BAE Systems has been awarded a contract for the US Army's Armored Multi-Purpose Vehicle (AMPV) programme worth up to USD1.2 billion, the company announced on 24 December. The contract guarantees USD383 million for slightly more than four years of work to produce 29 vehicles, which could be followed by options for 289 vehicles that would push the contract to its full potential value.
The AMPV programme is designed to provide replacements for the BAE's M113s, which were originally designed more than six decades ago.
In April, the army denied a protest from General Dynamics Land Systems that claimed the request for proposal for the programme favoured BAE because the specifications encouraged a tracked vehicle.
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