81mm mortar
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A weapon without ammunition is useless, which is why ammunition is almost always a strategic national capability whose production must remain in-country. On the other hand, government demand has a tendency to swing up and down within narrow limits, and the demands of efficiency usually lead to a single supplier situation – often using equipment that dates back to World War 2. The USA has run into problems because of its reliance on a single small arms ammunition plant, for instance, and has moved to modernize and diversify its base. Its ally Australia is modernizing key ammunition facilities, and trying to modernize its industrial approach as well.

Then there’s Britain, whose long-term defense contracting practices are establishing world-class benchmarks. The UK MoD has been working on an arrangement that secures national supply needs from British sources, and ensures that modernization investments continues to improve industrial efficiency. Hence the new 15-year, GBP 2+ billion Munitions Acquisition – the Supply Solution (MASS) program…

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M777: dragon’s breath
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The M777 ultra-lightweight towed 155mm howitzer has an integrated digital fire control system, and can fire all existing 155mm projectiles. Nothing new there. What is new is the fact that this 9,700 pound howitzer saves over 6,000 pounds of weight by making extensive use of titanium and advanced aluminum alloys, allowing it to be carried by Marine Corps MV-22 tilt-rotor aircraft or medium helicopters, and/or airdropped by C-130 aircraft. The new gun is a joint program between the US Army and Marine Corps to replace existing 155mm M198s, and will perform fire support for U.S. Marine Air Ground Task Forces and U.S. Army Stryker Brigade Combat Teams.

Britain is also an M777 LWH development partner, but Canada became the first country to field it in combat via an emergency buy before their 2006 “Operation Archer” deployment to Afghanistan. This is is DID’s new FOCUS article covering the M777 program. The latest news is a request from Australia, and more orders from the US military…

• M777: Capabilities and Upgrades
• M777: Program
• M777: Contracts and Key Events [updated]
• Additional Readings & Sources
  
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Think of RFID as wireless bar codes that don’t need to be swiped individually. The US military has invested heavily in RFID for its supply chain; recent years have begun to feature positive results, as well as the creation of an RFID solutions center near Wright-Patterson AFB, OH. The next-stage challenge is creating logistics networks that interoperate with allies to interoperate with systems like AGATRS to handle shipment, billing, and more.

Now Lockheed Martin subsidiary Savi Technology has been awarded a contract Army Sustainment Command on behalf of the the U.S. Army Joint Munitions Command (JMC). The initial $4 million contract would use Savi’s Munitions Total Management Systems-Field Module (MTMS-FM) to support depot-level ammunition logistics functions, and additional options that could drive its value higher over time. Savi Technologies release.

Lockheed Martin acquired Savi in May 2006. The firm has worked with th US military for over a decade to build their RF In-Transit Visibility (ITV) network, which spans more than 45 countries and tracks military supplies through 4,000 sites. The current RFID II contract, which totals almost half a billion dollars, belongs to Savi.

Excalibur 155mm
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The GPS-guided M982 Excalibur artillery shell is not an anti-tank round, unlike the SMArt 155 shells Australia bought in October 2007. Excalibur’s accuracy brings its own capabilities, however, including precise counter-fire at enemy artillery and mortars located via projectile-tracking radars. Its shells can also target a particular building near troops under fire, providing a much faster, cheaper, and more reliable alternative to close air support fighters with precision-guided bombs. Both of these capabilities are important on the front-lines, where Australian troops are engaged.

DID readers will recall Australia’s LAND 17 artillery replacement contract, currently underway, aimed at purchasing a new set of towed and mobile 155mm howitzers capable of firing shells like SMArt 155 and the M982 Excalibur. In the mean time, however, a secondary solution is available – and Australia appears to have submitted a modified request…

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AEY Betrayal?
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Reports surfaced in late March that a company with several hundred million dollars worth of contracts, acting as the main supplier of munitions to Afghanistan’s army and police forces, has been delivering substandard ammunition and violating military export regulations. It operated out of an unmarked office in Miami Beach, FL, and employed a 22 year old licensed masseur as its Vice President. Naturally, a number of readers recommended it as DID’s lead April Fool’s Day story. Unfortunately, the story is not a joke.

In March 2007, “$298M to AEY for Ammo in Afghanistan” covered one of the firm’s key contracts. As of March 25/08, however, AEY, Inc. is barred from future contracts with any agency of the US government, and is under investigation by the Department of Defense’s inspector general and by Immigration and Customs Enforcement. Complaints include the quality and origins of ammunition it provided, and allegations of corruption.

Now an investigation by Government Executive Magazine may help shed light on how the firm was able to win the contracts it received. Apparently, it helps to be a “small, disadvantaged business”...

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.50 cal goodness

ATK business Alliant Lake City Small Caliber Ammunition Co. LLC in Independence, MO recently received a pair of firm-fixed-price contracts under DAAA09-99-D-0016 for small arms ammunition from the US government. The Alliant Lake location dates back to World War 2, and had become the USA’s only facility turning out military-grade small arms ammunition. The plant is currently undergoing extensive modernization efforts, while the adoption of General Dynamics as a secondary supplier has helped to ease the USA’s supply crunch for small arms ammunition.

The 3 contracts include a pair on Feb 29/08, and another on March 3/08. The first 2 lay out $21 million for 47,855,400 small caliber (5.56mm – 12.7mm/ .50 cal) rounds, and $13.5 million for 27,779,760 rounds. The 3rd lays out $67.7 million for 304,995,920 rounds. Work on these contracts is expected to be complete by Sept 30/09; in all cases, there was 1 bid solicited on Jan 2/08, and 1 bid was received by The U.S. Army Sustainment Command in Rock Island, IL.

Tiger HAP & HAC
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A formal contract concerning an HAD version of Eurocopter’s Tiger scout/ attack helicopter was recently signed in Bonn, Germany between Eurocopter Tiger and OCCAR, a French/European organization for armament cooperation. This agreement supersedes the official launch ITP for the multi-role HAD (Helicoptere Appui Destruction) version of the Tiger, signed on December 8th, 2004 by France and Spain. It also set out initial procurement numbers for Spain. This was followed by the French DGA’s official announcement re: the restructuring of its own 80 helicopter order.

Eurocopter’s Tiger had always had a very odd setup in that it came in two seemingly incomplete versions (HAP and HAC/UHT), severely limiting its flexibility. The new Tiger HAD variant helps to rectify this, and has entered a new stage thanks to testing, and ancillary weapons orders from France and Spain…

• Tiger Species: HAP, HAC-UHT, ARH, and HAD [updated]
• Contracts & Related Events [updated]
• Additional Readings
  
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Anibal

Spain’s armed forces have recently placed a wide range of orders for vehicles, radios, ammunition, and other supplies and services, which are worth about EUR 250 million (currently $363 million) taken together.

Items include:

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G6 SP Howitzer
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In September 2005, “South Africa’s Denel Forced Into Strategic Shift” examined the changed business landscape for the firm, which was suffering from the collapse of its domestic arms market as a source of guaranteed funding, and a flood of red ink on its balance sheet. The turnabout has been slow, but the firm’s leadership has made it clear that global alliances and sub-contractor status, with a prime role in its domestic market, is the way forward for them.

One of the product groups Denel has always been known for is its artillery systems, which may be the best in the world. Their accurate G6 155mm howitzers continue to outrange all competitors, and the base-bleed ammunition technology they pioneered has become a widespread option for countries looking to extend the range of their existing artillery systems. Industrial partnerships with Rheinmetall and Diehl BGT Defence of Germany have led to orders to supply Germany’s 155mm howitzer and 120mm mortar ammunition, and partnerships have also been explored with General Dynamics in the USA.

Despite their difficulties winning international sales with a superior product, Denel isn’t quite ready to give up its artillery system crown jewels just yet. On the ammunition front, however, business partner Rheinmetall’s move to combine the 2 firms’ customer coverage and technologies has met with a warmer reception…

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The U.S. Army Sustainment Command in Rock Island, IL recently issued a delivery order for the full amount of a $52.2 million firm-fixed-price contract with ATK’s Lake City Small Caliber Ammunition Co., LLC in Independence, MO. Work will be performed in Independence, MO and is expected to be complete by Sept 30/09. One bid was solicited on Oct 31/06, and 1 bid was received (DAAA09-99-D-0016).

The contract is slated to finance the ongoing modernization and enhancement of ammunition production at the Lake City Army Ammunition Plant, a legacy of World War II that remains the USA’s main manufacturing plant for small caliber (.50 caliber and lower) ammunition. In July 2005, “Pass The Ammunition: Army Taking Action on Small-Cal Shortages” explained the issues American forces have faced with ammunition shortages, and the steps that have been taken over the past few years to address this issue.