Warfare Center Aircraft Division's (NAWCAD) Webster Outlying Field (WOLF) enables the company to provide engineering, test, and evaluation support for sensors as well as communication, control, and weapons systems for various manned and unmanned airborne platforms.

“We are bringing new advanced technologies such as artificial intelligence and autonomy to the Airborne Systems Integration Division,” said Mark Keeler, vice president and general manager of BAE Systems' Integrated Defense Solutions business. “Our state-of-the-art digital engineering capabilities, and extensive experience in integrating airborne systems are further strengthening the warfighter's ability to meet mission requirements and ensuring combat readiness in the field.”

The award recognizes BAE Systems' investments in the development of model-based systems engineering capabilities. The company's ADAMS architecture provides a digital environment for systems engineering across multidisciplinary, multi-organization teams and stakeholders. On this contract, the company will use its innovative tools and methods such as digital engineering to create the digital thread that provides full design traceability to requirements, improved collaboration, and a digital repository for the Airborne Systems Integration Division.

https://seapowermagazine.org/bae-systems-secures-94m-contract-to-deliver-advanced-tech-to-navy

On the same subject

  • Private equity firm buys Humvee-maker AM General

    July 23, 2020 | International, Land

    Private equity firm buys Humvee-maker AM General

    By: Joe Gould and Jen Judson WASHINGTON — Humvee-maker AM General has been acquired by KPS Capital Partners, a private equity firm known for buying financially distressed manufacturers, the companies announced Wednesday. KPS acquired AM General of South Bend, Indiana, from MacAndrews & Forbes in a deal in which terms were not disclosed. AM General has largely been stagnant since losing the competition for the U.S. Army's Joint Light Tactical Vehicle in 2015 to Oshkosh. Following its loss in the JLTV competition, the company turned to the international market to continue growing its Humvee business, such as through offering to foreign customers a multipurpose truck with a military-grade rolling chassis from its Humvee design with a la carte add-ons. KPS Partner Jay Bernstein said in a joint statement that the firm would continue to work with AM General's chief executive, Andy Hove, as well as its management and employees “to build on this great platform, organically and through acquisition.” “We intend to leverage the Company's commitment to research, technology, innovation and new product development, as well as its heritage and iconic brand name,” Bernstein's statement read. Hove said the firm would work with KPS “to continue to execute our strategy and invest in our very ambitious growth plan.” “KPS' demonstrated commitment to manufacturing excellence, continuous improvement and commitment to invest in technology and innovation will only enhance the Company's ability to compete in today's military and commercial marketplace,” Hove said. “Plenty of industrial companies and investment firms had considered buying AM General,” James Hasik, senior fellow at the Center for Government Contracting at George Mason University, told Defense News July 22. “And plenty of companies have considered teaming with AM General for a bid on a forthcoming production program.” AM General has continued to try to adapt to the needs of the U.S. military, bringing a robotic combat vehicle to an Army demonstration last year as the service mulls the future of robots on the battlefield. The company also competed for the Squad Multipurpose Equipment Transport vehicle program but was not selected. Yet, AM General has remained a single-product firm with the Humvee, Hasik noted, and the future of the Humvee is “hard to call.” Many militaries around the world use Humvees, and the U.S. Army plans to keep some in its fleet, but the U.S. Marine Corps is divesting its stock. According to Hasik, it's possible that since the Humvee is less expensive than the JLTV and would likely be relegated to noncombat roles, the Army might choose to purchase pickup trucks instead. “The Humvee was developed in part because the Army's pickup trucks of the 1970s were unimpressive, but that was 50 years ago, and automotive technology has advanced,” he said. “Today's pickup trucks are much cheaper to buy and operate, and that's what the Canadian Army has done.” While AM General has come up with some novel ideas, “nothing has stuck,” Hasik said. For several years, the company has shown up at trade shows touting a howitzer on a Humvee, like it did at London's DSEI exposition in late 2019. Still, the U.S. Army is struggling to figure out how it would fit into formations. The good news for KPS is that the company has a running factory with “efficient, medium-speed production of 4x4 military trucks and a production team who know how to do that,” Hasik said. “That's an important skill set, as it works better for military programs than enlisting a pickup truck factory, which must make them in the hundreds of thousands to make money.” AM General has advertised on its website that it could build bigger trucks, and the Army has just issued a request for information for a program to replace all of its heavy trucks, Hasik pointed out. “It could also build small trucks, similar to the Humvee, for future autonomous applications. There's no guarantee, but we might see lots of those in a few years.” “All in all, I suspect that KPS didn't buy AM General just to wring some more efficiencies out of the Humvee program. The folks there probably see some of these upside possibilities as well,” he added. https://www.defensenews.com/land/2020/07/22/private-equity-firm-buys-humvee-maker-am-general/

  • UK takes steps forward in major land system competitions, but budget uncertainty looms

    September 24, 2018 | International, Land

    UK takes steps forward in major land system competitions, but budget uncertainty looms

    By: Andrew Chuter MILLBROOK, England — Major procurement programs were top of the mind at the Defence Vehicle Dynamics show, with the UK Ministry of Defence and industry pointing to notable progress for two of the largest system buys on the horizon. And yet, budget uncertainty looms, leaving market executives to question how the British military will fund programs long term. Boxer buy Recently appointed Defence Procurement Minister Stuart Andrew announced that the Ministry of Defence last week issued a request for quotations with the intention of purchasing an initial batch of 500 Boxer mechanized infantry vehicles for the British Army. The Artec's Boxer was nominated in March as the preferred choice for the requirement after the MoD controversially opted to select the vehicle without a competition. The MoD previously said it would purchase 500 vehicles over a five-year period, with the first Boxers delivered in 2023. Cost is put at £4.4 billion (U.S. $5.8 billion), although that includes the first 10 years of support. The British intend to use the Boxers alongside General Dynamics' new Ajax family of tracked vehicles and other platforms, meant for two strike brigades currently being created by the British Army. Boxer is a German-Dutch program managed through OCCAR. The move announced by Andrew gives the green light for Artec — a joint venture between Rheinmetall and Krauss-Maffei Wegmann — to begin signing up British supply chain companies ahead of a final go-ahead decision by the MoD in late 2019. Artec has signed a memorandum of understanding with a number of companies in the U.K., including Pearson Engineering, Thales and Raytheon as it tries to meet its commitment to perform 60 percent of the manufacturing in the U.K. Challenger 2 update Rheinmetall's program targets in the U.K. are not limited to Boxer. The company is embroiled in a second possible land procurement effort in the U.K. — the update of the British Army's Challenger 2 main battle tank in a life-extension program. Rheinmetall and BAE Systems, which built the Challenger 2, have conducted competitive assessment phase contracts for the MoD ahead of selection of a winning contractor, who would lead the program starting sometime next year. The assessment phase officially concludes at the end of this year, but both sides have delivered their proposals to the MoD ahead of the Army' preliminary design review next month. The life-extension program began as a means of combating the obsolescence of several Challenger systems rather than a capability upgrade. But the emergence of the new Russian T-14 tank and the perceived threat by Moscow and other potentially hostile states has driven a more ambitious approach to improve Britain's tank capability. And industry has responded with options to boost the platform's capability. Rheinmetall has offered to swap the Challenger's 120mm rifled gun for a smoothbore weapon, while the BAE-led partnership Team Challenger 2 offered to fit an active protection system. The Army would probably like both, but given the dire state of the defense budget, affording even one of those options is problematic. “At the moment, the assessment phase excludes the gun and an active protection system. However, Team Challenger 2 [members] have planned in an APS from the start, and it is designed for, but not necessarily with, a system,” said Simon Jackson, the head of land vehicle upgrades at BAE. The Team Challenger 2 partnership also includes General Dynamics, Leonardo, Qinetiq, Safran and Moog. “The gun is outside the requirement, but if MoD decide they want a smoothbore, we have already done the work fitting a new gun to Challenger 2 in 2006. It's not difficult. You need to change turret stowage for the new ammunition and make fire control modifications. It's not difficult, but it takes time,” Jackson added. “Today, the rifled gun with the Charm 3 ammunition meets the need, but it depends to an extent on how long the Army want to keep Challenger 2 in service as to whether they want a smoothbore or not. It's also got to be an affordability question. “It's not a disadvantage for us; we have fitted a smoothbore on Challenger before. We clearly know all about the interfaces with the turret, which our rivals do not." However, Rheinmetall is among the world leaders in 120mm smoothbore weapons. Peter Hardisty, the managing director at Rheinmetall Defence UK, said despite “some challenges, they are completely manageable.” “We have informed the MoD we have a cutting-edge smoothbore weapon available on the Leopard 2 tank if required,” Hardisty said at the DVD event. Some analysts wonder if the expected release of an invitation to tender for the program could be delayed so the Army can consider its options for a gun and active protection system. Some executives Defense News spoke to said they expected the invitation imminently, but Hardisty said he doesn't expect the invitation to tender until "the first or second quarter of next year.” Team Challenger 2 made a surprise announcement ahead of the show that it was bringing to DVD a demonstrator vehicle known as Black Night, equipped with a suite of new sighting systems, fire control systems, a laser warning capability and other upgrades meant to keep the aging tank viable through to its current 2035 out-of-service date. The main item of interest on Black Night was the provision of an Iron Fist active protection system supplied by Israel's IMI Systems. BAE and General Dynamics each have experience installing the Iron Fist, but Jackson said any active protection system could be fitted. The MoD is sticking to its request for a makeover for 227 Challengers 2 tanks for now ; but like most other defense equipment programs, it's hostage to possible change caused by budget shortfalls. The MoD's defense modernization program review may have to balance a significant mismatch between available funds and commitments. Hardisty believes the Challenger 2 update isn't especially vulnerable to the review, but added that the review will likely impact a host of vehicle programs required by the Army. “There is always uncertainty, it's the nature of the sector. We feel comfortable about Boxer and the mechanized vehicle requirement, and reasonably comfortable about Challenger 2,” he said. Budget uncertainty However, many executives here acknowledge that Defence Secretary Gavin Williamson has probably lost his fight for a substantial spending boost. And as Britain's impending departure from the European Union could damage the economy, the British defense sector is bracing for even tougher times ahead. An MoD spokesman at the DVD event said the ministry intends to publish the outcome of the defense modernization program review by late autumn. Some industry executives, however, think it's more likely the review will be released piecemeal over time to reduce the impact of program and capability cuts. Britain has been in an almost perpetual defense review for the last four years. U.K. defense commentator Howard Wheeldon offered the view last week that a further defense review delaying spending decision is possible next year — a sentiment shared by a number of senior executives at DVD. https://www.defensenews.com/land/2018/09/21/uk-takes-steps-forward-in-major-land-system-competitions-but-budget-uncertainly-looms

  • U.S. Navy pays contractors $600 million held back to ensure performance

    April 29, 2020 | International, Naval

    U.S. Navy pays contractors $600 million held back to ensure performance

    WASHINGTON (Reuters) - The U.S. Navy has paid defense contractors $600 million it had withheld to ensure contract performance, hoping the funds would shore up finances for suppliers ravaged by the coronavirus-driven economic downturn, a Navy official said on Tuesday. The move, which follows a similar action taken by the Air Force that released billions of dollars in payments, is aimed at replacing revenue vital Pentagon suppliers have lost in their non-military businesses as the spreading coronavirus has halted business activity nationwide. “We were immediately able to infuse about $600 million of funds that we had on withholds,” James Geurts, the assistant secretary of the Navy for research, development and acquisition, told reporters on a conference call. A Navy spokesperson said “for example, with the ship repair industry, withholds were reduced to one percent.” The Navy was unable to say whether a portion of the $600 million was withheld due to poor contractor performance. The Department of Defense has also accelerated contract awards as it leverages its portion of the more than $700 billion annual defense budget to help keep suppliers afloat. Geurts wrote a memo on March 24 to his staff directing them to release or reduce the withholds. It did not discuss rectifying the root causes. Government waste watch-dogs criticized the move. “This current emergency shouldn't be an excuse to avoid accountability for poor performance that predated this outbreak,” said Mandy Smithberger, of the Project On Government Oversight in Washington. Earlier this month, Geurts said he had authorized “hundreds of millions” of dollars to be paid out to top suppliers like General Dynamics (GD.N) and Huntington Ingalls Industries (HII.N) which could flow to the supply chain. Representatives from Huntington Ingalls and General Dynamics said the Navy was not withholding money from them for poor performance. While the Navy did not name any companies that received payments, industry sources have said the biggest contractors have been filtering coronavirus-related funds to their suppliers and subcontractors who, because of their smaller size, are on much shakier financial footing. The Navy's multi-layered supply chain is comprised of companies building out President Donald Trump's vision for a 350 ship here Navy. The funding will help pay salaries and ensure hard-to-replace workers are not lost to other industries or early retirement. Geurts has said the Navy is pushing money into the defense industrial base by speeding up contract payments, hastening contract awards and releasing funds withheld for poor past performance. The U.S. Air Force said it would release $882 million in payments to Boeing (BA.N) that were held back due to flaws in the KC-46 air refueling tanker. https://www.reuters.com/article/us-usa-navy-procurement/u-s-navy-pays-contractors-600-million-held-back-to-ensure-performance-idUSKCN22A33L

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