23 juillet 2020 | International, Terrestre
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/
27 février 2023 | International, Aérospatial
Lockheed Martin Corp hopes Australia wants to buy more of its F-35 fighter planes after the country completes an ongoing defence review, an executive at the U.S. manufacturer said on Tuesday.
8 juin 2020 | International, Terrestre
Les trois partenaires du programme MGCS (Main Ground Combat System), les groupes allemands Rheinmetall et Krauss-Maffei Wegmann (KMW) et le groupe français Nexter, ont signé fin mai le premier contrat d'études avec le BAAINBw (l'office fédéral allemand de l'Equipement, des Technologies de l'information et du Soutien en service de la Bundeswehr), établissant le partage de la charge de travail industriel, rapporte l'Usine Nouvelle. L'Usine Nouvelle du 8 juin
25 juillet 2018 | International, Naval
By: Ben Werner CAPITOL HILL — The Navy and Marine Corps are running up against a deadline to add more amphibious warships to the fleet before older hulls start retiring, Marine Maj. Gen. David Coffman told lawmakers and shipbuilding industry representatives at a congressional forum Tuesday. Recognizing this is a moment when the Hill is pushing to build more ships faster, Coffman said he's focused on ensuring these new ships are designed to accommodate changing technologies and remain useful for 50 years. “We're trying to make sure we have the full ability to take advantage of a multi-year buy,” Coffman, the director of expeditionary warfare on the chief of naval operations' staff (OPNAV N95), said. Coffman was referring to the possibility of the Navy buying 13 San Antonio-class LPD Flight II ships in a block buy contract. These ships are intended to replace Whidbey Island-class LSD ships. As an example, Coffman cited the need to prepare future ships to handle the networking needs of unmanned and autonomous surface and undersea vehicles, which will be incorporated into the amphibious forces of the future. Unmanned surface and undersea vehicles have the potential to dramatically change the way amphibious forces operate, he said. “We have a moonshot idea for amphibious assault, which says it'll be a long time before you see a Marine step off of something because we're going to go autonomous,” Coffman said. “Get autonomous and unmanned to do a lot of the work.” Also, incorporating the networking needs of the F-35B Lightning II Joint Strike Fighter into ship design is critical to the Marine Corps ability to use the aircraft, Coffman said. Future amphibious assaults will most likely occur in contested, even urban areas. Since the Marine Corps is counting on the F-35 playing an important role securing such contested locations, Coffman wants to continually ask what can be done better and how to improve the ship class' capabilities instead of just settling on a single design. “No one else on the planet can do what we do in the littoral space,” Coffman said. But the needs of the Navy and Marine Corps to perform in the littoral space currently outpaces the nation's amphibious warship capacity, said Rep. Rob Wittman (R-Va.). The Navy's shipbuilding plan, which calls for building a 355-ship fleet, is a good start, but the critical number Wittman said is the 38 amphibious ships included in that plan. Previously, Wittman has criticized the slow pace of the Navy's shipbuilding plan. USS Wasp (LHD-1) is expected to reach the end of its anticipated working life by 2030. The concern is older ships such as Wasp will retire before the Navy reaches the goal of 38 amphibious ships, making it nearly impossible for the shipbuilding pace to ever increase the total number of amphibious hulls in use. “Marines can do almost anything, Wittman said.”But until they can walk on water we better be building them more ships.” https://news.usni.org/2018/07/24/navy-and-marine-corps-racing-to-increase-amphibious-fleet