Rapid Fire: 2010-06-23

• PricewaterhouseCoopers: Asia-Pacific aerospace and defense market is predicted to grow 70% over the next 20 years.

• Corruption in Afghanistan: it isn’t just a problem for the government’s forces…

• Frost & Sullivan: DoD is expected to offset a dip in C4ISR research and development spending with an increase in C4ISR supplies, services, and deployed technologies.

• Going Public: Carlyle Group looks to raise $300 million by selling shares in defense contractor Booz Allen Hamilton through an IPO.

• Insourcing provisions in the 2011 defense authorization bills sparks concern by government contractors’ trade group.

• USAF developing MEDEVAC (aeroMEDical EVACuation) procedures for its new short-field C-27Js, which are set to become a key link in that chain.

• Donaldson wins order for no-moving-parts, no maintenance air filtration in new EQ-36 counterfire radars.

• Hurt Locker: RELYANT gets a $49 million US Army contract to provide unexploded ordnance removal and mine clearance in southern and western Afghanistan.

• Here Comes the Sun: Ascent Solar Technologies wins DARPA contract to develop portable photovoltaics for battlefield power systems.

• Night Vision: The UK Ministry of Defence is placing a $53 million order with ITT to buy head-mounted night vision systems (a variant of the Generation III AN/PVS-14 monocular goggle).

Michelin Contracted for Naval Aviation Tires & Support

C-2A Greyhound
(click to view larger)

In June 2010, Michelin Aircraft Tire Corp. in Greenville, SC received a $101.1 million firm-fixed-price performance based logistics contract that supports 23 separate tire types aboard V-22 family tilt-rotors; H-60, H-46, and H-53 family helicopters; AV-8B Harrier II and F/A-18 family fighters; EA-6B Prowler jamming aircraft; P-3 Orion maritime patrol planes; and E-2/C-2 family cargo and AWACS planes.

The original contract was competitively awarded, with 11 firms originally solicited and 2 offers received by the US Naval Inventory Control Point in Philadelphia, PA (N00383-00-D-042G). The base contract was issued for $70.3 million and up to 163,581 tires in October 2000, and Option 1 was exercised for $92.9 million in July 2005. The June 2010 Option 2 award brings the announced total to $264.3 million, of a total value that was originally announced as $366.5 million maximum with all options exercised.

USN F/A-18C, Italian AV-8Bs

Work on Option 2 will be performed in Greenville, SC (100%), and the contract will run to January 2016. Funding is provided by the Defense Business Operating Fund and Navy Working Capital Funds, and will not expire before the end of the fiscal year. Most of this option is expected to support American needs, but this announcement also includes foreign military sales support for Australia (F/A-18, H-60, P-3); Egypt (E-2, H-60); Italy (AV-8B); Japan (E-2, H-46, H-60); Kuwait (F/A-18 C/D); Malaysia (F/A-18 C/D); New Zealand (P-3); Spain (AV-8B, H-60); and Taiwan (E-2, H-60, P-3 coming), who had participated in previous contracts at a 90/10 USA/FMS split. Previous announcements added H-3 Sea King helicopters, which are used by some of these countries, but this announcement does not. Previous contracts also covered F-14 Tomcat fighters, S-3 Viking sea control aircraft, and T-2 Buckeye trainers, all of which have joined the Sea King in withdrawal from US Navy service.