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Archives by date > 2005 > June > 17th

Brazil’s Embraer Only Bidder For $234.5M Colombian Air Force Contract

Jun 17, 2005 09:12 UTC

AIR_AT-27_Tucano.jpg

AT-27 Tucano

Brazilian aircraft maker Embraer has presented the only bid for a $234.5 million contract to sell 22 light combat aircraft to Colombia, the Colombian government said on June 15. The government will now study the bid for Tucano T-27 propeller-driven aircraft, the defense ministry said.

Interestingly, in November 2002 the Colombian Defense Ministry bowed out of a deal to buy 24 Tucano aircraft after word from the US Southern Command that the proposed $234 million purchase could jeopardize aid to Colombia.

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Pakistan, Turkey to Step Up Defense Industry Ties

Jun 17, 2005 09:09 UTC

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The Pakistani paper Dawn reports that Pakistan and Turkey have agreed to step up efforts to boost trade and cooperation between their defense industries, and also propose to increase the trade volume between the two countries to at least $1 billion from the current level of $400 million.

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$216.4M more to Up-Armor HMMWVs

Jun 17, 2005 09:05 UTC

Up-Armored Hummer

Up-Armored HMMWV

The U.S. Army Tank-Automotive and Armaments Command in Warren, MI issued a pair of firm-fixed-price contract modifications for more M1114 Up-Armored High Mobility Multi-purpose Wheeled Vehicles (HMMWVs). The total value of these contracts is $216.4M.

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U.S. Navy Puts Ad Account Up for Review

Jun 17, 2005 09:00 UTC

MIL_Navy_Ad.jpg

The U.S. Navy is asking for proposals from ad agencies as part of a regular review for its $60-90 million media account, according to AdWeek. The U.S. military generally picks an agency for a one-year term that has four relatively easy renewal opportunities, ending in a more major review every five years. The current incumbent, IPG’s Cambell-Ewald, will see its contract expire at the end of September 2005.

Cambell-Ewald saw its account expanding rapidly, with the Navy approving a special contract expansion agreement in January to boost media weight by about $10 million. All major service branches have increased their online recruiting efforts several-fold. MarketingVOX has further details.

$55.8M for Thermal Imaging Systems

Jun 17, 2005 08:33 UTC

M1A1

M1A1 Abrams

DRS Technologies secured awards worth nearly $55.8 million for thermal-imaging systems that will be mounted on M1A1 Abrams tanks and/or used by soldiers to see enemies before they can be seen.

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$30M for New Guantanamo Bay Detention Facility

Jun 17, 2005 07:56 UTC

MIL_Guantanamo_Bay_Logo.gif

Halliburton subsidiary Kellogg Brown & Root Services Inc. in Arlington, VA received $30 million for Task Order 0013 under a cost reimbursement, indefinite-delivery/ indefinite-quantity construction contract (N62470-04-D-4017) for construction of Detention Camp #6 and Security Fence at U.S. Naval Base, Guantanamo Bay.

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$39.3M for F100 Engine Spare Parts

Jun 17, 2005 07:45 UTC

ENG_F100_engine.jpg

F100 Engine Test

A pair of U.S. defense centers have issued contracts related to parts for Pratt & Whitney’s F100 fighter engine. The F100 is used in US F-15 and F-16 aircraft.

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MBDA Buys Germany’s LFK

Jun 17, 2005 07:03 UTC

MBDA-LFK Deal Photo

European missile maker MBDA signed June 15 an agreement with the EADS to buy its 81% stake in Germany’s LFK-Lenkflugkorpersysteme GmbH DBA as EADS/LFK. MBDA already owns the other 19%, thus giving it 100% ownership of the German firm. Germany is the third largest missile market in Europe, and the former EADS/LFK has a 25% share of the multi-billion MEADS project.

Of course, it’s more complicated than that. EADS holds 37.5% of MBDA, while BAE Systems of Britain holds 37.5% and Finmeccanica of Italy holds 25%. A Boeing 2003 chart may help make sense of some of the tangled ownership structures in Europe’s defense sector. Defense Systems Daily also has a text briefing updated as of May 31, 2005.

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