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07 Apr 2008 | Ref. 115/2008

ANNISTON, Alabama –- BAE Systems has been awarded a US $19.7 million contract modification from U.S. Army’s Anniston Army Depot to support, in partnership with the Depot, the reset to combat ready status of 57 Army-configured M88A1 medium recovery vehicles. The contract contains an additional option worth US $4.1 million to support the reset of up to 12 additional vehicles.

The contract brings the total number of M88A1 resets supported by BAE Systems since 2005 to 449 vehicles. When added with previous contracts, the total value of this effort to the company is US $191.7 million.

“Our partnership with Anniston Army Depot is a great example of how public private partnerships can best meet the equipment needs of the U.S. Army, by leveraging the capabilities, technologies and experience of both the Depot and BAE Systems” said Andy Hove, vice president of Combat Systems Programs for BAE Systems.

Under the partnership, BAE Systems will perform disassembly, component overhaul and kitting, and Anniston Army Depot will conduct final assembly and test of the vehicles.

The M88A1 is a fully tracked armored vehicle with a mission to perform battlefield rescue and recovery missions. It can fulfill this mission on all types of terrain and during all weather conditions.

Work on the contract will be performed at BAE Systems’ Anniston, Alabama facility beginning immediately and will continue through December 2008.

The Anniston facilities include a 450K square foot forge facility that is the U.S. industrial base for combat systems track, producing the majority of the forged track and suspension components for the U.S. inventory of tracked vehicles. Its 196K square foot Vehicle Upgrade and Overhaul facilities currently perform upgrades, overhauls and repair work on the M113 Family and the M88A1 medium recovery vehicles in partnership with the Anniston Army Depot.

BAE Systems employs more than 1,000 people in Alabama, with facilities in Anniston, Cordova, Geneva and Huntsville. The Geneva facility manufactures over 60,000 body armor components per month, including the Outer Tactical Vest conversion kits. The Huntsville facility is a leader in air and missile defense, joint interoperability, program management, quality assurance engineering, test and evaluation, cost analysis, and business process reengineering. The Cordova facility manufactures the155-mm Advanced Gun System magazine and the Mk 57 Vertical Launching Systems canisters for the U.S. Navy’s newest class of destroyer, the DDG 1000.

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. With 97,500 employees worldwide, BAE Systems' sales exceeded £15.7 billion (US $31.4 billion) in 2007.

For further information, please contact:
Garrie Dornan, BAE Systems
Tel: +1 717 225 8004 Mobile: +1 717 818 7401

Shannon Smith, BAE Systems
Tel: +1 703 907 8257 Mobile: +1 703 967 3854

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