Abrams Line Pause Scheme Based On Business Case, Army Says

Abrams Line Pause Scheme Based On Business Case, Army Says
19 May 2011

The Army's plan for a four-year shutdown of its main battle tank production line is based on a careful risk analysis, top service officials said yesterday in response to questions from Senators.
Temporarily shutting down the General Dynamics [GD] Land Systems (GDLS) tank plant where the M1 Abrams tank is built is a plan based on a "clear business case," Army Secretary John McHugh said yesterday during a hearing of the Senate Defense Appropriations Subcommittee. McHugh said the Abrams fleet is "the most modern" of the Army's current major equipment and that its acquisition objective has been met for the time being.
"The cost of shutting down and mothballing the plant, including the cost of rebuilding the employee base, was far more economically sensible than maintaining the minimum production necessary through the period until we begin to develop a follow-on to the Abrams platform," he said.
"The decision on the future production of the tank was simply made on the business case," he added. "The business case was clear."
Members of the House of Representatives earlier this month sent a letter to McHugh urging the continuation of the Abrams production line based in Lima, Ohio. Rep. Sander Levin (D-Mich.), along with nearly a third of the House membership, is challenging the ArmyÂ’s plan.
The letter, initiated by Levin and Rep. Mike Rogers (R-Ala.), warns McHugh that the pause "could end up costing more in the long run and result in lost capacity and readiness." They question the Army's risk analysis. (Source: Defense Daily)


GD To Relocate European Land Systems Head Office To Spain - General Dynamics [GD] yesterday said that it will relocate the headquarters of its European Land Systems business to Madrid from Vienna.
"The move reflects the significant concentration of current programs that we are executing for the Ministry of Defense and Armed Forces of Spain, as well as the future opportunities that we believe exist for General Dynamics and the government of Spain to work together," Jay Johnson, GD's chairman and CEO, said in a statement.
GD's land systems business in Europe has four operating units in Spain, Germany, Austria and Switzerland where the various units design and build wheeled, tracked and amphibious vehicles, amphibious bridge systems, armaments and munitions.
In Madrid the European Land Systems headquarters will be collocated with the headquarters and research and development center of its operating unit there, Santa Barbara Sistemas. The facility will support about 240 employees. (Source: Defense Daily)


Source;

http://bit.ly/jgBmky


Copyright 2011 Atkins & Assoc. All Rights Reserved.