5-Year, $750M Intelligence Training Contract

In October 2012, the US Defense Intelligence Agency’s Virginia Contracting Activity issued a 5-year, multiple award intelligence training contract that’s worth up to $750M, and runs until Nov 30/17. It covers the full scope of intelligence training requirements, with work to be performed in Washington, DC; Quantico, VA; Norfolk, VA; Ft. Huachuca, AZ; Ft. Jackson, SC; Willow Grove, PA; Oak Ridge, TN; West Davis Monthan AFB, AZ; and elsewhere as required. Of the 24 proposals submitted, 9 received contract awards, which entitle them to compete for specific task orders as required:

US Export Restrictions Hand Korean E-X AWACS Competition to Boeing

ROKAF E-737

Other countries have criticized the USA’s ITAR policy for being as much about unfair trade competition as it is about genuine security. August 2006 events in Korea would certainly appear to strengthen their case… and now a Nov 8/06 KOIS report puts the final nail in by announcing a $1.6 billion contract “win” for 4 Boeing E-737 early-warning aircraft. Yet Boeing was always the ROK’s second choice, and its “win” came about by default.

A pair of December 2005 articles covered the $1.8 billion competition for South Korea’s E-X airborne early warning & control (AEW&C) aircraft, designed to detect incursions into ROK airspace and act as a sort of air traffic control for the air war. At the time, South Korea had no AWACS assets, relying solely on its allies; by 2012, it wanted at least 4 aircraft. In response, there were 2 main competitors.

Ma Deuce Still Going Strong

M2HB: “Aroint thee!”

Built since the 1920s, the reliable, powerful, air-cooled .50 caliber (12.7 mm) M2 Browning Machine Gun (aka. “Ma Deuce”) is still one of the world’s most effective heavy machine guns. It can be carried by a team of soldiers, or mounted on vehicles and aircraft. Despite its age, its combination of reliability, durability, and kick-butt firepower has made it one of the most requested weapons on America’s front lines, and it remains popular around the world. Modern alternatives like FN’s M3M/GAU-21 have been introduced, and so have R&D efforts like the XM307/312 and XM806, but the M2 remains, as one of our correspondents put it, “the mounted lance of the US cavalry.” The USA has even had to ramp up .50 cal ammunition production, in order to keep up.

This article covers the venerable, and valuable, M2 machine gun, and associated contracts. The US government is still buying more, using both a multi-year contract, and a small business secondary supplier contract. They’ve also broadened the product line.

Portugal Picks Pandur-II Wheeled APCs

Latest updates[?]: GD files for arbitration.

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Pandur II

In February 2005, General Dynamics European Land Combat Systems finished negotiations to produce 260 Pandur II eight-wheeled armored combat vehicles for the Government of Portugal. Steyr-Daimler-Puch Spezialfahrzeug GmbH of Vienna, Austria, would be the program manager and system integrator for this $482 million (EUR 365 million) contract, with vehicle co-production in Portugal, and some participation from other General Dynamics European Land Combat Systems elements in Europe.

Evaluation of the contenders for this procurement program started in autumn 2003, but the buy was still only partly done in 2012. At which point Portugal moved to terminate the contract part-way through.

Rapid Fire Nov. 1, 2012: Shipbuilding Capabilities

• China has ramped up mass production techniques and coordination between its shipyards to allow a rapid modernization of its fleet, with some degree of versatility thanks to modular construction. The Diplomat.

• Meanwhile the Commander-in-Chief of Russia’s Navy Admiral Viktor Chirkov is expecting his country’s shipyards to launch 5 combat and support ships per year in years to come. RIA Novosti.

• The Philippines’ plan to buy a 3rd used cutter from the US is on hold, according to the Philippine Star. For now they will focus on equipping the two ships they already acquired from the US Coast Guard. USCG Dallas, the second of these two ships (renamed to BRP Ramon Alcaraz), is expected in February 2013.

• Australia is not the only country where high commodity prices make it harder for its Navy to retain qualified personnel: Norway is facing similar issues.

• The administrative surcharge rate charged by the US through the Foreign Military Sales (FMS) is down from 3.8% to 3.5%, effective today.

• The Center for American Progress and the Institute for Policy Studies, two left-wing American think tanks, are advocating the implementation of a unified security budget, and defense budget cuts at the scale, but not in the shape, of the sequester. PDF report.

• In the US Army’s latest Q&A about the Service Life Extension Program (SLEP) it plans for its fleet of Landing Craft Utility 2000 (LCU 2000) vessels, a point small businesses need to understand beyond this one program: “component (replace/refurbish) decisions would be made by the prime contractor.” An Industry Day should take place next December or January. TACOM.

• Switzerland’s intelligence service reportedly advised in its weekly report for the Swiss Federal Council to consider participating in NATO’s European missile defense system. That would obviously be quite a break from neutrality. Tages-Anzeiger [in German].