General Dynamics Awarded Contract Worth Up to USD $78 Million for RG-31 Vehicles

[Alex Blair (RIP)]

LONDON, Ontario, Feb. 16 /CNW/ -- The U.S. Army
Communication and Electronics Command, on behalf of the U.S. Army Program
Manager for Close Combat Systems, has awarded General Dynamics Land Systems -
Canada a contract with a potential value not to exceed USD $78 million (CAD
$97 million) for 148 RG-31 Medium Mine Protected Vehicles. Included in this
price is USD $3 million in spare parts. General Dynamics Land Systems, the
Canadian company's parent corporation, is a business unit of General Dynamics
(NYSE: GD).
Under this contract, General Dynamics Land Systems - Canada will provide
the program management and logistics support while BAE Land Systems OMC of
South Africa will manufacture the vehicles.
The contract, which has initial funding of USD $38.2 million, was signed
through the Canadian Commercial Corporation, a Crown Agency of the Canadian
Government. Final contract definition and pricing is expected to be completed
by April 2005. Deliveries will occur from April to Dec. 2005.
The RG-31 tactical vehicle, a product of BAE Land Systems OMC of South
Africa, offers excellent ballistic and mine blast protection, and will be used
by the U.S. Army in support of on-going activities.
Nine RG-31s were previously supplied to the US Army in 2003 and 2004 and
have seen service overseas. The Canadian Army has deployed three RG-31s as
part of its contribution to the International Security Assistance Force in
Afghanistan. In addition, the vehicles are extensively used by NATO forces in
the former Yugoslavia as well as the United Nations in Lebanon, Georgia, Syria
and Kosovo.

General Dynamics Land Systems - Canada, located in London, Ontario, Canada
is a business unit of General Dynamics Land Systems of Sterling Heights,
Michigan. For more than 25 years, approximately 1500 highly skilled technical
personnel design, manufacture and deliver a unique family of light armoured
vehicles (LAV). More information on the company is available at
http://www.gdlscanada.com.

General Dynamics, headquartered in Falls Church, Virginia, employs
approximately 70,200 people worldwide and had 2004 revenue of $19.2 billion.
The company is a market leader in mission-critical information systems and
technologies; land and expeditionary combat systems, armaments and munitions;
shipbuilding and marine systems; and business aviation. More information
about the company is available on the Internet at
http://www.generaldynamics.com.
/Web site: http://www.generaldynamics.com
http://www.gdlscanada.com /



For further information: Ken Yamashita of General Dynamics Land Systems
- Canada, +1-519-964-5813, Fax: +1-519-964-5488, yamashik@gdls.com