BAE Systems Receives $169 Million Production Contract From U.S. Marine Corps for Additional Amphibious Combat Vehicles

Rhea-AI Summary

BAE Systems has received a $169 million contract modification from the U.S. Marine Corps for the second lot of full-rate production of Amphibious Combat Vehicles (ACVs), totaling 33 vehicles. This contract underscores BAE's commitment to support Marine Corps' operational needs and capabilities. The ACV boasts superior sea and land mobility, and BAE is already contracted for two vehicle variants, with further developments planned, including a 30mm cannon variant. BAE continues timely delivery of vehicles to the Marine Corps, ensuring effective combat readiness.

Positive

• Contract modification worth $169 million for 33 Amphibious Combat Vehicles.
• Commitment to Marine Corps' Force Design 2030 needs.
• Proven ACV with enhanced mobility and survivability.
• Already under contract for additional ACV variants, indicating strong future growth potential.

Negative

• None.

STAFFORD, Va.--(BUSINESS WIRE)-- The U.S. Marine Corps has awarded BAE Systems a contract modification for the second lot of full rate production of Amphibious Combat Vehicles (ACVs). The contract award of $169 million is for 33 vehicles.

The U.S. Marine Corps has awarded BAE Systems a contract modification for the second lot of full rate production of Amphibious Combat Vehicles. (Photo: BAE Systems)

The ACV is proven and highly mobile, capable of conducting rapid ship-to-objective maneuvers and delivering enhanced combat power to the Fleet Marine Forces. Developed with teammate IVECO Defence Vehicles, the ACV represents the optimum balance of sea and land mobility and survivability, with future growth potential.

“BAE Systems is dedicated to helping the Marines meet their expeditionary and Force Design 2030 needs,” said John Swift, director of amphibious programs at BAE Systems, referring to the Marine Corps’ force structure goal for combat operations in a rapidly-evolving future environment. “This follow-on contract is a testament to our commitment of getting this critical capability to the warfighter and supporting the Marine Corps’ priorities.”

BAE Systems is already under contract to deliver two variants of the ACV family of vehicles to the Marine Corps: the ACV personnel variant (ACV-P) and the ACV command variant (ACV-C). The company has also received a design and development contract for a 30mm cannon variant (ACV-30), and a recovery vehicle (ACV-R) is also planned. In addition, BAE Systems has received task instructions from the Marine Corps to complete a study of incorporating Advanced Reconnaissance Vehicle Command, Control, Communication and Computers/Unmanned Aerial Systems mission payload into an ACV variant.

BAE Systems was awarded the first full-rate ACV production Lot 1 contract option in December 2020 for the first 36 vehicles and the second option in February of 2021 for an additional 36 vehicles. Last fall, the ACV team delivered the 100th Low-Rate Initial Production (LRIP) ACV to the Marine Corps and is on schedule to complete LRIP deliveries by January 2022, as ACV fielding to the Fleet Marine Forces continues on time and budget.

ACV production and support is taking place at BAE Systems locations in: Stafford, Va.; San Jose, Calif.; Sterling Heights, Mich.; Aiken, S.C.; and, York, Pa.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220124005160/en/

For more information, please contact:

Elizabeth Delano

Mobile: +001 (408) 289-2312

Elizabeth.delano@baesystems.com

www.baesystems.com/US

@BAESystemsInc

Source: BAE Systems

FAQ

What is the value of the recent contract awarded to BAE Systems for ACVs?

BAE Systems was awarded a $169 million contract modification for the second lot of Amphibious Combat Vehicles.

How many Amphibious Combat Vehicles is BAE Systems producing under the new contract?

BAE Systems is producing 33 Amphibious Combat Vehicles under the new contract.

What capabilities do the Amphibious Combat Vehicles offer?

The Amphibious Combat Vehicles are designed for rapid ship-to-objective maneuvers and enhanced combat capabilities.

When did BAE Systems begin production of the Amphibious Combat Vehicles?

Production began with the first full-rate ACV contract awarded in December 2020.

What are the future plans for BAE Systems' Amphibious Combat Vehicles?

Future plans include additional variants such as a 30mm cannon variant and recovery vehicle.