Tank contracts for GD

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The US Army has awarded General Dynamics Land Systems, a business unit of General Dynamics, two contracts worth $359 million for Abrams main battle tank work.

The

has awarded

, a business unit of General Dynamics, two contracts totalling $359m for Abrams main battle tank work.

The first contract, worth $339m for the production of 350 M1A1 Abrams Integrated Management (AIM) tanks, includes an option for 50 additional tanks that would increase the value to $40m if exercised. The second contract, worth $20m, is for production of loader's thermal weapon sights for M1A1 and M1A2 Abrams tanks.

These contracts follow a $380m army contract announced by General Dynamics earlier this week to upgrade 180 Abrams tanks with the M1A2 System Enhancement Package (SEP). The total potential value of all three tank-related contract awards is more than $800m.

The AIM process is a joint effort to refurbish M1A1 Abrams main battle tanks and involves the US Army Project Manager for Heavy Brigade Combat Team, TACOM Life Cycle Management Command, Anniston (Alabama) Army Depot and General Dynamics Land Systems. Under the AIM process, M1A1 Abrams tanks are completely disassembled and overhauled to a like-new condition. Refurbished tanks are said to incur lower operational and support costs and report higher operational readiness rates.

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