BAE Systems to start initial production of the Armored Multi-Purpose VehicleNews
February 22, 2019
STERLING HEIGHTS, Mich. BAE Systems received two contract modifications from the U.S. Army for the low-rate initial production (LRIP) of the Armored Multi-Purpose Vehicle (AMPV). The contract is worth up to $575 million to support the U.S. Army?s Armored Brigade Combat Teams (ABCT) missions.
Previously awarded funding to support production planning, combined with the $128 million January award allowed BAE Systems to start production. A second award in February for $447 million brings the total LRIP funding so far to $873 million.
Production will include five variants of the AMPV: command and control, general purpose, medical evacuation, medical treatment, and mortar carrier.
The AMPV meets the Army’s force protection and all-terrain mobility requirements, enabling the AMPV to maneuver with the rest of the ABCT. Commonality within the ABCT also reduces developmental risk and streamlines maintenance, providing significant cost savings to the Army.
These contracts come following the Engineering, Manufacturing and Development phase and a Milestone C decision. Under the earlier EMD award, the company produced and delivered prototype vehicles to the Army for test and evaluation purposes. The initial award in 2014 also provided options to begin the LRIP phase prior to the completion of the EMD phase, at which time the company would produce up to approximately 460 additional vehicles for a cumulative contract value of up to $1.2 billion.