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  • After months of haggling, Lockheed moves on German air defense bid

    August 17, 2020 | International, Land

    After months of haggling, Lockheed moves on German air defense bid

    By: Sebastian Sprenger COLOGNE, Germany — Lockheed Martin and MBDA Deutschland have submitted another bid for Germany's next-generation air defense system, following negotiations throughout the summer that some observers said nearly tanked the project. The “updated proposal,” as the companies called it in a joint statement Friday, presumably will find smooth sailing in the Defence Ministry's upcoming analysis. That is because government officials and company executives already went through extensive discussions in the past few months to iron out sticking points left unresolved in previous bids and re-bids. “In the last months we made progress in further detailing the Integrated Master Schedule, relevant specifications as well as performance simulations to de-risk the future contract,” Thomas Gottschild, managing director at MBDA Deutschland, said in the statement. But there are no guarantees, especially when it comes to the famously circuitous Taktisches Luftverteidigungssystem, or TLVS. The program grew out of the now-defunct Medium Extended Air Defense System, which the Pentagon helped fund. Germany wants the weapon to replace its fleet of Patriot batteries. The German Defence Ministry did not immediately respond to a request for comment. The government in Berlin is under the gun to deliver military programs on time and on budget, especially now that the ministry wants to keep up defense spending despite the economic blow of the coronavirus pandemic. As a result, officials want to place greater financial liability on the contractors in case things go awry. That approach is infused throughout the TLVS contractual categories of “risk” and “terms and conditions,” industry officials previously said, though details are under strict wraps. Executives previously argued the proposed risk distribution is unsuitable for a development-heavy program like TLVS, making Lockheed especially wary of pursuing the deal after all. At the same time, the American defense giant finally needs to sell the program to a government customer if it wants the advertised revolution in missile defense equipment to actually happen. The envisioned weapon will feature a 360-degree sensing and shooting capability, which means operators no longer need to anticipate from which direction aerial threats will likely approach, as was the case with the sectored Patriot system. “TLVS will transform Germany's defense capabilities and set an important precedent in how neighboring nations address persistent global threats for years to come,” Lockheed and MBDA claimed in their joint statement. The German parliament, currently in recess, will have to approve the government's acquisition plan for TLVS — that is, if the industry consortium's newest submission makes the ministry's cut. https://www.defensenews.com/industry/2020/08/14/after-months-of-haggling-lockheed-moves-on-german-air-defense-bid/

  • Contract Awards by US Department of Defense - August 13, 2020

    August 14, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - August 13, 2020

    NAVY BAE Systems San Diego Ship Repair, San Diego, California, is awarded a $103,590,841 firm-fixed-price contract to prepare for and accomplish repair and alteration requirements for USS Preble (DDG 88) Chief of Naval Operations scheduled depot maintenance period. This contract includes options, which, if exercised, would bring the cumulative value of this contract to $117,754,630. The purpose is to maintain, modernize, and repair the USS Preble. The USS Preble will receive comprehensive modernization for DDG-51 class ships to ensure a mission relevant service life. This is a “long-term” availability and was solicited on a coast-wide (West Coast) basis without limiting the place of performance to the vessel's homeport. BAE Systems will provide the facilities and human resources capable of completing, coordinating, and integrating multiple areas of ship maintenance, repair, and modernization for USS Preble. Work will be performed in San Diego, California, and is expected to be complete by February 2022. Fiscal 2020 other procurement (Navy) (89.8%); and operations and maintenance (Navy) (10.2%) funding in the amount of $103,590,841 will be obligated at time of award, of which $10,553,208 will expire at the end of the current fiscal year. This contract was competitively procured using full and open competition via the Federal Business Opportunities website with two competitive proposals received in response to Solicitation No. N00024-20-R-4400. The Naval Sea Systems Command, Washington, D.C., is the contracting activity (N00024-20-C-4400). Ribcraft USA LLC,* Marblehead, Massachusetts, is awarded a $38,608,278 firm-fixed price, indefinite-delivery/indefinite-quantity, single award contract for construction of 132 seven-meter (7M) Rigid Hull Inflatable Boats (RHIBs). The total contract is for the construction and delivery of up to 278 7M RHIBs. The base contract also included options for associated support efforts related to the construction and delivery for engineering and industrial services, and provisioned items orders. At the time of contract award, 48 7M RHIBs are being purchased. Work under the first order will be performed in Marblehead, Massachusetts, and is expected to be complete by March 2023. This contract includes options which, if exercised, would bring the cumulative value of this contract to $78,241,197. Fiscal 2020 shipbuilding and conversion (Navy) (69%); and other procurement (Navy) (31%) funding in the amount of $12,649,937 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was procured as a small business set-aside. The Naval Sea Systems Command, Washington, D.C., is the contracting activity (N00024-20-D-2210). RQ Construction LLC, Carlsbad, California, is awarded a $33,602,000 firm-fixed-price contract for 5th Battalion, 10th Marines High Mobility Artillery Rocket System (HIMARS) located at the Marine Corps Base in Camp Lejeune. Work will be performed in Camp Lejeune, North Carolina and is expected to be completed by March 2023. The construction project will result in an operations complex for the activation of 5th Battalion, 10th Marines HIMARS. The work to be performed provides for construction of a battalion/company headquarters, automotive vehicle maintenance shop, humidity-controlled warehouse, electronics communications maintenance shop, combat vehicle maintenance shop, armory addition, and a high-explosive magazine to comply with UFC 4-420-01 ammunitions and explosives storage magazines. All structures will be low-rise steel frame with reinforced concrete masonry unit with reinforced masonry walls, brick veneer, reinforced concrete floors, and standing seam metal roof. The battalion/company headquarters facility includes the necessary administrative space to conduct the day-to-day operations of both the battalion and its companies. The automotive vehicle maintenance shop includes administrative and support space, work bays for inspection, maintenance and repair of transportation equipment, classrooms, and storage areas for parts and supplies. The humidity-controlled warehouse will be a high bay facility that will house a 10-ton capacity overhead crane. The facility includes administrative and support space, storage bays, secured storage, and shipping/receiving area. The electronics communication maintenance shop includes administrative and support space, equipment maintenance and training areas, and storage areas for parts and supplies. The combat vehicle maintenance shop includes administrative and support space, work bays for inspection, maintenance and repair of transportation equipment, classrooms, and storage areas for parts and supplies. The armory addition includes administrative and support space for armorers/custodians, secure space for storing and maintaining weapons and a covered outdoor weapons cleaning area. The magazine will be used for the storage and handling of reduced range practice rounds to support live-fire HIMARS training. Fiscal 2020 military construction, (Navy) contract funds in the amount of $33,602,000 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Government Point of Entry Contract Opportunities on beta.SAM.com with 10 proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-20-C-0145). Pacific Maritime Industries Corp.,* San Diego, California (N00189-20-D-0021); Tri-Way Industries Inc.,* Auburn, Washington (N00189-20-D-0022); and Spec-Built Systems Inc.,* San Diego, California (N00189-20-D-0023), are awarded an estimated $25,938,325 multiple award, firm-fixed-price, indefinite-delivery/indefinite-quantity contract that will include terms and conditions for the placement of firm-fixed-price task orders to provide a means to purchase of light weight modular berths and related materials in support of the Shipboard Habitability Improvement Program at competitive prices in accordance with the delivery schedules listed on the statement of work. The contracts will run concurrently and will include a 60-month base ordering period with an additional six-month ordering period option pursuant of Federal Acquisition Regulation 52.217-8, which if exercised, will bring the total value of this contract to $28,996,501. The base ordering period is expected to be completed by August 2025; if the option is exercised, the ordering period will be completed by February 2026. Specific requirements for habitability support cannot be predicted at this time; therefore, the various locations of where the supplies will be delivered cannot be determined at this time. Fiscal 2020 operations and maintenance (Navy) funds in the amount of $7,500 ($2,500 on each of the three contracts) will be obligated to fund the contracts' minimum amounts, and funds will expire at the end of the current fiscal year. Individual task orders will be subsequently funded with appropriate fiscal year appropriations at the time of their issuance. This contract was competitively procured with the solicitation posted on beta.sam.gov as a small business set-aside, with four offers received. Naval Supply Systems Command Fleet Logistics Center Norfolk, Contracting Department Norfolk Office, Norfolk, Virginia, is the contracting activity. PTC Inc., Boston, Massachusetts, is awarded a $17,131,314 firm-fixed-price contract modification to previously awarded contract N00024-20-C-6121 to exercise and fund an option for integration and development efforts in support of Model Based Production Support. This option exercises and funds an option for Model Based Production Support integration and development support. Work will be performed in Boston, Massachusetts, and is expected to be complete by June 2025. Fiscal 2020 operations and maintenance (Navy) funding in the amount of $370,949 will be obligated at the time of award and will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C. is the contracting activity. Boston Ship Repair LLC, Boston, Massachusetts, is awarded a $16,567,594 firm-fixed-price contract (N3220520C4002) for a 64-calendar day shipyard availability for the mid-term availability of the fleet replenishment oiler USNS Walter S. Diehl (T-AO 193). The $16,567,594 consists of the amounts listed in the following areas: Category “A” work item cost, additional government requirement, other direct costs and the general and administrative costs. Work will include main and emergency switchboard cleaning; lifeboat and rescue boat davit maintenance and testing; 6,000-hour overhaul of port and starboard main engine exhaust valves, port and starboard main engine fuel injection pumps; annual firefighting inspection and certification; inspection and overhaul of shaft brakes; preparation and paint saltwater ballast tanks 10 port and starboard; preparation and paint fore peak tank; preparation and paint distillate fuel marine cargo tank seven port; preparation and paint jet propellant 5 contaminated tank; preparation and paint distillate fuel marine contaminated tank; tank deck non-slip renewal frames 20 through 40; miscellaneous steel repairs; miscellaneous valve and actuator repairs; tank deck overhead preservation; bi-annual gauge calibration; blast and paint 02 Level lifeboats; pump room bilge preservation; number one and two constant tension winch overhaul; refrigeration plant room; tank deck sprinkler system flush; inspection and painting of the distillate fuel marine piping; sea valve and waster piece overhaul; replace anti-slip on 05, 06 and 07 Levels, various pump overhauls; underway replenishment station permanent repairs to Stations Three, Four and Eight; various steel deck renewals; miscellaneous pipe repair; and underway replenishment gear maintenance. The contract includes options, which, if exercised, would bring the total contract value to $17,860,194. Funds will be obligated Aug. 12, 2020. Contract completion will be Dec. 4, 2020. Work will be performed in Boston, Massachusetts, and is expected to begin Oct. 1, 2020. Contract funds in the amount of $16,567,594, excluding options, are obligated for fiscal 2021 using working capital funds (Navy). This contract was competitively procured, with proposals solicited via the beta.sam.gov website and three offers were received. The U. S. Navy's Military Sealift Command, Norfolk, Virginia, is the contracting activity (N3220520C4002). GM/Bulltrack JV LLC,* Clackamas, Oregon, is awarded firm-fixed-price task order N6247820F4221 at $9,165,646 under a multiple award construction contract for Wharf 2 structural repairs at Joint Base Pearl Harbor-Hickam. The work to be performed includes performing spall and crack repairs to concrete pile caps, beams, curtain wall, utility vault, deck (above and below), deck curbs, and mooring foundations; replacing timber deck curbing with concrete; repairing concrete piles by installing epoxy-filled fiberglass jackets; installing a cathodic protection system for the steel sheet piles; replacing timber fender piles with precast concrete fender piles with rub strips; replacing timber wales and chocks at the deck level and timber framing near the waterline with plastic lumber; refurbishing steel cleats and connection hardware; replacing potable water piping and deteriorated utility hangers. Work will be performed in Oahu, Hawaii and is expected to be completed by September 2021. Fiscal 2020 operations and maintenance (Navy) contract funds in the amount of $9,165,646 are obligated on this award and will not expire at the end of the current fiscal year. Four proposals were received for this task order. The Naval Facilities Engineering Command, Hawaii, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity (N62478-18-D-4027). Katmai Integrated Solutions LLC, Anchorage, Alaska, is awarded an $8,004,940 hybrid firm-fixed-price, time and materials, and cost reimbursement contract for a wide range of experimentation, business, and operational support services in support of the U.S. Marine Corps Combat Development Command Warfighting Laboratory. This contract includes a 12-month base period, four 12-month option periods, and one six-month option period which, if exercised, could bring the cumulative value of this contract to $59,492,149. Work will be performed in Quantico, Virginia (92%); and with the Marine Corps Expeditionary Forces (8%). Work is expected to be completed Aug. 14, 2021. If all options are exercised, work will continue through Feb. 14, 2026. Fiscal 2020 operations and maintenance (Marine Corps); and research and development (Navy) funds will be utilized to award this contract. The contract will be incrementally funded at award with $670,000 in fiscal 2020 operations and maintenance (Marine Corps) funds; and $2,291,661 in fiscal 2020 research and development (Navy) funds, for a total of $2,925,825. This amount will be obligated at the time of award and will expire at the end of the current fiscal year. This contract was competitively solicited via beta.SAM.gov, with 10 proposals received. The Marine Corps Installations National Capital Region-Regional Contracting Office, Quantico, Virginia, is the contracting activity (M00264-20-C-0006). ARMY Power and Instrumentation Service Inc.,* Vega Baja, Puerto Rico, was awarded a $45,000,000 firm-fixed-price contract for numerous rapid-response temporary roofing projects in the U.S. Virgin Islands in the event of an emergency. Bids were solicited via the internet with five received. Work locations and funding will be determined with each order, with an estimated completion date of March 31, 2027. U.S. Army Corps of Engineers, Omaha, Nebraska, is the contracting activity (W9128F-20-D-0044). KBRwyle Technology Solutions LLC, Columbia, Maryland, was awarded a $23,727,971 modification (000274) to contract W52P1J-12-G-0061 for maintenance, supply, transportation and other logistics functions for the Army Prepositioned Stock-3 Charleston Afloat Program. Work will be performed in Goose Lake, South Carolina, with an estimated completion date of Feb. 14, 2021. Fiscal 2020 operation and maintenance, Army funds in the amount of $4,462,109 were obligated at the time of the award. U.S. Army Contracting Command, Rock Island Arsenal, Illinois, is the contracting activity. Native American Services Corp.,* Kellogg, Idaho, was awarded an $8,315,231 firm-fixed-price contract for construction of a standard design general purpose storage building. Bids were solicited via the internet with five received. Work will be performed at Fort Hood, Texas, with an estimated completion date of Aug. 21, 2020. Fiscal 2020 military construction, Army funds in the amount of $8,315,231 were obligated at the time of the award. U.S. Army Contracting Command, Fort Worth, Texas, is the contracting activity (W9126G-20-C-0005). Barnett Southern Corporation Inc.,* Washington, Georgia, was awarded a $7,775,643 firm-fixed-price contract for furnishing all plant, equipment, labor, transportation, fuel, lubricant, supplies and materials; and performing all operations in connection with raising dikes and berms, and installation of new spillway systems in the Atlantic Intercoastal Water Way in South Carolina. Bids were solicited via the internet with four received. Work will be performed in Charleston, South Carolina, with an estimated completion date of Oct. 29, 2022. Fiscal 2020 civil operation and maintenance funds in the amount of $7,775,643 were obligated at the time of the award. U.S. Army Corps of Engineers, Charleston, South Carolina, is the contracting activity (W912HP-20-C-0005). R&D Maintenance Services Inc.,* Tulsa, Oklahoma, was awarded a $7,146,969 hybrid (cost-plus-fixed-fee, firm-fixed-price) contract for operation and maintenance of government-owned facilities and equipment at Tennessee-Tombigbee Waterway and Okatibbee Lake projects in Alabama and Mississippi. Bids were solicited via the internet with three received. Work will be performed in Columbus, Mississippi, with an estimated completion date of Nov. 30, 2025. Fiscal 2020 civil operation and maintenance funds in the amount of $364,430 were obligated at the time of the award. U.S. Army Corps of Engineers, Mobile, Alabama, is the contracting activity (W91278-20-C-0018). AIR FORCE First RF Corp.,* Boulder, Colorado, has been awarded a maximum $24,900,000 indefinite-delivery/indefinite-quantity contract with cost-plus-fixed-fee completion orders for radio frequency electronic antenna cancellation/beamforming technology software/hardware prototypes. This contract provides for research, development, testing, evaluating and deploying advanced radio frequency (RF) systems. These systems may support any of the various RF functions such as radar, communications, electronic warfare, signals intelligence, direction finding, etc. Work will be performed in Boulder, Colorado, and is expected to be completed Aug. 13, 2026. This award is the result of a sole-source acquisition. Fiscal 2019 research, development, test and evaluation funds in the amount of $300,000 are being obligated at the time of award on the first task order. Air Force Research Laboratory, Rome, New York, is the contracting activity (FA8750-20-D-0500). *Small Business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2312498/source/GovDelivery/

  • Canada Wants Armed Drones in the Air by 2025

    August 14, 2020 | Local, Aerospace

    Canada Wants Armed Drones in the Air by 2025

    Ottawa is on the lookout for unmanned aircraft that can conduct long-range surveillance and precision air strikes. The program is expected to cost from $1 billion to $5 billion. By Justin Ling The Canadian government is finally forging ahead with plans to set up its own fleet of armed drones, joining several of its NATO allies. Ottawa is looking for an unmanned aircraft that can reach anywhere in its massive territory, keep an eye on its territorial waters, and, when necessary, acquire targets and fire missiles. It looks increasingly likely that Canada will be buying something resembling the MQ-9 Reaper, a preferred plane for the U.S. armed drone program. In a briefing for industry players, a representative from the procurement arm of the Canadian government laid out Canada's desire for its long-range, medium-altitude drone. The total cost for the program could range from $1 billion to $5 billion. Part of what makes a drone system more attractive than a conventional aircraft is that it can loiter over a target area for upwards of six hours, meaning it can track individuals for long distances and periods of time. A spokesperson for the Department of National Defence confirmed that “domestically, the RPAS (remotely piloted aircraft system) will be routinely used for surveillance and reconnaissance of Canadian Maritime approaches and the Arctic.” That sort of capability will be useful as the Northwest Passage becomes more easily navigable, and foreign ships begin moving through the Arctic seaway. As VICE News reported in 2017, the Canadian Air Force posited that its drones could aid in search-and-rescue operations in the Arctic; intercept drug shipments in the Carribean; bomb targets in Afghanistan; and surveil public protests in Toronto. The government spokesperson stressed that “while RPAS will not need to routinely carry weapons during operations in Canadian airspace, situations may arise that would require such capabilities.” As with any fighter jets flying in Canadian airspace, they stressed, they would be bound by Canadian law and the military chain of command. Abroad, the drones would operate under the same law of armed conflict that governs conventional aircraft. In 2015, not long after Prime Minister Justin Trudeau was elected, Ottawa signalled interest in purchasing armed drones, which can be brought online much faster than the current generation of fighter jets—they require much less pilot training, for example. Upon taking office, Trudeau promised to reboot a procurement process to replace its aging CF-18 fighters—a process that is still moving sluggishly, as his government initially followed through on a promise to scrap plans to purchase the U.S.-made F-35, only to turn back around and allow it to vie for the contract all over again. As an interim measure, the Canadian military has had to buy a package of refurbished CF-18s to keep up its coastal surveillance and its obligations under NORAD, and to ensure it is able to participate in foreign operations if asked. The current drone plan, which would see the first aircraft arriving by 2024 and operational the following year, would go a long way to filling a potential and much-feared operational gap. Last year, the government announced two possible suppliers for the platforms: Quebec-based L3 Technologies and a partnership between the U.S. government and General Atomics Aeronautical Systems. L3 Technologies is working with Israel Aerospace Industries to pitch a modified version of its Heron drone, which has become a favourite of the Israeli Defence Forces (Canada has actually leased these systems from Israel). General Atomics is proposing Canada buy the MQ-9B SkyGuardian—a successor to the MQ-9 Reaper and the MQ-1 Predator, which became synonymous with the Obama administration's overseas drone operations. Somewhat confusingly, L3 Technologies is also producing parts of the SkyGuardian platform. It's still possible that Canada could go with a third supplier. https://www.vice.com/en_ca/article/v7gqvm/canada-wants-armed-drones-in-the-air-by-2025?

  • Army buys $189M counter drone system but already has plans to replace it

    August 14, 2020 | International, Land

    Army buys $189M counter drone system but already has plans to replace it

    Nathan Strout The U.S. Army has invested another $190 million into a counter-small unmanned aircraft system (C-sUAS), but it's determined that the system will need to be replaced by a U.S. Marine Corps alternative. On July 20, the Army announced it was awarding DRS Sustainment Systems $190 million to develop, produce and deploy the Mobile-Low, Slow, Small Unmanned Aircraft System Integrated Defeat System (M-LIDS). While the system will be deployed, it doesn't have a long-term future with the military. Despite the Army investing in the program for years, M-LIDS is a casualty of redundancy. As the Department of Defense has become more concerned by the threat posed by small drones in recent years, the services have each developed their own C-sUAS responses — mobile, stationary and dismounted. Recognizing the redundancy in that approach, the defense secretary delegated the Army to lead the effort to narrow the number of C-sUAS solutions for use by the joint forces. On June 25, the Army's Joint C-sUAS announced it had selected eight C-sUAS for future investment and deployment by the joint forces. M-LIDS didn't make the cut. But then, about a month later, the $190 million M-LIDS contract was announced, “Mobile-LIDS (M-LIDS) was not selected and will be replaced by the next generation mobile system,” said Jason Waggoner, an Army spokesman. In the meantime, “M-LIDS will be deployed with Army units to the CENTCOM area of operations.” M-LIDS would likely be replaced by the Light-Mobile Air Defense Integrated System (L-MADIS), a C-sUAS developed by the U.S. Marine Corps and the only mobile solution approved by the Joint C-sUAS Office. L-MADIS has already been deployed for testing and was reportedly used to down a drone off the coast of Iran last year. The Joint C-sUAS office told reporters in June that the services were conducting an analysis of how many systems would need to be replaced under the new arrangement. However, leaders were not able to provide a timeline for how quickly they expected to replace those systems. The series of announcements in this market came quickly this summer. Two days after the M-LIDS award, the Army announced a contract for one of the C-sUAS solutions that was included on the list for future investment: the Expeditionary-Low, Slow, Small Unmanned Aircraft System Integrated Defeat System (now known as FS-LIDS). The $426 million contract with SRC Inc. provides for the development, production, deployment and support of FS-LIDS, the only fixed-site solution approved for the joint forces by the Joint C-sUAS Office. “Development of FS-LIDS is complete and systems are being deployed to U.S. forces globally, with a focus in the CENTCOM area of operations,” Waggoner said. “FS-LIDS will remain in use until replaced with newer technologies.” C-sUAS spending hasn't been limited to the Army in recent weeks. On Aug. 10, the U.S. Air Force issued Black River Systems Co. an $89 million contract for an operational C-sUAS open systems architecture https://www.c4isrnet.com/unmanned/2020/08/13/army-buys-189m-counter-drone-system-but-already-has-plans-to-replace-it

  • AM General CEO on acquisition by a private equity firm

    August 14, 2020 | International, Land

    AM General CEO on acquisition by a private equity firm

    WASHINGTON ― KPS Capital Partners is acquiring Humvee-maker AM General, the private equity firm announced last month, marking a new chapter for the South Bend, Indiana-based vehicle maker. AM General President and CEO Andy Hove will continue to lead the company, and KPS Partner Jay Bernstein said the firm would continue to build on the ubiquitous Humvee, leveraging the company's “research, technology, innovation and new product development, as well as its heritage and iconic brand name.” The Humvee appears to have some growth ahead. For one, U.S. Army budget documents call for $1.5 billion through 2025 to pay for modernization of its fleet of High Mobility Multipurpose Wheeled Vehicles and their up-armored variant. That can include replacing major components, applying new technologies or replacing vehicles entirely. After the Army reaches its procurement objective for the Joint Light Tactical Vehicle, made by Oshkosh, it will have an enduring requirement for 54,800 Humvees. Otherwise, AM General ― which has advertised both its Brutus 155mm and Hawkeye 105mm mobile howitzers ― is expected to participate in the Army's mobile howitzer shoot-off evaluation at Yuma Proving Ground, Arizona, next year. Meanwhile, the Army is expected to complete a new tactical wheeled vehicle strategy in fiscal 2021, which has thus far received congressional support, per the House and Senate versions of the annual defense policy bill. Hove, who has said KPS will continue to execute AM General's existing strategy, spoke with Defense News on Aug. 6. This interview has been edited for brevity and clarity. Private equity firm KPS Capital Partners is in the process of acquiring AM General. At this preliminary stage, what would you say are KPS' plans and vision for the company? I think [KPS partner] Jay Bernstein represented it in his quote in the announcement that they feel really good about the capabilities of AM General and the strategy we've been executing. We've discussed with them where we can go. They're confident in our business and the growth prospects of AM General. They feel good about and stand behind our strategy, and we're going to work together with them. Will the company focus more on the Humvee, or do you see it becoming more flexible? What is the future for the Humvee? Who are its customers these days? To say we're only focused on the Humvee today would not be a correct premise. We've made investments across the board, in base automotive systems, and then automotive systems that have a particular special use. Our core focus is in solving very complex mobility challenges for customers. So the Humvee has a great future. I would offer that you turn to not what I say about what the Army will do but what the Army says they're going to do on the Humvee fleet, which is to steadily and systematically manage a very large fleet by systematic replacement of that fleet and recapitalization of that fleet going forward. They've been buying new-built Humvees to replace old Humvees over the last four years at a pretty heavy clip and have announced their intention to continue to do that going forward. We're obviously going to focus on the Humvee because there's significant demand. It is today the world's leading military 4x4 in its class, and we build more of them than any other military vehicle manufacturer in the world, and especially more than anybody in our weight class. That won't be the only thing we invest in. You can see our investments in the Hawkeye, which brings game-changing breakthrough technology [in relation to] how artillery systems are moved around and employed on the battlefield, together with a whole other range of implementing technologies such as autonomous navigation, off-board power and those kind of things. The U.S. Defense Department is an important customer, but a considerable portion of our businesses is global business, so we take a global view of how we solve mobility challenges for our customers around the globe. The Army recently issued a request for information about replacing heavy trucks. Is that a potential opportunity? We certainly feel like we have something to offer, a range of things to offer there, and that RFI's only been out for a couple of weeks. We'll will certainly take a closer look at that. We're also taking a look at the JLTV competition they announced back in February. Defense News recently characterized AM General as “largely stagnant” since losing the competition for the JLTV in 2015 to Oshkosh. Do you want to push back at all to talk about AM General's time under McAndrew & Forbes? The JLTV decision was 2015, and the four years since the announcement on the JLTV competition we've built more military vehicles than Oshkosh or any other military vehicle manufacturer by a long shot, and sold them to more customers around the globe than anyone else. I think that's far from being stagnant. There are a lot of adjectives you can apply to the company. “Stagnant” would not be the one I would apply. Private equity firms will typically set up companies they buy for faster growth, and then potentially that'll lead to a future sale. Do you think that's something that might happen here, and what do you predict? Is there any indication of time horizons for KPS? KPS has made a lot of smart investments, they have a pattern, but they're not going to be pigeonholed into a particular time frame for a next-step strategy. https://www.defensenews.com/interviews/2020/08/13/am-general-ceo-on-acquisition-by-a-private-equity-firm/

  • Hungary plunks down $1 billion for new air defenses

    August 14, 2020 | International, Aerospace

    Hungary plunks down $1 billion for new air defenses

    By: Sebastian Sprenger COLOGNE, Germany – The Hungarian and U.S. governments have announced a $1 billion deal to equip the European country with new air-defense weaponry. The sale includes the Raytheon-made Advanced Medium-Range Air-to-Air Missile-Extended Range missile, of which Hungary requested some 60 copies in May through the U.S. Foreign Military Sales program. According to the Defense Security Cooperation Agency, that portion of the deal is worth $230 million. Another transaction type, called a Direct Commercial Sale, accounts for the rest of the money, according to a statement posted on the website of the U.S. Embassy in Budapest. Such sales are negotiated privately between customer countries and American defense contractors, meaning the U.S. government has little involvement besides approving an export license. Exactly what the DCS portion of the deal entails is unclear, though the embassy statement and Hungarian media note that all the equipment would go toward replacing the country's Soviet-era gear with the NASAMS short- and medium-range air-defense system made by Norway's Kongsberg. Raytheon's AMRAAM-ER missiles are the interceptors in that configuration. U.S. Ambassador David Cornstein, a New York businessman and admirer of Hungarian Prime Minister Victor Orban's policies, and Hungarian Defense Minister Tibor Benkő lauded the weapons deal Wednesday. “We commend the Hungarian government's strong commitment to continue modernizing Hungary's military through the acquisition of the world's most advanced mid-range air defense system, which will enhance Hungary's ability to provide collective and self-defense,” the statement reads. EU member Hungary, with its far-right government, is under pressure from other members of the bloc for what they say is a steady slide toward anti-democratic rule. The country has been on a military spending spree lately, with Germany's Krauss-Maffei Wegmann in line to supply dozens of Leopard-2 tanks. https://www.defensenews.com/global/europe/2020/08/13/hungary-plunks-down-1-billion-for-new-air-defenses

  • BAE Systems Wins Contract to Deliver and Manage Secure Networks Across Essential Government Agencies

    August 14, 2020 | International, C4ISR, Security

    BAE Systems Wins Contract to Deliver and Manage Secure Networks Across Essential Government Agencies

    August 12, 2020 - The U.S. Air Force Research Laboratory (AFRL) has awarded BAE Systems a five-year $85 million contract1 to continue to develop, deploy, modernize, and maintain cross-domain solutions that allow for secure transfer of sensitive information between government networks. The work on the contract will enable the secure exchange of data—including streaming video, images and audio—to enhance mission collaboration. BAE Systems will also provide research, development, and evaluation of new technologies, including the integration of innovative artificial intelligence and machine learning capabilities. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200812005454/en/ “As the military cyberspace battlefield expands, we understand how critical it is that secure, innovative intelligence solutions are available to warfighting commands and combat support agencies to communicate safety and effectively,” said Pete Trainer, vice president and general manager of BAE Systems' Air Force Solutions business. “We are pleased to continue our long-standing partnership with the Air Force Research Laboratory and provide our expertise in high-assurance, cross-domain technologies to meet this new mission need. Our services will provide end-users access to virtual information and analysis faster, allowing them to make informed decisions quickly.” BAE Systems is a leading systems integrator supporting militaries, governments, and U.S. intelligence community members across the globe. The company's advanced technologies and services protect people and national security, and keep critical information and infrastructure secure across air, land, sea, space, and cyber domains. 1 This material is based upon work supported by the Air Force Research Lab under Contract No. FA8750-20-F-0007. Any opinions, findings and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of the Air Force Research Lab. View source version on businesswire.com: https://www.businesswire.com/news/home/20200812005454/en/ (Photo: BAE Systems)

  • Boeing Delivers Next Generation Interceptor Proposal to the U.S. Missile Defense Agency

    August 14, 2020 | International, Aerospace

    Boeing Delivers Next Generation Interceptor Proposal to the U.S. Missile Defense Agency

    Huntsville, Ala., August 12, 2020 - Today, Boeing [NYSE: BA] submitted its offer to the U.S. Missile Defense Agency for the Next Generation Interceptor (NGI) competition, proposing a design that leverages the company's more than 60-year track record and expertise in strategic missile and weapon systems. “Boeing's NGI proposal delivers unmatched performance, affordability and reliability for the nation and the warfighter,” said Norm Tew, Missile and Weapon Systems vice president and general manager, and Huntsville site senior executive. “Building upon our prior investments and proven technologies, our innovative proposal offers a creative, compelling and game-changing technical approach to outpace, out-innovate, deter and defeat rapidly evolving advanced threats.” If selected, Boeing will utilize its proven capabilities along with a best-of-industry team to ensure its unique offering is delivered to the warfighter on time. “Boeing is well-positioned to deliver innovative solutions that greatly expand this key missile defense capability, ever focused on supporting the warfighter,” said Tew. “We are leveraging our unparalleled mission knowledge to design, develop and deliver a low-risk, highly-effective solution for the MDA.” The NGI will be used to maintain ready deterrence and ensure the continued protection of the U.S. homeland from intercontinental ballistic missiles. A contract award is expected later this year. For more information on Boeing's NGI offering, visit http://www.boeing.com/defense/missile-defense/ngi. Follow us on Twitter: @BoeingDefense and @BoeingSpace. # # # Contact Megan Gessner Defense, Space & Security Mobile: +1 256-640-3036 Megan.Gessner@Boeing.com Jerry Drelling Defense, Space & Security Mobile: +1 714-318-7594 Jerry.a.Drelling@Boeing.com The views expressed are those of The Boeing Company and do not constitute an endorsement by the Missile Defense Agency (MDA). View source version on Boeing Newsroom: https://boeing.mediaroom.com/2020-08-12-Boeing-Delivers-Next-Generation-Interceptor-Proposal-to-the-U-S-Missile-Defense-Agency

  • Northrop Grumman Awarded DARPA Gamebreaker Contract

    August 14, 2020 | International, C4ISR, Security

    Northrop Grumman Awarded DARPA Gamebreaker Contract

    Linthicum, Md. – August 12, 2020 – Northrop Grumman Corporation (NYSE: NOC) was recently awarded a contract from the U.S. Defense Advanced Research Projects Agency (DARPA) Strategic Technology Office (STO) for the Gamebreaker program. This innovative program seeks to develop and apply artificial intelligence (AI) to existing real-time strategy games to break a complex model or create an imbalance. Northrop Grumman will use this opportunity to evaluate and develop technology to improve flexible planning, optimization and discovery in products that operate dynamic environments. “Using AI to exploit engagement models can help to enable intelligent systems that could in turn enhance military strategy,” said Susan Wilson, director, intelligent mission capabilities and advanced technology laboratory, Northrop Grumman. “We are exploring how we may be able to use this methodology in the future.” Northrop Grumman's Gamebreaker team includes Hazardous Software and Slitherine Software's Matrix Games. Working closely together, this partnership will use advanced AI techniques to model and break balance within a highly complex simulator environment called “Command: Modern Operations”. “Hazardous Software Inc. (HSI) is excited to continue our partnership with Northrop Grumman,” said Christopher Hazard, CEO, Hazardous Software. “Building upon our 13 years of history modeling dynamic adversarial scenarios and leveraging the Diveplane machine learning platform, HSI's approach to Gamebreaker complements Northrop Grumman's longstanding experience and technology capabilities.” “Command Professional Edition is the only wargame being analyzed by DARPA in the Gamebreaker program,” said Iain McNeil, CEO, Slitherine Software. “We are very interested to see how the AI behaves and if it manages to identify loopholes that need assessment, or it comes up with innovative strategies that are applicable to the real world.” Hazardous Software Inc. (HSI) creates technology that enables and incentivizes people to operate strategically in uncertain environments, regardless of whether it is a game, a simulation, or a real-life event. HSI leverages its unique capabilities in counterfactual reasoning and through understandable artificial intelligence via its relationship with Diveplane Corporation, a company it spun out in 2017. Matrix Games specializes in COTS physics-based simulations and strategy video games. Through careful research and development, commercial simulations are turned into modern and powerful programs that are able to replicate complex military operations, from tactical and operational to analytical. Matrix Games, utilizing the Flashpoint Campaigns Sim, has now been appointed to year 2 of the ATHENA Prototype Project by DEFENSE ENERGY CENTER OF EXCELLENCE (NSTXL) on behalf of the United States Army Future Studies Group. The company is also a “single source” contractor and research and development supplier of the UK Defence Science and Technology Laboratory (Dstl). Northrop Grumman solves the toughest problems in space, aeronautics, defense and cyberspace to meet the ever evolving needs of our customers worldwide. Our 90,000 employees define possible every day using science, technology and engineering to create and deliver advanced systems, products and services. View source version on Northrop Grumman: https://news.northropgrumman.com/news/releases/northrop-grumman-awarded-darpa-gamebreaker-contract

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