Textron Systems Canada Inc. [TXT], Rheinmetall Canada Inc., and Kongsberg Protech Systems (KPS) Canada received an approximately $100.3 million contract for work to be performed by KPS Canada on the Canadian Forces Tactical Armored Patrol Vehicle (TAPV) project.
This is a sub-contract within the about $205.7 million contract between Textron Systems and Rheinmetall that was announced in October 2012.
In June 2012, the Textron TAPV Team, led by Textron Systems, was selected to manufacture 500 Canadian Forces TAPVs with options for up to 100 more. The TAPV contract has a value of about $605.2 million, with an additional five-year in-service support contract of about $105.7 million.
This contract will double the workforce at KPS Canada’s London, Ontario production facility, which opened just over a year ago in November 2011.
The contract also fulfills a portion of Textron Systems’ participation in Canada’s Industrial and Regional Benefits (IRB) Policy arising from the government’s purchase of 500 Textron TAPVs.
This contract extends KPS Canada’s work with the Canadian government and strengthens the company’s position as the world market leader for remotely controlled weapon stations. Since 2005, the company has been supplying the PROTECTOR M151 Remote Weapon Stations (RWS) to the Canadian Forces. On the TAPV project, KPS Canada will deliver a new technological innovation with the Dual Remote Weapon Station (DRWS). This remote weapon station features two mounted weapons that can be operated by both the vehicle commander and gunner. These capabilities provide additional safety and protection for soldiers in the field by allowing them to operate the DRWS from within the vehicle reducing their exposure to enemy fire.
Ottawa-based Textron Systems Canada, as prime contractor, will provide overall TAPV program and configuration management, act as design authority for change management, coordinate vehicle integration activities by Canadian subcontractors, and manage the In-Service Support contract. Textron Systems Canada will also be implementing a Canadian Industrial and Regional Benefits program designed to bring employment to Canadians and new expertise and opportunities to Canadian companies.
In addition to Rheinmetall Canada and KPS Canada, the Textron TAPV team includes EODC – Engineering Office Deisenroth Canada.