AeroVironment Inc (NASDAQ:AVAV) announced the receipt of a $4.3 million cost plus fixed fee award and $7.1 million option from the United States Army Close Combat Weapons Systems office. The award increased the funded value of an existing contract for Switchblade tactical missile systems to $63.8 million. In addition, options totalling $38.3M increased the total contract ceiling to $102.1 million.
The award and option issued in September 2014 fund the continuation of supply and services to support American forces through training, refurbishments and project management support for the Switchblade tactical missile system.
“Switchblade is a game changing capability that continues to protect American troops and give them major advantages on the battlefield,” said Roy Minson, AeroVironment senior vice president and general manager of its Unmanned Aircraft Systems business segment. “Switchblade enables our forces to work within the rules of engagement to neutralize lethal threats through its unique portability, precision, rapid deployment and collateral damage avoidance capabilities.”
AeroVironment is the prime contractor for Switchblade with weapon manufacturer ATK participating as a leading subcontractor supporting the weapon system.