Defense Business

Dealings between KBR and the Army have gotten “very nasty” as the two try to close out the largest government services contract in U.S. history, according to an article in Federal Times. The dispute is over whether the remaining work in the $38 billion Logistics Civil Augmentation Program (LOGCAP) III [...]

Two major French defense companies, GIAT Industries and SNPE will be merging into a singleventity. The two companies are both owned by the French state, which supports the move. The mergerv will retain the activities, strategies and customer base of each company. By unifying complimentary activities the merged company will [...]

The handset maker announced that its Knox-enabled mobile devices have been approved by the Pentagon for government use. Samsung’s Knox software offers high-level encryption, a VPN feature, and a way to separate personal data from work data. The software also enables IT administrators to manage a mobile device through specific [...]

Elbit Systems will supply electro-optical observation and surveillance systems for the Brazilian border security program known as ‘SISFRON’. The systems will be supplied via Elbit Systems’ Brazilian subsidiary AEL Sistemas, starting in 2014

The Israel Defense Forces (IDF) has selected Gilat Satellite Networks’ SatTrooper-1000 military Manpack Satellite Communications (SATCOM) terminal to equip combat units with advanced, beyond line of sight tactical communications. I-HLS reports The new terminal communicates data, video and telephony at broadband speeds, via a satellite link, thus overcoming distance or interference [...]

BAE Systems received a $28.7 million contract to upgrade 11 M88A1 Medium Recovery vehicles to the M88A2 Heavy Equipment Recovery Combat Utility Lift Evacuation System (HERCULES) configuration.

The Israeli company Elbit Systems Ltd. and South Korean Sharp Aviation K Inc. announced the establishment of a joint venture company – Sharp Elbit Systems Aerospace, Inc. (“SESA”). Sharp, a Maintenance, Repair and Overhaul (MRO) provider in Korea hopes to expand its defense-related activities through the new JV.

Boeing reaffirmed today its guidance for 2013 financial performance. The company reported strong revenue of $18.9 billion, reflecting higher deliveries of commercial aircraft, with net orders worth $20 billion in the past quarter, bringing the company’s backlog to a record $392 billion. In the Defense, Space & Security’s (BDS) Boeing [...]

Northrop Grumman Corporation reported today its first quarter 2013 net earnings dropped by $17 million to of $489 million, (or $2.03 per diluted share), compared to the first quarter of 2012. based on the funding levels provided for by the FY 2013 appropriations bill enacted on March 26, 2013 Northrop [...]

The world’s largest defense contractor Lockheed Martin assesses the potential effect of sequestration measures taken by the US Government could reduce its 2013 net sales by approximately $825 million. Lockheed Martin was the first major defense company to comment on the scale of sequestration impact on its performance since the [...]

Brazil is expected to spend US$20.83 billion on arms procurements in the next five years.

South Korea will likely buy the Taurus KEPD 350 long-range air-to-surface cruise missiles next year. Seoul is seeking to equip the next batch of fighter aircraft it intends to buy with the new missile.

In response to a 25 March Chinese announcement of a major arm’s deal between Moscow and Beijing, Russia denied the deal ever exist. We can only speculate as to the validity of the Chinese claims that the deal was signed or if the Russian denial is a firm fact, a temporary postponement, or a ruse designed to mislead for unknown reasons.

The latest report on international arm’s trade published by the Stockholm International Peace Research Institute (SIPRI) places the People’s Republic of China (PRC) in fifth place among the world’s top exporters of weapons. SIPRI’s Trends in International Arm’s Transfers report places China in the fifth spot for the first time since the Institute’s 1986-1990 reporting period.

Defense activities of the three companies reached above $7 billion in 2012 with aggregated aerospace & defense export amounting $5.9 billion. Domestic sales, primarily to domestic prime contractors and to the Israel Defense Forces (IDF) represented $2.2 billion for the three companies.

The Military Balance 2013 IISS assess the state of the Syrian Army, decimated through almost two years of civil war in Syria. The report claims the regime could only be certain of the loyalty of the mainly Alawite Special Forces, the Republican Guard, and the elite 3rd and 4th Divisions – perhaps 50,000 troops in total.

The World Military Balance 2013 published by the International Institute of Strategic Studies (IISS) reflects the recent trends in the global redistribution of military power. Reflecting the subdued global economic climate, total defence spending fell in real terms in 2012 for a second year running. However, real increases were seen in the Middle East and North Africa, Russia and Eurasia, Latin America and in Asia, while real declines were seen in North America and Europe.

The People’s Republic of China (PRC) has announced plans to increase defense spending in 2013 by 10.7 percent, to $115.7 billion. Actual spending is believed by some to be as much as 50 percent higher than the numbers publicly announced – amounting to about a third of the annual US defense budget.

Sikorsky Aircraft Corp., and Boeing have signed a teaming agreement on Jan. 13, to submit a joint proposal in response to the U.S. Army Aviation Applied Technology Directorate solicitation for the Army’s Joint Multi-Role (JMR) Technology Demonstrator (TD) Phase 1 program.

Atlante, an unmanned aerial vehicle developed by the European defense group Cassidian has made its first flight at Rozas airfield, near Lugo, Spain last week. designed to address the tactical UAS mission profile is also capable of carrying out civil and homeland security applications.

Anticipating potential delays and uncertainty about the future of the F-35A, the Australian Defence has requested to buy up to 24 Boeing Super Hornet fighters – 12 F/A-18E/F Super Hornet aircraft and 12 EA-18G Growler Electronic Attack aircraft from the USA, at an estimated cost of $3.7 billion

The US Army awarded iRobot and QinetiQ North America two procurement orders for small robotic vehicles, representing the new class of small/miniature robotic systems designed for counter-IED and surveillance missions.

The Brazilian Air Force is upgrading its E-99 Airborne Early Warning & Control (AEW&C) aircraft. Saab Defence and security company announced today it has received an order from the Brazilian company Embraer Defense and Security, for the upgrade of the Erieye AEW&C Mission System. The total order amounts to about US$60 million

The Boeing Company and Elbit Systems have entered a cooperation agreement to jointly develop self-defense solutions for Boeing military aircraft in international markets.

The German Military (Bundeswehr) is moving to expand its use of Gladius soldier system. A follow-on contract worth €84 million for the delivery of 60 more systems was recently placed with Rheinmetall.

Vayu reports live from Aero India about a possible face off between the IAF, whose requirement for basic training aircraft totals 181 units, and HAL which is currently engaged in designing its HTT- 40 turboprop basic trainer against the Air Staff Requirement issued to it by the IAF.

Elbit Systems and Bharat Forge Limited announced today plans to establish a Joint Venture Company (JVC) to address the Indian Ministry of Defence and other potential Indian government customers’ requirements for advanced artillery and mortars systems solutions. in addition to addressing current programs and operationally proven systems the JVC will [...]

Elbit Systems is promoting a range of helicopter-related products in a move that would tap the growing opportunities the company identified in the Indian market, both for foreign built, locally made or upgraded platforms. Over the years Elbit Systems has established a number of partnerships and cooperation in India, paving its way into many defense sector’s programs.

With annual sales of over US$3.4 billion, and orders backlog exceeding nine billion US$, IAI is ranked among Israel’s top five industries. New opportunities and growing competition are driving IAI to expand its Indian operations over a wider spectrum, entering new fields where it wasn’t present before. Carrying the company into the next decade, IAI’s President and CEO Joseph Weiss defines several pillars for IAI’s activities, including missiles, unmanned systems, special mission aircraft and network centric warfare – all are considered to be IAI’s primary growth engines.

VP Marketing and Business Development talks to Defense Update about RAFAEL’s strategy for India

Parker Hannifin and WATT Fuel Cell Corp. are embarking on a strategic licensing and supply agreement to bring WATT’s propane-driven Solid Oxide Fuel Cell (SOFC) based products to commercial markets.

The Indian Ministry of Defence (MoD) is planning to attract an international partner for the development of the troubled Kaveri jet engine program, through an international, open tender, after the joint program with French engine maker Snecma failed to deliver the expected results.

By year’s end Taiwan plans to complete modernizing about half of the fleet of its locally built ‘Indigenous Defense Fighter’ (IDF). The upgrade will enable the Taiwan Air Force to maintain the aircraft in service through 2030.

In July 2012 Israel has ordered 30 M346 jet trainers from the Italian company Aermacchi. At the time the procurement cost mentioned was $850 million, reflecting a flyaway cost of $28 million for 30 aircraft. The aircraft full life cycle cost is expected to almost triple this amount.

MOD firmly supports HAL’s position as India’s military aircraft manufacturer, despite increasing pressure mounted to expedite Rafale (MMRCA) fighter planes

The UK MOD has committed £2.7 billion for continued work on the Royal Navy future attack submarines. The programme, which has been beset by difficulties since it was commissioned in 1997, is expected to cost up to £10bn for a seven-submarine fleet that is already years late. The lead submarine of this [...]

The Israel Ministry of Defense has placed a second order for a number Hermes 900 Unmanned Aerial Systems (UAS). The $90 million contract covers an unspecified number of drones delivered over three years, plus eight years support.

US UAV company AeroVironment pursue VTUAV opportunities in US and NATO, teaming with the Swedish company CybAero to market medium-weight unmanned helicopters.

The new issue of Asia pacific Defense Update is here! This digest of 26 articles highlighting recent defense news events from the region is based on the full version (premium content) from Defense Update and other sources, brought to you in a concise, pdf edition you can store on your desktop, read on tablets and smartphones.

Elbit Systems Ltd. reported today that it was awarded two contracts from a Far Eastern country to supply self-propelled artillery systems and communications equipment with a total value of approximately $50 million.

The Canadian Safety and Security Program (CSSP) has issued the first call for proposals for innovative science and technology (S&T) project for homeland security applications.

Liquid Robotics, developer of the Wave Glider autonomous robotic surface platform for ocean surveying is broadening its activity to offer government and military solutions by establishing the new Federal Business unit. The new unit is expected to double the number of employees over the next months, in anticipation to the growing potential and interest from Government agencies.

The emirate of Qatar has expressed interest in buying up to 200 Leopard 2 tanks, the german magazine Der SPIEGEL wrote. It is not clear whether the tanks are new production or refurbished from the German Army surplus stocks. A delegation from the tank manufacturer Krauss-Maffei Wegmann travelled several weeks [...]

enault Trucks Defense, a member of the Swedish Volvo Group’s Governmental Sales business area, announced it is acquiring the French armored vehicle manufacturer Panhard. The transaction is expected to be finalized during the fourth quarter of 2012, following receiving the required approval from the French authorities.

Raytheon reported today its financial performance for the second quarter of 2012. Overall, net sales were US$5.99 billion, representing a 3 percent drop compared to the second quarter in 2011. The total backlog dropped $1.6 billion since December 2011. Nevertheless, the company increased ‘earning per share’ by 13 percent thanks to recent stock repurchasing.

The Boeing Company Defense & Space operations increased by 7 percent to $8.2 billion in the second quarter, amid tougher operating conditions, reflected by a drop in operating margin by 1.5 points. The backlog remained at $72 billion – more than two times the unit’s projected annual revenue.

The marine and shipbuiling group DCNS reported its half-year The French marine and shipbuiling group DCNS reported strong performance in its half-year financials today. Revenues increased to €1.4 billion, and Operating profit of €98 million, but orders intake dropped from €1.2 billion to €813 million, yet, maintaining the company order book at €14.2 billion, same as 12 months ago.

Northrop Grumman Corporation reported today its earnings from continuing operations in the second quarter of 2012 declined to $480 million, compared with $520 million in the first half of 2011. “Our businesses continue to perform well,” said Wes Bush, chairman, chief executive officer and president.

General Dynamics reported today second-quarter 2012 earnings from continuing operations of $634 million, compared with $666 million in the second quarter of 2011. Revenues in the quarter were $7.9 billion. Net earnings for the second quarter of 2012 were $634 million, compared to $653 million. Funded backlog has also declined slightly in the second quarter, compared to first-quarter 2012.

The steadily increasing sales and global reach of iRobot’s Home Robot business enables the company to “substantially offset the continuing impact of U.S. government funding on our Defense & Security business”