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July 19, 2018 | International, Land

BAE's $1.3 Billion Contract for Howitzer Delayed by U.S. Army

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The U.S. Army is delaying approval of full-scale production of BAE Systems Plc's new self-propelled howitzer, citing the need to improve quality before proceeding with additional contracts options valued at about $1.3 billion.

The Army postponed triggering the most lucrative phase of the program for London-based BAE to “adequately address quality control issues,” service spokeswoman Ashley John said in an email Wednesday. “The Army will continue to work closely with BAE leadership to resolve the concerns.”

The delay came after Bloomberg News reported last week that the howitzer's manufacture was hobbled by poor welding, supply-chain problems and delivery delays. Among the setbacks have been a six-month halt in deliveries last year because of welding flaws and the return of 50 of 86 vehicles that had already been delivered to repair production deficiencies.

The U.S. Army is delaying approval of full-scale production of BAE Systems Plc's new self-propelled howitzer, citing the need to improve quality before proceeding with additional contracts options valued at about $1.3 billion.

The Army postponed triggering the most lucrative phase of the program for London-based BAE to “adequately address quality control issues,” service spokeswoman Ashley John said in an email Wednesday. “The Army will continue to work closely with BAE leadership to resolve the concerns.”

The delay came after Bloomberg News reported last week that the howitzer's manufacture was hobbled by poor welding, supply-chain problems and delivery delays. Among the setbacks have been a six-month halt in deliveries last year because of welding flaws and the return of 50 of 86 vehicles that had already been delivered to repair production deficiencies.

Self-propelled 155mm howitzers are the centerpiece of the Army's artillery. The weapon is mounted on a tracked vehicle and travels with another that hauls ammunition. The Army's “long-range precision strike” program tops the service's list of modernization priorities.

“We are working very closely” with the Army and the Defense Contract Management Agency, which oversees contractor performance, “and are confident the actions we have taken will support the effective transition to full production,” BAE spokeswoman Alicia Gray said in a statement.

The Army eventually wants to buy 576 howitzers and ammunition carriers in an $8.1 billion program. An initial $413.7 million contract laying the groundwork for full production was awarded in December. A full-production decision would have increased vehicle production to about 60 from 48 a year. The program has been in low-rate production for several years.

Gray said last week that the company is investing about $125 million to upgrade equipment to prepare “for an expanded production portfolio and accommodate the expected surge in customer requirements.”

‘Tough-Love' Approach

The delay “is consistent with the increasing Army ‘tough-love' approach to contractor program-execution challenges,” such as its continuing refusal to accept delivery of Boeing Co.'s AH-64 Apache attack helicopters because of corrosion of a critical rotor assembly part that needs to be fixed, according to James McAleese of McAleese & Associates, a McLean, Virginia-based defense consulting firm.

Contractors should expect “quality assurance scrutiny to increase” as the Army “drives aggressive increases in multiple production programs” for missiles, ammunition and ground combat vehicles, he said.

Sections of the howitzers are initially produced at BAE's York, Pennsylvania, facility with final assembly in Elgin, Oklahoma. The program has a strong advocate in Senator Jim Inhofe of Oklahoma, the No. 2 Republican on the Senate Armed Services Committee. In its version of the fiscal 2019 defense policy bill, the panel authorized spending $110 million more than the $351.8 million requested.

In a new report, the Pentagon's testing office said that testing of the howitzer at Fort Riley in Kansas found it was “operationally effective,” providing accurate fire as it traveled with other units of a brigade combat team while evading enemy counter-fire.

That, however, is when the howitzers weren't dogged by reliability problems, according to the report by testing office Director Robert Behler. It cited “the number of breech, cannon, and firing train sub-component failures” and “interruptions from stuck and ruptured primers” that “contributed to delays in mission completion.”

The Army's leadership is on a campaign to assure the public it's improving the oversight of its major acquisition programs, including getting its new Futures Command ready for initial operations. The Army last week chose Austin, Texas, as the location for the command that will consolidate brainpower to evaluate future threats facing the Army, decide on the technology needed to counter them and oversee development of that technology through existing commands.

https://www.bloomberg.com/news/articles/2018-07-18/bae-s-1-3-billion-contract-for-howitzer-delayed-by-u-s-army

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    June 11, 2018 | International, Land

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    By: Pierre Tran VERSAILLES, France ― France is to double its order for the Light VBMR reconnaissance vehicle, a key element in the French Army's €10 billion (U.S. $12 billion) Scorpion modernization program. An additional 420 Light VBMR units are to be ordered, taking the total to 978, according to Erwan, the director of the Scorpion modernization program at Direction Générale de l'Armement procurement office. Erwan, whose last name is not used for security reasons, spoke to the press May 16. A first delivery of the Light VBMR is due in 2022, with 489 shipped by 2025. In addition to the highly equipped 489, there will be a further 200 units ordered, with the latter more lightly equipped units, according to the annex of the draft multiyear military budget law for 2019-2025. That raises the total of Light VBMRs to 689 delivered by 2025. After 2025 and out to 2032, there will be a further 978 ordered for Scorpion, and 1,060 ordered outside of the program, with a total of 2,038 for that period. A first delivery of an armored personnel carrier version of Light VBMR is due in 2021, a reconnaissance model in 2022 and a communications variant in 2023. A wide spectrum of missions will be covered, as there will be 16 versions of the vehicle, with 10 of the APC, two for recon and four for comms. Nexter will design, build and service the vehicles, while Texelis will supply the chassis and driveline. Nexter's factory at Roanne, central France, will build the Light VBMR, adding to the workload generated by orders for the Griffon troop carrier and the Jaguar combat and reconnaissance vehicle. The Light VBMR weighs 15-17 tons, can reach a speed of 100 kph and has a range of 600 kilometers. That weight compares to the French Army's initial requirement for a 10-ton vehicle, before industry called that unrealistic. One of the vehicles can be airlifted on a C-130, while two can fit on the A400M transport aircraft. Regarding the latter, the vehicles can be fully equipped for combat and still be successfully loaded. The vehicle is armed with a remote controlled 7.62mm machine gun, a minigun at the rear and self-protection with a Galix smoke dispenser. The vehicle can carry 10 people ― eight troops, a driver and a gunner. France is also to order an upgrade for 200 Leclerc main battle tanks, with a first delivery of a modernized tank in 2021, Erwan said. Sensors and the Bull SICS battle management system, or Scorpion Information Communication System, will bring the tank into the Scorpion's so-called collaborative combat concept, which seeks to heighten teamwork on the ground and with commanders at the regimental level. An order for the Griffon multipurpose troop carrier is to be raised to ”a target“ of 1,872, up 150 units from a previous total, Erwan said. A first delivery is due by the end of the year, with certification in the second quarter of 2019. Some 936 units are due by 2025. Contracts for those increased orders are expected to be signed later this year after the French Parliament formally adopts the draft military budget law, expected in July. That boost in orders follows the Army's call for a speedy introduction of the new armored vehicles, to replace an aging fleet of VAB troop carriers. There is a 2,700-strong fleet of VABs, which are some 40 years old. The briefing by Erwan was on a press trip organized by Gicat, the French trade association for makers of land weapons, ahead of the Eurosatory trade show, which runs June 11-15. https://www.defensenews.com/digital-show-dailies/eurosatory/2018/06/08/france-to-double-military-vehicle-order-asking-for-multiple-variants/

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