Chemring Group is pleased to announce that its US based subsidiary, Chemring Countermeasures USA (“CCM USA”), has been awarded two contracts totalling approximately $42 million.
The first contract, which is for the manufacture and delivery of M206 and MJU-7A/B infrared decoys for the US Army and Air Force, is valued at approximately $32 million, and was awarded under CCM USA’s current 5-year Indefinite Delivery Indefinite Quantity (“IDIQ”) contract with the US Army Garrison at Rock Island Arsenal. Deliveries under this contract will be made between 2018 and 2019, with all work to be performed at CCM USA’s facility in Toone, Tennessee.
The second contract, which is for the manufacture and delivery of MJU-66 Special Material Decoys for the US Air Force, is valued at approximately $10 million and is the second award under the $29 million IDIQ that was announced in August 2017. Deliveries under this contract will be made in 2019, with all work to be performed at CCM USA’s facility in Chester Township, Pennsylvania.
Michael Ord, Group Chief Executive of Chemring, commented:
“These contracts demonstrate the continued confidence of the US Army and Air Force in Chemring’s ability to develop and supply quality aircraft countermeasures, and it reinforces the Group’s decision to invest in the transformation project at our Tennessee facility.
“These contracts complete the required FY18 order intake in our Countermeasures segment, provide a strong platform for FY19, and are further evidence of the recovery, and our strengthening position, in the global countermeasures market.”