Saab AB signed a contract with the European Defence Agency (EDA) to deliver Carl-Gustaf ammunition worth over $15 million, the company said on Thursday.
Under the contract, the ammunition will be delivered to EDA members Estonia, Latvia, Lithuania, the Czech Republic, and Poland. Deliveries are scheduled to take place in 2016.
This is the first order agreed to under a framework agreement signed by Saab and the EDA in 2014. The framework support potential orders and deliveries of Carl-Gustaf ammunition to the five participating states, co-ordinating ammunition orders. It is in effect for five years with a possible two-year extension. The framework provides for orders of almost $56 million (Defense Daily, July 9, 2014).
The Carl-Gustaf is a man-portable shoulder-fired anti-tank recoilless rifle produced by Saab. The company introduced the M4 variant in 2014.
“This unique and very flexible way of providing Carl-Gustaf ammunition ensures that our customers can maintain highly capable and deployment-ready defence forces. The proven and reliable Carl-Gustaf system offers soldiers unique flexibility and capability through its high accuracy, light weight and built-in compatibility with future innovations,” Görgen Johansson, head of Saab’s Dynamics business area, said in a statement.
“By pooling resources through this multinational agreement, participating member states ensure they get the capabilities they need in the most efficient way possible. It also allows participating countries to purchase ammunition according to their national needs despite having different budget cycles,” Peter Round, armament and technology director at EDA Capability, added.