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BAE SYSTEMS AWARDED $709.4 MILLION CONTRACT TO RESET BRADLEY FIGHTING VEHICLES

06 Dec 2007 | Ref. 376/2007
YORK, Pennsylvania — BAE Systems has been awarded a contract modification from the U.S. Army TACOM Life Cycle Management Command, totaling $709.4 million, for the reset of Bradley Fighting Vehicles and associated components.

This modification represents the largest national level reset award for Bradley Combat Systems to date. When combined with an earlier award of $234 million for long lead materials and the option worth $57 million, this effort represents over $1 billion for the reset of Bradley Fighting Vehicles.

Under the base contract, BAE Systems will reset 1,042 Bradley A3 and ODS Combat Systems returning from Iraq and reset additional A3 components. The contract also carries an option for an additional 58 vehicles.

“This is the most significant reset effort ever awarded for Bradley Combat Systems and is vital to ensuring our soldiers have their highly survivable, mobile and lethal Bradley systems back in top condition as soon as possible,” said Andy Hove, vice president of Combat Systems Programs for BAE Systems.

Vehicles that undergo the reset process not only have their useful life restored that was consumed during combat operations, they also receive the latest survivability enhancements and other improvements to greater protect our soldiers in future conflicts.

BAE Systems is working through the company's Public Private Partnership with Red River Army Depot (RRAD) to reset these vehicles. Initial disassembly and subsystem rebuild will be performed at RRAD. Final disassembly and structural modifications will be completed by BAE Systems in Fayette County, Pennsylvania, and final assembly, integration and test will be conducted at the company’s facility in York, Pennsylvania.

The resetting of additional A3 components will be performed at RRAD and the original equipment manufacturers.

Vehicle deliveries under this contract are scheduled to begin in June 2008 and continue through June 2009 while resetting the components will begin in December 2007 and continue through December 2008.

Bradley Combat Systems continue to provide outstanding survivability, mobility and lethality to U.S. Soldiers in close-combat urban situations as well as in open-combat.

The Bradley fulfils five critical mission roles - infantry fighting vehicle, cavalry fighting vehicle, fire support vehicle, battle command vehicle and engineer squad vehicle - for the Army's Heavy Brigade Combat Teams.

About BAE Systems
BAE Systems is the premier global defense and aerospace company delivering a full range of products and services for air, land and naval forces, as well as advanced electronics, information technology solutions and customer support services. BAE Systems, with 96,000 employees worldwide, had 2006 sales that exceeded $27 billion on a pro forma basis, assuming BAE Systems had owned Armor Holdings, Inc. for the whole of 2006.

For further information, please contact:
Garrie Dornan, BAE Systems
Tel: +1 717-225-8004
garrie.dornan@baesystems.com

Shannon Smith, BAE Systems
Tel: +1 703 907 8257 Mobile: +1 703 967 3854
shannon.n.smith@baesystems.com



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