Russia’s arms industry has set new records for deliveries of arms and military equipment export in the period ending in 2004. As head of the Federal service for military – technical cooperation Michael Dmitriev has declared, the value of deliveries reached USD $5.78 billion, up $380 million from the previous year’s record high of $5.4 billion. It is noteworthy that these record earnings are part of a five-year pattern of successively greater results since 2000. This five-year increase comes after a crisis in arms export during the period 1997-1999, when revenues fell below previous years.
The Boeing Company has received a $134 million contract from the U.S. Air Force to begin the first phase of a program to modify 10 C-130 aircraft into the MC-130H Combat Talon II configuration. This first-phase contract is for delivery of two aircraft. A follow-on production phase with an estimated value of $446 million will deliver the remaining eight aircraft. Deliveries of the new Combat Talon IIs will begin in July 2008 and continue through the end of 2011. Lockheed Martin and L-3 Communications will be awarded subcontracts to support the Boeing team in the development and modification effort.
Canada’s second-hand purchase of 1980s-era Victoria class submarines from Britain has already reached a cost of $900 million. At present, the Canadian Navy is concentrating almost all of its efforts on getting the subs back to sea after a fatal fire on HMCS Chicoutimi in October 2004 sent the boats to their home ports as a safety precaution
Beyond the cost of getting the submarines operational, Canada’s Department of Defence could be also paying up to $465 million for a mid-life upgrade program upgrades to improve command, control and communications systems on the subs and potentially install new sensors and weapons. If true, this would push the submarines’ expected cost from the originally forecast C$ 750 million to over $1.3 billion.
Oceaneering International Inc. in Chesapeake, VA is being awarded a $150 million indefinite-delivery/ indefinite-quantity, cost-plus-fixed-fee completion contract for technical services in support of Submarine Safety (SUBSAFE) and Level I Material work onboard SSN 21 Seawolf and SSN 688 Los Angeles Class attack submarines, SSBN Ohio Class Ballistic Missile submarines, and Virginia Class submarines.
Work will be performed in Portsmouth, N.H. (25%), Norfolk, Va. (20%), Pearl Harbor, Hawaii (20%), Puget Sound, Wash. (10%), San Diego, Calif. (10%), Kings Bay, Ga. (5%), Guam (5%), La Madalena, Italy (3%) and Yokosuka, Japan (2%), and is expected to be completed by April 2010. This contract was competitively procured and synopsized in Fedbizopps, with two proposals received. The Naval Surface Warfare Center, Carderock Division in Philadelphia, PA issued the contract. (N65540-05-D-0012)
Tetra Tech NUS, Inc. in Pittsburgh, PA won a $25 million cost-plus-award-fee contract for Comprehensive Long-Term Environmental Action, Navy District IV, for program management and technical environmental services in support of the Navy’s Environmental Program. This contract contains option years that could extend the contract to 2010 and bring the contract’s total cumulative value to $125 million.
The U.S. Army Engineer District in Savannah, GA has issued a pair of firm-fixed-price contracts for construction of U.S. Special Operations Forces facilities.
ACC Construction Co. in Augusta, GA won a $16 million firm-fixed-price contract (W912HN-05-C-0028) for Special Operations Forces Battalion Operations Complex in Savannah, GA, which is expected to be completed by Oct. 30, 2006. There were 350 bids solicited on Sept. 10, 2004, and three bids were received. Joint venture and small business qualifier White Hawk/Todd of Brentwood, TN won a $7.1 million firm-fixed-price contract (W912HN-05-C-0019) for design and construction of a special operations force training facility at Fort Bragg, NC, which is expected to be completed by Sept. 21, 2006. There were 350 bids solicited on Aug. 18, 2004, and two bids were received.
Bulgaria will purchase 8 C-27J Spartan tactical transport aircraft. This news follows decisions by a number of countries to purchase the C-27J, often described as a smaller and shorter-range cousin to the C-130 Hercules aircraft that shares extensive commonality with its larger sibling (the Bulgarian news article is in error concerning the aircraft’s cargo capacity; it is significantly smaller than the C-130, but the C-27J can accommodate Hercules load pallets). Though no prices were given, fly-away estimates for the C-27J range from USD $20-27.5 million each. In addition, Canada is slated to buy 15 C-27Js, Greece 12, Portugal 10, and the Czech Republic 4. Other countries are also reportedly evaluating the aircraft.
The primary roles of the C-27J are cargo transport, troop transport and material and paratroop air drop. Other missions include maritime patrol, tactical operations, medical evacuation, ground refueling, fire-fighting and aerial spraying. It is made by Lockheed Martin Alenia Tactical Transport Systems (LMATTS), a joint venture company set up by Lockheed Martin and Finmeccanica subsidiary Alenia Aeronautica.
The U.S. Department of Defense has recently issued contracts related to the maintenance or upgrade of its CH-47 Chinook medium transport helicopters, even as related contracts like the M240H machine gun update their associated weapons. In the last 2 days, the U.S. Department of Defense has issued $33.2 million in delivery orders from $105.9 million in contracts to replace and maintain the CH-47 fleet. These contracts were issued by the U.S. Army Aviation and Missile Command in Redstone Arsenal, AL.
